Daily Bar News

Todays Date: Click here to add this website to your favorites
  rss
Bar News Search >>>
law firm web design
Alabama
Alaska
Arizona
Arkansas
California
Colorado
Connecticut
D.C.
Delaware
Florida
Georgia
Hawaii
Idaho
Illinois
Indiana
Iowa
Kansas
Kentucky
Louisiana
Maine
Maryland
Mass.
Michigan
Minnesota
Mississippi
Missouri
Montana
Nebraska
Nevada
New Hampshire
New Jersey
New Mexico
New York
N.Carolina
N.Dakota
Ohio
Oklahoma
Oregon
Pennsylvania
Rhode Island
S.Carolina
S.Dakota
Tennessee
Texas
Utah
Vermont
Virginia
Washington
W.Virginia
Wisconsin
Wyoming
Guilty Plea for Man Behind Creative E-Trade Scam

•  National News     updated  2009/05/22 09:03


A California man has pleaded guilty to opening tens of thousands of bogus online brokerage accounts and then pocketing tiny test deposits made by companies like E-Trade Financial and Charles Schwab.


Michael Largent, 23, of Plumas Lake, Calif. pleaded guilty Thursday to computer fraud charges in connection with the scam, which ran between November 2007 and May 2008.

Largent's arrest was widely covered on the Internet last May, where it was likened to so-called Salami Slicing scams depicted in movies such as Superman III and Office Spaces.

According to prosecutors, Largent wrote a script that opened more than 58,000 online accounts at instructions such as E-trade and Schwab. He used fake names, including cartoon monikers such as Hank Hill and Rusty Shackelford to open these accounts and then profited when the brokerage firms would make tiny test deposits to make sure they were linked to his account.

Typically these deposits were between $0.01 and $2 but they added up. In total he made or tried to make more than $50,000 in the scam, the Department of Justice said.

Largent is also alleged to have received more than $8,000 in micro-deposits from Google, although he was not charged with this in his May 22 indictment.

He is set to be sentenced on Aug. 13 and faces up to five years in federal prison on two computer fraud charges, a U.S. department of Justice spokeswoman said Thursday.


ⓒ Daily Bar News - All Rights Reserved.

The content contained on the web site has been prepared by Daily Bar News
as a service to the internet community and is not intended to constitute legal advice or
a substitute for consultation with a licensed legal professional in a particular case or circumstance.

Law Firm Website Design by Lawyer Website Design That Works