Pump-And-Dump Scam Related to Cynk Technology Corp
A Brooklyn federal judge just sentenced two men to a 12-year and 6-year prison sentence for setting up companies that facilitated a $250 million scheme, related to Cynk Technology Corp., in offshore stock fraud, tax dodging and money laundering.
Robert Bandfield, who set up entities in Belize, was arrested upon his return to Florida to celebrate his birthday in 2014. Bandfield claimed that his involvement went beyond helping others create offshore entities, while the prosecution claimed it had strong evidence to the contrary and a lack of transparency regarding where much of the money went.
Before Bandfield was sentenced, Gregg Mulholland was sentenced for using offshore entities set up by Bandfield, including Legacy Global Markets SA, to engage in fraud that duped investors out of thousands of shares of Cynk Technology Corp., simultaneously circumventing IRS requirements under the Foreign Account Tax Compliance Act and to launder the fraudulent proceeds. Mulholland tried to flee the U.S. when he found out about Bandfield’s arrest.
Mulholland pled guilty to one count of money laundering conspiracy, while Bandfield was ordered to forfeit $1 million and his interests in several entities he created. Mulholland was ordered to forfeit his airplane, luxury car, two real estate properties in Canada and securities on deposits at more than 25 bank and brokerage accounts.
Six other defendants named in a five-count complaint from last year and remain at large and are considered fugitives. They are: Brian de Wit, Paula Psyllakis, Kelvin Leach, Rohn Knowles, Cem Can and Andrew Godfrey.
Did you invest with Cynk Technology Corp?
If you invested in one of the schemes run by Robert Bandfield or Gregg Mulholland, or invested in a similar pump-and-dump scam, you may have certain legal rights that require your immediate attention.
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