Individual charged with large-scale securities fraud by federal prosecutors in the Southern District of New York sentenced to home confinement
When Steven Gallagher was arrested for allegedly pumping up the price of stocks and then failing to disclose his stock sales, he immediately retained Eric Rosen. Eric got to work the same day. On their face, the allegations looked bad. The government highlighted four stocks that together had losses of over $1.2 million in a criminal complaint. The government threatened to add many more stocks to juice the losses to well above $3 million. Eric and his team quickly pointed the flaws in the government’s case over the course of three presentations. These presentations convinced the government to drop many of the charges and settle for an unheard of loss of just $21,000 for a single stock ticker, SCIE. Judge Caproni ultimately sentenced Mr. Gallagher to home confinement, which he served without incident.