SEC Says Phoenix Attorney Ran Shell Game

     PHOENIX (CN) – Phoenix attorney David Stocker and his company, Carrera Capital, defrauded seven corporations of their identities, incorporated new companies under the old names and sold unregistered shares in them, the SEC claims in Federal Court.

     The SEC claims that Stocker found seven defunct corporations, incorporated a new company under the same name in the same state, and then “purported to act on behalf of the old company.”
     “Specifically, Stocker and Carrera Capital caused stock in the old companies to be exchanged for stock in the new companies under the false pretence that the old company was undergoing a reverse stock split” – i.e., sold unregistered securities.
     “Stocker then caused the new companies to issue large blocks of stock to Carrera Capital or to other persons, such that he or the other persons beneficially held 99% of the stock in the new companies,” the SEC says. “Through this scheme, Stocker and Carrera Capital were able to gain control of public shells without having to pay for them or otherwise deal with their former control persons. Stocker and Carrera Capital profited from the scheme by selling the shells.”

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