David Sidoo Also Named In Pump And Dump Stock Scheme But Not Criminally Charged!

An Indo-Canadian businessman who was in the news last year for a US College bribe scheme is back in the news with more negative blowback this time in an alleged pump and dump stock scheme. David Sidoo is named among a number of other Canadians including a member of British Columbia’s Hells Angels Nomads crew in two separate alleged stock fraud investigations by US authorities.  But sources close to Sidoo tell DESIBUZZCanada that this is a simple civil matter and it’s important to note that he is not charged criminally and looks forward to clearing his name. They also said that his name is being wrongly associated with hells angels and others charged criminally which is really a shame. Sources also told DESIBUZZCanada that Sidoo is being unfairly lumped with others in what should be a simple securities related matter. And the authorities and the media are misreporting the $145 million fraud in relation to Sidoo’s companies as only two of his companies are involved. How much of the $145 million is associated with Sidoo’s companies is not known. Also Sidoo has not been criminally charged!

By PD Raj – Senior Writer DESIBUZZCanada

With News Files

VANCOUVER – An Indo-Canadian businessman who was in the news last year for a US College bribe scheme is back in the news with more negative blowback this time in an alleged pump and dump stock scheme.

David Sidoo is named among number of other Canadians including a member of British Columbia’s Hells Angels Nomads crew in two separate alleged stock fraud investigations by US authorities. 

But sources close to Sidoo tell DESIBUZZCanada that this is a simple civil matter and it’s important to note that he is not charged criminally and looks forward to clearing his name. They also said that his name is being wrongly associated with hells angels and others charged criminally which is really a shame.

Local Hells Angel Courtney Vasseur has been indicted in New York City on charges of fraud, conspiracy and money laundering in relation to an alleged pump-and-dump stock scheme.

The district attorney for the Southern District of New York and the FBI announced Vasseur was one of 10 suspects facing criminal charges in relation to the alleged fraud.

“These pernicious ‘pump-and-dump’ schemes made the defendants rich while causing real harm to ordinary, retail investors who were left swallowing the losses,” attorney Damian Williams said in a statement. “These defendants used a web of nominee entities and shell companies located all over the world attempting to disguise their own orchestration of these schemes.”

As part of the same investigation, the U.S. Securities and Exchange Commission is suing Vancouver businessman David Sidoo, and seven others, accusing them of using the alleged pump-and-dump scheme to defraud investors of US$145-million, reported CTV News.

However, DESIBUZZCanada sources told us that Sidoo is being unfairly lumped with others in what should be simple securities related matter. And the authorities and the media are misreporting the $145 million fraud in relation to Sidoo’s companies as only two of his companies are involved. How much of the $145 million is associated with Sidoo’s companies is not known.

Also Sidoo has not been criminally charged and it seems investigators are using the SEC filing to accuse him of actively promoting stock in companies while allegedly hiding his own ownership stake.

The filing alleges Sidoo and his co-accused encouraged investors to buy stock at a time when the defendants themselves “did not believe the statements, as evidenced by their simultaneous, and massive, trading in the opposite direction as they collectively sold their stock during the campaign,” reported CTV News

Although Sidoo has not commented on media inquires, his lawyers did provide a statement to media.

“David Sidoo denies the allegations contained in last week’s SEC filing in New York,” said Martin G. Weinberg, his U.S. attorney, in a statement. “He will not have further comment about these proceedings.”

The Combined Forces Special Enforcement Unit, BC’s anti-gang squad, confirmed Vasseur’s membership in the Hells Angels to CTV News and said the RCMP’s Federal Serious and Organized Crime task force is working with American law enforcement.

Vasseur and Curtis Lehner are among seven suspects who have been arrested. Three other men have also been charged but not yet arrested.

“Through their pump-and-dump schemes, Lehner, Vasseur … and their co-conspirators generated at least approximately $35 million in proceeds from the sale of the shares they secretly controlled,” the indictment said.

The 10 accused hail from Canada, the United Kingdom, Bulgaria, Spain, Monaco, Turkey and the Bahamas.

None of the allegations against Sidoo, Lehner and Vasseur has been proven in court.