Upton Man Sentenced to 30 Days and $1 Million Fine for Securities Fraud
A securities trader from Upton, Xiasong Wang, has been sentenced to 30 days in federal prison and ordered to pay over $1 million in restitution for his involvement in a securities fraud scheme. The sentencing, which took place on December 17, was presided over by U.S. District Court Judge William Young, who also ruled that Wang would be deported to China after serving his sentence and paying the restitution.
Wang pleaded guilty to one count of conspiracy to commit securities fraud back in September. According to authorities, Wang and his co-conspirators engaged in manipulative trading practices with a group of securities traders, some based in China and others in Massachusetts. They used multiple brokerage accounts to artificially manipulate the prices of thinly traded securities by placing small orders to create false impressions of supply and demand.
This fraudulent activity resulted in significant price fluctuations, allowing the conspirators to profit by executing large orders on the opposite side of the market. Once these large orders were completed, they would cancel the manipulative orders to cover their tracks.
One of Wang’s co-conspirators, Jiali Wang of Weymouth, also pleaded guilty to his involvement in the scheme. He received a three-month prison sentence, with credit for time already served, and was ordered to forfeit $7.75 million in proceeds, as well as serve nine months in home detention.
The repercussions of securities fraud are serious, as evidenced by the legal actions taken against Wang and his associates. It serves as a reminder of the importance of following ethical and legal standards in the financial markets to maintain trust and integrity.
For any questions or additional information, feel free to contact Norman Miller at 508-626-3823 or nmiller@wickedlocal.com. Stay informed about public safety news by following him on X @Norman_MillerMW or on Facebook at facebook.com/NormanMillerCrime.
