Dominican Republic´s first ever securities fraud case: 3 to jail
Santo Domingo.-Dominican Republic´s first ever securities fraud on Wednesday concluded withthe conviction of Dionisio Homero Pimentel Cabral and Jose Ramon Attias Peña,sentenced to six years in prison, whereas codefendant Samir Pimentel Cabralfaces two years.
The prosecution accusedthe three of defrauding dozens of people out of more than RD$50.0 million atthe National District 4th Appellate Court, by conspired to violateSecurities legislation by issuing commercial papers to bilk 66 clients posing asa formal business and duly authorized traders.
Specifies that thesuspension date, the company ATTIAS, engineers-Architects, SA, had an issuanceof publicly offered securities outstanding for not less than RD $51,474,580.15, consisting of investors.
The ruling says the brokeragefirm Global Transactions SA was headed by Dionisio and Samir Pimentel, whoissued the bogus papers.
"The issuance ofthese papers was subjected to a redemption program or quarterly payouts,culminating on April 11, 2006, which wasn’t complied with," said prosecutorKarina Conception in the hearing.
The convicts are currentlyin the jail at Ciudad Nueva Courthouse, in Santo Domingo, awaiting transfer toa correctional facility.