SEC: Man hid money to avoid paying $6M fine in fraud case

Posted 7:57 a.m. Wednesday

— Federal securities officials want a former Portland, Maine, developer to pay a nearly $6 million fine he accepted in a 2010 settlement.

The Portland Press Herald reports ( ) the Securities and Exchange Commission filed a motion in September in Philadelphia saying Michael Liberty, of Windermere, Florida, hid money and lied about being unable to pay the remaining $5.4 million.

The SEC alleged Liberty improperly diverted more than $9 million of a $100 million venture capital fund to himself or associates.

Liberty agreed to settle the allegations. A judge cut the fine to $600,000 after Liberty told the SEC his net worth was negative $29 million.

His lawyer counter-filed and says Liberty was telling the truth about his financial condition.

Liberty pleaded guilty Monday in Maine in an illegal campaign contributions case.


Please with your account to comment on this story. You also will need a Facebook account to comment.

Oldest First
View all