SEC charges man with fraud for fixing Fitbit shares

SEC charges man with fraud for fixing Fitbit shares
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The Securities and Exchange Commission (SEC) filed fraud charges Friday against a Virginia man who manipulated Fitbit stock to reap a $3,100 profit.

Robert W. Murray was charged with fraud after buying shares of the fitness-tracking device company minutes before he submitted a phony regulatory filing to spike the prices.

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Murray purported to be the chief financial officer of ABM Capital LTD, a nonexistent investment group, and filed a request offering to buy Fitbit’s remaining shares “with a substantial premium,” according to the SEC. Murray sold the shares soon after making the filing, which sent prices rocketing.

“As alleged in our complaint, Murray used deceptive techniques in a concerted effort to evade detection, but we were able to connect the dots quickly and hold him accountable,” said Stephanie Avakian, acting director of the SEC Division of Enforcement.