Industrial Enterprises Ex-CEOs Accused Of $60M Fraud

Law360, New York (May 25, 2010, 6:57 PM EDT) -- Two former CEOs of antifreeze maker Industrial Enterprises of America Inc. were charged Tuesday with participating in a scheme to bilk company investors out of $60 million.

John D. Mazzuto and James W. Margulies, both former Industrial Enterprises CEOs, were hit in the New York State Supreme Court for New York County with a 57-count indictment accusing them of illegally issuing company stock to enrich themselves and their associates, and engaging in fraudulent activity to inflate the stock’s value and deceive investors.

After stealing from the...
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