Ex-Pegasus CEO Gets 21 Years For $35M Stock Fraud

Law360, New York (June 7, 2012, 10:04 PM EDT) -- A California federal judge on Thursday sentenced the former CEO of Pegasus Wireless Corp. to 21 years in prison, well beyond the 6½ years prosecutors requested, for his role in a $35 million stock-selling scheme that bilked investors and hastened the company's demise.

U.S. District Court Judge Jeffrey S. White handed Jasper Knabb a 253-month — or 21 years and one month — term, as well as five months of probation. He was ordered to begin his sentence immediately, according to the U.S. Attorney’s Office for...
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