11th Circ. Won't Reduce Fraud Penalties For GlobeTel Execs

Law360, New York (March 3, 2014, 3:32 PM EST) -- The Eleventh Circuit on Monday upheld $1.9 million in civil penalties levied by the U.S. Securities and Exchange Commission against three former GlobeTel Communications Corp. employees for their roles in a scheme to report $119 million in inflated company revenue.

A three-judge panel rejected arguments that the in disgorgement and personal penalties against former GlobeTel CEO Lawrence Lynch, Chief Operating Officer Joseph Monterosso and business partner Luis Vargas were excessive, saying the SEC had presented more than enough evidence to hold them accountable for fraud....
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