The Securities and Exchange Commission (SEC) filed a complaint against Samuel E. Wyly, Charles J. Wyly, Jr., Michael C. French, and Louis J. Schaufele III, alleging a 13-year fraudulent scheme involving undisclosed trading of securities by the Wylys while serving as directors of public companies. The scheme involved the use of offshore trusts and companies to conceal ownership and control of securities, resulting in unlawful gains exceeding $550 million. The complaint details violations of federal securities laws, including insider trading, false SEC filings, and aiding and abetting violations by French and Schaufele. The SEC seeks injunctive relief, disgorgement of ill-gotten gains, civil penalties, and other equitable relief.
documents/EFTA00316104.pdf
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