Gregory A. White, United States Attorney for the Northern District of Ohio, today announced that an information was filed charging Stephen J. Glantz with one count of Securities Fraud and one count of False Statements.
Glantz, age 54, resides in Chagrin Falls, Ohio.
The Information alleges that from in or about August 2002, through in or about November 2005, Glantz engaged in Securities Fraud by improperly manipulating the stock price of Innotrac Corp., a full-service order fulfillment and logistics provider, located in Duluth, Georgia. Innotrac’s stock trades on the NASDAQ. The Information alleges that Glantz used a number of manipulative trading techniques to assist his client, David A. Dadante and the IPOF Fund he controlled, in artificially inflating the price of Innotrac stock from a low of approximately $2.19 per share, on or about October 15, 2002, to a high of approximately $12.00 per share on or about March 1, 2004. Glantz conducted unauthorized transactions using Innotrac stock in client accounts to generate commissions and, in some instances, sought to conceal the unauthorized trades by misstating the nature of the transactions on client order tickets.
Glantz is also charged with making materially false and fraudulent statements and representations to the Federal Bureau of Investigation, the United States Securities and Exchange Commission, and the United States Attorney’s Office during the investigation of this scheme.
If convicted, the defendant’s sentence will be determined by the Court after review of factors unique to this case, including the defendant's prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violation. In all cases the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
This case is being prosecuted by Assistant U.S. Attorney Justin J. Roberts, following investigation by the Cleveland office of the Federal Bureau of Investigation and the United States Securities and Exchange Commission, Midwest Regional Office in Chicago.
An Information is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
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