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He claimed he didn't know the basic stockbrokers' creed

Appeals court can't believe it. He's on his way to prison

Bryan Laurienti was a broker for the now (mercifully) defunct Hampton Porter brokerage house, one of San Diego's smelliest, which went out of business a dozen years ago. According to Courthouse News Service, the 9th Circuit appeals court ruled that he deserves 40 months in prison.

The firm was convicted of running a "pump and dump" scheme, by which brokerage houses or brokers pressure clients to buy stock and not sell it; then the villains dump their own stock at inflated prices. Laurienti and other brokers didn't deny the scheme existed, but originally claimed they didn't participate. Laurienti was sentenced to 40 months in prison; later it was dropped to 36 months by the appellate court.

In this go-round, Laurienti claimed that the lower court should have held a hearing on whether he knew about Rule 10b-5 of the Securities Act. This makes it illegal for brokers to defraud clients. The appellate court was incredulous that an experienced broker would be ignorant of this basic rule, although as someone who wrote about Hampton Porter, I wouldn't be surprised if it didn't tell its brokers about the rule. But anyone with an ounce of common sense would know it is wrong to defraud customers.

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Bryan Laurienti was a broker for the now (mercifully) defunct Hampton Porter brokerage house, one of San Diego's smelliest, which went out of business a dozen years ago. According to Courthouse News Service, the 9th Circuit appeals court ruled that he deserves 40 months in prison.

The firm was convicted of running a "pump and dump" scheme, by which brokerage houses or brokers pressure clients to buy stock and not sell it; then the villains dump their own stock at inflated prices. Laurienti and other brokers didn't deny the scheme existed, but originally claimed they didn't participate. Laurienti was sentenced to 40 months in prison; later it was dropped to 36 months by the appellate court.

In this go-round, Laurienti claimed that the lower court should have held a hearing on whether he knew about Rule 10b-5 of the Securities Act. This makes it illegal for brokers to defraud clients. The appellate court was incredulous that an experienced broker would be ignorant of this basic rule, although as someone who wrote about Hampton Porter, I wouldn't be surprised if it didn't tell its brokers about the rule. But anyone with an ounce of common sense would know it is wrong to defraud customers.

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4S Ranch Allied Gardens Alpine Baja Balboa Park Bankers Hill Barrio Logan Bay Ho Bay Park Black Mountain Ranch Blossom Valley Bonita Bonsall Borrego Springs Boulevard Campo Cardiff-by-the-Sea Carlsbad Carmel Mountain Carmel Valley Chollas View Chula Vista City College City Heights Clairemont College Area Coronado CSU San Marcos Cuyamaca College Del Cerro Del Mar Descanso Downtown San Diego Eastlake East Village El Cajon Emerald Hills Encanto Encinitas Escondido Fallbrook Fletcher Hills Golden Hill Grant Hill Grantville Grossmont College Guatay Harbor Island Hillcrest Imperial Beach Imperial Valley Jacumba Jamacha-Lomita Jamul Julian Kearny Mesa Kensington La Jolla Lakeside La Mesa Lemon Grove Leucadia Liberty Station Lincoln Acres Lincoln Park Linda Vista Little Italy Logan Heights Mesa College Midway District MiraCosta College Miramar Miramar College Mira Mesa Mission Beach Mission Hills Mission Valley Mountain View Mount Hope Mount Laguna National City Nestor Normal Heights North Park Oak Park Ocean Beach Oceanside Old Town Otay Mesa Pacific Beach Pala Palomar College Palomar Mountain Paradise Hills Pauma Valley Pine Valley Point Loma Point Loma Nazarene Potrero Poway Rainbow Ramona Rancho Bernardo Rancho Penasquitos Rancho San Diego Rancho Santa Fe Rolando San Carlos San Marcos San Onofre Santa Ysabel Santee San Ysidro Scripps Ranch SDSU Serra Mesa Shelltown Shelter Island Sherman Heights Skyline Solana Beach Sorrento Valley Southcrest South Park Southwestern College Spring Valley Stockton Talmadge Temecula Tierrasanta Tijuana UCSD University City University Heights USD Valencia Park Valley Center Vista Warner Springs
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