James Meagher— Alleged Trading Activity Known as Marking the Close

Ponzi scheme recovery attorneysJames Stewart Meagher Allegedly Engaged in Two Separate Fraudulent Trading Schemes including Activity Known as Marking the Close; Meagher Allegedly also Gave False and Misleading Testimony in Connection with a FINRA Investigation

James Stewart Meagher allegedly participated in two separate fraudulent schemes including activity known as marking the close and also allegedly gave false and misleading testimony in connection with FINRA staff’s investigation of this matter, according to a Complaint from FINRA’s Department of Market Regulation currently under review by attorneys Alan Rosca and James Booker.

Peiffer Rosca Wolf securities practice lawyers are investigating James Meagher’s alleged trading schemes.

Investors who believe they may have lost money in activity related to James Meagher’s alleged trading schemes are encouraged to contact attorneys Alan Rosca or James Booker with any useful information or for a free, no obligation discussion about their options.

James Meagher, from November 2011 through February 2012, and while registered with Chardan Capital Markets LLLC, allegedly “marked the close” by allegedly placing eleven orders to purchase over-the-counter securities for Chardan Capital’s proprietary accounts shortly before market close on the final trading day of each month, according to the aforementioned Complaints.

Meagher’s orders were allegedly placed at prices that exceeded the inside offer at the time, and the execution of his trades purportedly resulted in higher closing prices for the aforementioned  securities, the Complaint states.

The higher closing prices were allegedly used by Chardan Capital to give a higher value to the securities in the firm’s proprietary account in which Meagher was purportedly responsible for trading, the Complaint reports.

Meagher Allegedly Manipulated the Closing Prices of ONAVQ, VMCT, TRON, and SRGL, Meagher Allegedly Violated the Securities Exchange Act and FINRA Rules

James Meagher, from November 30, 2011, through February 29, 2012, allegedly manipulated the closing prices of ONAVQ (Omega Navigation Enterprises, Inc), VMCT (Virtual Medical Centre, Inc.), TRON (Toron, Inc.), and SRGL (Source Gold Corp. ) by purportedly making eleven purchases of the securities at prices in excess of the inside offer at or near the close and thereby artificially increasing the closing price of the stocks, according to a Complaint from FINRA’s Department of Enforcement currently under review by attorneys Alan Rosca and James Booker.

What is more, beginning in May of 2012 and continuing into 2013, Meagher, allegedly implemented a fraudulent and deceptive scheme to defraud a person known as JA, the President and CEO of FINRA member ASL, in connection with JA’ s investment in Facebook shares which purportedly deprived him of $13,195, the Complaint notes.

Based on the foregoing, FINRA believes that Meagher has allegedly violated elements of the Exchange Act and FINRA Rules, the Complaint notes.

Securities Lawyers Investigating

The Peiffer Rosca Wolf securities lawyers often represent investors who lose money as a result of investment fraud and are currently investigating James Meagher’s alleged trading schemes. They take most cases of this type on a contingency fee basis and advance the case costs, and only get paid for their fees and costs out of money they recover for their clients.

Investors who believe they lost money as a result of James Meagher’s alleged trading schemes may contact the securities lawyers at Peiffer Rosca Wolf, Alan Rosca or James Booker, for a free no-obligation evaluation of their recovery options, at 888-998-0520 or via e-mail at arosca@prwlegal.com or jbooker@prwlegal.com.

Alan Rosca (1214 Posts)

Alan is a securities lawyer. He also teaches Securities Regulation at the Cleveland-Marshall College of Law. He focuses his legal practice on complex commercial and financial litigation and arbitration, particularly in the areas of securities and investment fraud. His office is in Cleveland, Ohio.


In our legal system, every person is innocent until and unless found guilty by a court of law or a tribunal. Whenever we reference “allegations” or charges that are “alleged,” such allegations or charges have not been proven, and are merely accusations, not findings of fault, as of the date of the blog. We do not have, nor do we undertake, a duty to continue to monitor or follow cases about which we report, and/or to publish subsequent blogs regarding various developments that may occur in such cases. Readers are encouraged to conduct their own research regarding any such cases and any developments that may or may not have occurred in such cases.