Subtleties of fraud

NEW ORLEANS — The Fifth Circuit reversed a Texas federal court’s dismissal of the indictments of eight investment influencers for securities fraud. They convinced their social media followers to purchase securities, the influx of purchases spiked prices, prompting the defendant to sell. The indictment sufficiently alleged a scheme and intent to defraud, as the defendants posted false information to induce purchases; the fact the purchasers received market-value securities does not negate the fact that fraud occurred.