News Tech: Following the commencement of COVID-19, a former resident of Arcadia who frequently appeared as a financial commentator on CNBC was charged on Wednesday with misleading investors about the state of his financial firm and dangerous assets. It was charged with concealing the significant loss brought on by the -19 pandemic.
According to the prosecution, McDonald served as the CEO of the Redondo Beach-based Index Strategy Advisors Inc. and the Los Angeles-based Hercules Investments.
According to the US Attorney’s Office, 50-year-old James Arthur McDonald Jr., who is rumoured to be hiding out, was charged with one count of securities fraud.
According to the US Attorney’s Office, McDonald’s clients of Hercules lost between $30 million and $40 million as a result of their unsuccessful “short” investment, which was caused by the commencement of the pandemic and the uncertainty surrounding the 2020 presidential election. The stock market will thereafter see a significant crash.
In November 2021, McDonald was scheduled to appear before the US Securities and Exchange Commission, but he did not. He allegedly disconnected his phone lines, stopped using his email, and informed a man he meant to “disappear,” according to the prosecution.
A federal prison sentence of up to 20 years is possible for the securities fraud conviction.