Federal inmate among six charged over $2m freeriding scheme against multiple broker-dealers

SEC alleges group of high-school and college friends made fake deposits.

The Securities and Exchange Commission (SEC) has charged six individuals, including a federal inmate, for conducting a freeriding scheme, where an investor buys and sells a security before paying for it, which defrauded multiple broker-dealers.

The SEC’s complaint states that Syed Arham Arbab, 25, and five other individuals made more

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