Former Candidate Pleads Guilty in Phony Facebook Share Scam
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Craig Berkman, who once ran for governor of Oregon, pleaded guilty in a scam to sell interests in non-existent shares of Facebook Inc. and other technology companies to investors.
Berkman, 71, told a judge in Manhattan today that he defrauded 120 investors out of $13.2 million to pay personal expenses, creditors in his personal bankruptcy and earlier investors. He pleaded guilty to one count each of securities fraud and wire fraud, each of which carries a maximum of 20 years in prison.