Description: Salt Lake City, Utah criminal defense lawyer represented the Defendant charged with securities fraud.

From February 2015 through February 2020, Crystal A. Huang, 41, of Lehi, Utah, offered investments in her company, ProSky Inc., by providing false promises and information to potential investors. In June, Ms. Huang admitted that she devised a scheme intended to defraud investors and obtain money and property, under false pretenses to benefit her company, ProSky Inc. According to court documents, Huang would lull investor victims into a false sense of security about their investments by claiming her company, ProSky Inc., had millions in recurring revenue, when in fact it did not. She further supported her false claims by providing investors with falsified balance sheets, profit and loss statements, bank account statements and customer lists. During her scheme to defraud, Huang obtained over $5 million from approximately 13 investors and communicated via email, telephone and through an online database. On the day of her sentencing, Huang provided a check to the clerk of court for $300,000 and was ordered by the court to pay $1,200 per month in restitution.

“Ms. Huang had every reason and opportunity not to engage in this type of criminal conduct, but chose to do so,” said Assistant United States Attorney Mark E. Woolf of the District of Utah. “We will continue to work with our law enforcement partners to prosecute those who commit fraud within our communities.”

“The information Ms. Huang provided to investors was just completely false,” said United States District Court Judge David Barlow. “These false statements didn’t just happen once or twice, but over a period of years.”

“Fraudsters are masters of deception, and can scam even the most sophisticated investor,” said Special Agent in Charge Shohini Sinha of the Salt Lake City FBI. “Before handing over your hard-earned money, always independently and thoroughly research any opportunity, and report anything suspicious to the FBI.”

The case was investigated by the FBI Salt Lake City Field Office, Provo Resident Agency.

Assistant U.S. Attorney Mark E. Woolf of the District of Utah prosecuted the case.

15:78j(b), 78ff, and 17 C.F.R. § 240.10b-5 MANIPULATIVE AND DECEPTIVE DEVICES/ Securities Fraud
(1)

"(b) To use or employ, in connection with the purchase or sale of any security registered on a national securities exchange or any security not so registered, or any securities-based swap agreement [1] any manipulative or deceptive device or contrivance in contravention of such rules and regulations as the Commission may prescribe as necessary or appropriate in the public interest or for the protection of investors."

Outcome: BOP 18 months. 24 months supervised release with standard and special conditions as stated on the record. No fine. SPA $100. Restitution of $5,025,000 as stated on the record.

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