Phantom Pump & Dump
One of the things we never expected to see from Infinium Labs is shady business practices.
Ha ha ha! No, just kidding — if the Phantom console was ever released, we pretty much expected to see a 486 processor shoved into an XBox shell and a swaztika logo slapped on top of the giant neon X. So we aren't surprised at all that the SEC is investigating Infinium Labs ex-CEO Timothy Roberts for misleading investors to artificially raise Infinium's stock prices, then immediately selling his own shares at an inflated price before they got wise.
According to Gamespot, Roberts personally sent out thousands of faxes to investors, guaranteeing a January 2005 launch amongst a gaggle of other bald-faced lies. The faxes informed investors that Infinium's stock values could rise as much as 3,000%. Investors greedily swooped up more Infinium stock. Roberts then immediately sold 1.3 million shares of his own shares, netting a cool $422,500.
With the SEC involved, Roberts now equals screwed. Even if the console is never released, no one can say that gamers haven't had thousands of hours worth of fun with the Phantom Console, can they? - Florian Eckhardt
Ex-Infinium CEO Accused of Stock Scandal [Next Generation]
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