U.S. to charge AOL with fraud

By Derek Sooman on December 15, 2004, 10:55 AM
Not a lot is known about this story yet, but you can bet it will be back in the news very soon. The US government will be charging Time Warner's America Online with "aiding and abetting securities fraud." However, prosecution is likely to be deferred for two years.

"In a criminal complaint that will be filed in Virginia, the Justice Department will accuse AOL and PurchasePro of engaging in a scheme to inflate revenue."

AOL has so far co-operated fully with the investigation, and will be fined $210 million in criminal-related fines. More details than that are pretty non-existent at this stage, but expect this to get a lot of attention.




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