Long Island Boiler Room Operator Gets 2 Years for $147M Scam

CENTRAL ISLIP, NY – Emin L. Cohen, 35, of Coram, New York, is headed to federal prison after being sentenced today to two years’ imprisonment for his part in a brazen $147 million stock manipulation scheme. Cohen, a cold-caller and account executive at the Melville-based My Street Research and its predecessor boiler rooms, was also ordered to pay $86,168 in forfeiture. Restitution amounts will be determined at a later date, but the damage is already done: countless investors, many elderly and vulnerable, were fleeced by Cohen and his crew.

The sentence was handed down by United States District Judge Joanna Seybert in federal court. Cohen pleaded guilty in June 2018 to conspiracy to commit securities fraud, admitting his central role in the multi-defendant operation. According to prosecutors, between January 2014 and July 2017, Cohen and 15 co-defendants engaged in a classic “pump and dump” scheme, artificially inflating the price and trading volume of targeted publicly traded companies before dumping their shares for a hefty profit.

“Cohen played key roles in the boiler room, luring the victims, many of them elderly and vulnerable, into the fraudulent scheme with lies and subjecting them to high-pressure tactics to seal the deals,” stated United States Attorney for the Eastern District of New York, Richard P. Donoghue. “With today’s sentence, Cohen has been held accountable for taking advantage of victims of his telemarketing con job, designed solely to enrich himself and his co-conspirators.” The operation thrived on deception, with defendants making false and misleading statements about the potential profitability of the stocks.

The boiler room environment was reportedly toxic, reflecting the callous disregard for the victims. A sign taped to the wall, uncovered by investigators, chillingly stated: “WE’LL POUND THE PHONE AND WITH A LITTLE BIT OF LUCK, WE’LL MAKE A TON OF MONEY AND WON’T GIVE A F—.” While Cohen is facing consequences, he’s not alone. Ten of his co-defendants have already pleaded guilty and are awaiting sentencing, while five others are scheduled to stand trial.

The government alleges that Cohen and his co-conspirators profited handsomely while investors were left holding worthless stock when the manipulated companies’ prices inevitably plummeted. The case was prosecuted by Assistant United States Attorneys Whitman G.S. Knapp, Alicyn L. Cooley and Patrick T. Hein. Assistant United States Attorney Tanisha R. Payne of the Office’s Civil Division is handling the forfeiture aspect of the case. This conviction serves as a stark reminder of the predatory nature of these schemes and the devastating impact they can have on unsuspecting investors.

Cohen, also known as “Ian Grant,” now has two years to reflect on his crimes. The case is E.D.N.Y. Docket No. 17-CR-372-10 (JS). The FBI’s New York Field Office, led by Assistant Director-in-Charge William F. Sweeney, Jr., played a crucial role in unraveling the complex scheme and bringing Cohen to justice. This is just the latest example of the relentless pursuit of financial criminals by federal authorities.