Former Friedman’s CEO Indicted on Securities Fraud

Accused of falsifying accounting records and misrepresenting company finances to defraud investors, former Friedman’s Inc. CEO Bradley Stinn has been indicted on securities fraud in New York.

Stinn faces charges of conspiracy, securities fraud, making false filings with the Securities Exchange Commission, mail fraud and certification of a false financial report.

“Brad intends to defend himself at the trial. He's innocent of these charges,” David Shapiro, Stinn's lawyer told the Associated Press. “Friedman's was and still is a successful jewelry company, which Brad helped to build. The government pushed it into bankruptcy as the result of its three-and-a-half year investigation.”

Once the U.S.’ third-largest specialty jewelry retailer, Friedman's declared bankruptcy in January 2005, but has since recovered.