Manhattan District Attorney Cyrus R. Vance, Jr., today announced the indictment against JOHN D. MAZZUTO, a corporate executive, and JAMES W. MARGULIES, an attorney, for illegally issuing shares of stock to enrich themselves and others, and for engaging in fraudulent activity to inflate the stock’s value and deceive investors.[1] The defendants were charged with Grand Larceny, Scheme to Defraud, Conspiracy, Falsifying Business Records, and violations of the Martin Act (New York State’s securities fraud law). The crimes charged in the indictment occurred between 2004 and 2008 and relate to Industrial Enterprises of America, Inc. (“IEAM”), a public holding corporation located in Manhattan. The defendants illegally issued millions of shares of stock in IEAM to family, friends, and close associates, and engaged in myriad fraudulent activities in their scheme to steal more than $60 million. The defendants stole from the corporation and legitimate investors, and engaged in a variety of fraud...