Government wants $1.5M from former Campbell mayor
Now that former Campbell Mayor George Krinos is out of prison, federal regulators are trying to collect more than $1.5 million they say he owes.
The U.S. Security and Exchange Commission is asking a federal judge to enforce a 2016 SEC order that Krinos pay a total of $1,454,779 in civil penalties and interest that has been accruing over the years.
In 2017, Krinos was sentenced to prison for cheating 18 investors out of $1.2 million through the unregistered sale of stock and convertible notes.
Investigators say Krinos filed a false form with the SEC and misrepresented the scope, experience, and assets under his management.
In addition, the SEC says Krinos violated laws by acquiring a shell company and failing to file the proper forms.
The government said Krinos opened two new credit card accounts and signed for a car loan, hoping to have his father make monthly payments to preserve and build his credit while he is in prison.
He pleaded guilty to one count of securities fraud and one count of willfully failing to pay taxes.
Krinos was released from federal prison this past October, according to Bureau of Prison records.
Krinos resigned from his position as mayor a year after taking office in 2010 amid the federal fraud investigation.