United States v. Mitchell J. Stein
Court Docket Number: 2:11-CR-00985

On December 20, 2011, the U.S. District Court for the Southern District of Florida unsealed an indictment, filed under seal on December 13, 2011, charging Florida resident Mitchell J. Stein, an attorney for Signalife, Inc. (Signalife), a South Carolina health care device company, with one count of conspiracy to commit mail and wire fraud (Count 1: 18 U.S.C. § 1349), three counts of mail fraud (Counts 2-4: 18 U.S.C. § 1341), three counts of wire fraud (Counts 5-7: 18 U.S.C. § 1343), three counts of securities fraud (Counts 8-10: 18 U.S.C. § 1348), three counts of money laundering (Counts 11-13: 18 U.S.C. § 1957), and one count of conspiracy to obstruct justice (Count 14: 18 U.S.C. § 371) stemming from a multi-million dollar market manipulation fraud scheme. Signalife was later known as Heart Tronics, Inc., and the company's stock was traded under the symbols SGN and HRTT. Stein was arraigned on January 20, 2012 and released on bond. If convicted, Stein faces a maximum sentence of 15 years in prison and a $250,000 fine, as well as forfeiture. There has been no finding of guilt with respect to defendant Mitchell Stein, and he is presumed innocent until and unless proven guilty beyond a reasonable doubt.

We are in the process of identifying victims who might be willing to provide testimony in court during the presentation of the government's case. Victims who are willing to testify at trial for the government or who have additional evidence should complete the online questionnaire (in fillable PDF format) at the bottom of this page.

This case is assigned to Judge Kenneth A. Marra, U.S. District Court Judge for the Southern District of Florida, the Paul G. Rogers Federal Building, 701 Clematis Street, Courtroom 4, West Palm Beach, Florida. The initial trial date set in this case has been vacated and will no longer take place on the October 1 date set aside for it on the court's calendar. Status hearings were held telephonically on October 25, October 31, November 8, and November 16. Trial has been reset for May 6, 2013 at 9:00 a.m., with a calendar call on May 3, 2013 at 9:00 a.m.

If you have suffered losses as a result of this scheme, you have the right to submit a Victim Impact Statement (or letter) during the sentencing phase to explain how the crimes affected you. This statement is completely voluntary but is important to us because it reflects what you are having to personally and financially endure because of the defendant's crimes. Victim Impact includes physical, emotional and/or financial loss. Because there are many victims in this case, we are asking that you complete this statement now as it relates to this defendant and mail it to: Pam Washington, U.S. Department of Justice, Criminal Division, Fraud Section, 10th & Constitution Avenue, NW, Bond Building, Room 4216, Washington, DC 20530. Alternatively, you may also fax the statement to Ms. Washington at (202) 514-7021.

Related Cases: In a related case in the Central District of California, United States v. Ajay K. Anand, a former investor in and consultant for Signalife, pleaded guilty to one count of obstruction of proceedings before the Securities and Exchange Commission (SEC) stemming from his making false and misleading statements about his knowledge of and involvement in certain activities of Signalife. Anand will be sentenced on January 24, 2013 at 8:30 a.m. before Judge John A. Kronstadt in Courtroom 750, the Edward R. Roybal Federal Building and U.S. Courthouse, 255 East Temple Street, Los Angeles, CA 90012. Also, in another related case pending in the District of Columbia, United States v. Martin B. Carter, the former Chief Technology Officer of Heart Tronics, Inc., pleaded guilty on October 5, 2011 for his role in the fraudulent scheme. A status conference has been set for November 2, 2012, at 10:00 a.m. before Judge Rosemary M. Collyer in Courtroom 8 of the U.S. District Court for the District of Columbia, 333 Constitution Avenue, NW, Washington D.C. 20001. No date has been set for sentencing.

The written information on this website will be updated as new developments arise in the case. If you have any questions, please call Pam Washington toll-free at (888) 549-3945 or email her at victimassistance.fraud@usdoj.gov.

Questionnaire

Victim Impact Statement Form

U.S. v. Mitchell J. Stein, Criminal Indictment, Unsealed December 13, 2011