Elgindy Pleads Guilty to Using a Fake Identity

From Bloomberg News

August 2, 2005

Former San Diego financial analyst Anthony Elgindy, who was convicted in January of racketeering, pleaded guilty Monday to using a false name at a New York airport last year as he tried to board a flight to San Diego, U.S. prosecutors said.

Elgindy admitted making false statements and presenting false identity papers at Long Island's MacArthur Airport on April 17, 2004.

At the time, he was free on bail awaiting trial on charges that he parlayed illegal tips from an FBI agent into trading profits by short-selling stocks of companies being investigated by the government.

"This case demonstrates that any defendant who attempts to flee while on pretrial release will be vigorously prosecuted," U.S. Atty. Roslynn R. Mauskopf of the Eastern District of New York said in a statement.

Elgindy faces a maximum of 20 years for his conviction in January and is awaiting sentencing in that case. He faces a maximum of five years for each of the two charges to which he pleaded guilty before U.S. District Judge Raymond J. Dearie on Monday, authorities said.

Elgindy was carrying about $25,000 in cash and $30,000 in jewelry in his luggage when he attempted to board with false papers identifying him as "Herbert Manny Velasco," authorities said.

In the racketeering and fraud case, the government said Elgindy used inside information obtained from FBI agent Jeffrey Royer to spread negative publicity about companies being investigated through his online stock-advice newsletter, AnthonyPacific.com.

Prosecutors said he would extort payments from the targets of his bad publicity to get him to stop. Royer was also convicted.