Sen. Allen's Shameless Stock Fraud

So far the AP has only reported that Senator Allen has failed to tell Congress about his stock options in Xybernaut, a now bankrupt company that tried to make wearable computers. What the AP hasn't yet reported is that Xybernaut, where Senator Allen was on the board of directors, was an obvious stock fraud run by a notorious rogues gallery. According to the Washington Post last year, "Criminal charges have been filed in New York against three men accused of defrauding investors out of $16.8 million in the sale of Xybernaut stock. The chief target of the 64-count federal indictment is John Marciano, a former Long Island stockbroker who was the chief executive of the brokerage firm that managed Xybernaut's initial public offering in 1996."

And he is hardly the only crook involved. Dr. Joseph D. Ben-Dak, Xybernaut's chief scientist was involved with another famous fraud, Turbodyne, and was even caught affixing fake U.N. seals on reports.

Someone needs to ask the Senator some tough questions about the company he keeps. How much did he know about these cheats, and when did he know it.