Both Coker Sr. and Coker Jr. are headed to prison. A federal court in Camden, New Jersey, convicted them for their central role in a scheme to defraud the market by artificially inflating the share prices of Hometown International and later E-Waste. The scheme was in operation from 2014 until September 2022. It defrauded investors by creating artificial demand for the publicly traded stock of private companies that turned out to be valueless.
On the day of sentencing, Peter Coker Sr. discovered that there existed a federal guideline. For him, it suggested a sentence of 51-63 months in prison. This particular case attracted a lot of media focus because of the complicated nature of the case and the millions of dollars in losses it caused. As a harsh rebuke to the defendant, Judge Robert O’Hearn emphasized the magnitude of the fraud, stating, “This was a fraudulent scheme from the start.” He followed this up with underscoring, “The corporations are truly bankrupt, and there is no chance of return.”
Throughout the proceedings, Coker Sr. showed genuine regret for his actions. This crime has permanently altered the path of the life I was meant to live,” he said. He gained understanding in how his decisions were impacting him — and his family. Zach Intrater’s lawyer, Jesselyn McCurdy, gave the most moving statement of the day. He focused attention on Coker Sr.’s 61-year marriage to wife Susan Coker, asking the judge to allow the couple to live out their last years together.
Peter Coker Jr. didn’t show up for his father’s sentencing. Transportation delays from an Essex County jail led to his absenteeism. Coker Jr. officially relinquished his U.S. citizenship in 2019. Following his arrest in Thailand, he was imprisoned while waiting to be indicted for the same scheme. His attorney, John Azzarello, put forth a vigorous defense. He argued that time served in a Thai prison, as well as almost two years in Essex County, should be enough punishment. Azzarello had requested a sentence of time served or just a few months more.
Coker Jr. has faced some deep health crises. He is currently experiencing end-stage liver cirrhosis, a condition directly linked to his long history of alcohol addiction prior to incarceration. Because of his deteriorating condition, doctors had already discussed getting him listed for a liver transplant. Looking back on his experience, he remarked, “The torture and trauma that I went through in Bangkok jail was horrible. I don’t want that a worst enemy to suffer that destiny.” You could see the burden of sorrow in his face as he began to understand the true impact of his self-destructive behaviors on his loved ones.
At the end of the hearing, Coker Jr. delivered an emotional message. “It destroys me every time I think about how what I did hurt my parents,” he said. He said it breaks his heart that his parents were associated with this awful murder. Their mutual engagement in the scam exacted a deep emotional cost on her and leaves him testifying to the truth.
Judge O’Hearn later articulated the motivations behind the scheme, questioning, “What is the motivation here other than greed? Because I don’t see it.” His remarks highlighted the court’s perception of the egregiousness of the crimes perpetrated by this dad and son duo.
James Patten Hometown International was pitched as an umbrella corporation. Paul Morina’s acceptance of this unsubstantiated proposal became the beginning of the fraud. This initiative quickly spiraled into a more nefarious scheme that included coordinated trading of specific stocks to manufacture illusionary demand in the market. The consequences of this scheme were far-reaching, resulting in billions in losses to investors and the subjects of this operation sparking federal investigations.
Both Peter Coker Sr. and Coker, Jr. pleaded guilty earlier this year. The agreement came after their indictment last year on securities fraud charges. Over time, as they began to serve their sentences, the truth of their circumstance convulsed in overwhelming waves for both men.
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