Jury Finds Technology Company Founder Liable for Misleading Investors About Energy-Efficient Computer Servers
Stephanie Avakian, Co-Director, SEC Division of Enforcement
Steven Peikin, Co-Director, SEC Division of Enforcement
Dec. 14, 2017
"We are gratified by the jury’s verdict finding William E. Mapp III liable for misleading Servergy investors about the company’s business prospects. Corporate officers owe shareholders nothing less than the full truth, and we vigorously pursue executives who mislead people."
The SEC charged Mapp and his company, Servergy, on Apr. 11, 2016. Servergy agreed to a pre-trial settlement. After an eight-day trial, on Dec. 13, 2017, the jury found Mapp liable for violating Section 17(a)(2) of the Securities Act of 1933. The SEC’s litigation is being handled by Matthew Gulde, Timothy Evans, Samantha Martin, and Deborah Minnick, and is being supervised by Jessica B. Magee and B. David Fraser.