Federal securities regulators filed fraud charges over the construction of a movie studio in Georgia - and former New York Gov. David Paterson will pay fines for his involvement with the company at the heart of the case.
The Securities and Exchange Commission said Paterson was a director of the company that perpetrated the alleged fraud, and that he failed to report stock transactions in a timely manner.
Paterson will pay $25,000 in penalties without admitting or denying the commission's findings. He is not allegedly to have participated in the fraud.
The SEC alleged executives of the company, variously known as Medient Studios or Moon River Studios, enriched themselves and misled investors in the proposed Studioplex outside Savannah.
