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UNITED STATES ATTORNEYS OFFICE

EASTERN DISTRICT OF MISSOURI

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March 3, 2011For Immediate Release

FORMER WOODBURY FINANCIAL SERVICES

STOCKBROKER & ASSOCIATE INDICTED ON

MULTI MILLION DOLLAR SECURITIES FRAUD

St. Louis, MO: The United States Attorneys Office announced the indictment of JoshuaGould, a former stockbroker with Woodbury Financial Services, Inc. and affiliate ofSpetner & Associates; and David Rubin, owner and operator of two local offices of CoralMortgage Bankers Corporation.

Count I of the indictment alleges that between May 2007 and December 31, 2010, Gouldand Rubin embezzled approximately $1,500,000 from an individual solicited by Rubin toprovide funds for operating capital for Corals St. Louis operations. The individual wasassured that the funds would be held in a secure trust account, used as collateral forCorals operations, and that the individual would receive regular interest payments. The

indictment states that between May 2007 and December 2008, the client provided Rubinapproximately $1,200,000 from his and his wifes life savings. Rubin allegedly usedsome of the funds to pay his own salary and to make payment of an out of courtsettlement in a sex discrimination lawsuit. Rubin transferred the balance of the funds toGould. Gould allegedly used those funds for personal expenses including car payments,mortgage payments, payment of substantial personal credit card bills, the renovation ofhis personal residence, jewelry, and adult entertainment including substantial expenses atthe Penthouse Club and PTs. Gould also allegedly used the money to finance start upcosts and operational costs of several business ventures including The Sports Nook, TrueHockey and Free Poker Experience. The indictment alleges that Gould and Rubinprepared and gave the individual false account statements, including statements falsely

representing to the client that as of September 30, 2010, he had $1,126,365 in hisInvestment Fund and $217,123 in his Family Charity Fund, when in fact all of the fundshad been embezzled, diverted and stolen by Gould and Rubin.

Count II of the indictment alleges that Gould embezzled approximately $3,500,000 fromnumerous brokerage clients and the owners of the RARJI Trust. Gould solicited clientsof the Spetner and Associates insurance agency to move their investment portfolios andretirement accounts from other brokerages to him at Capital Analysts, Inc., and then

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Woodbury. According to the indictment, on multiple occasions, Gould processed tradesand the redemption of securities held in client accounts and accounts of the RARJI Trustwithout the knowledge, approval, and authorization of the account holders, and had theproceeds transferred into his own personal bank accounts. Also, as part of the scheme,Gould falsely represented to his clients that Pacific Mutual Alliance, LLC and Apex

Alliance LLC were legitimate investment securities, when they were actually shellcompanies that he had established and controlled.Gould allegedly used the funds for personal expenses including car payments, mortgagepayments, payment of substantial personal credit card bills, the renovation of his personalresidence, jewelry, and adult entertainment including substantial expenses at Penthouse Club and PTs. Gould also allegedly used the money to finance start up costsand operational costs of several business ventures including The Sports Nook, TrueHockey and Free Poker Experience. Gould also engaged in a Ponzi type scheme by usingclient funds to pay off other clients trade requests after he had liquidated their securitieswithout their knowledge.

Gould, 31, University City, MO, was indicted by a federal grand jury on one felony countof wire fraud and one felony count of mail fraud. Rubin, 47, Chesterfield, MO, wasindicted on one felony count of wire fraud. Additionally, upon a finding of guilt, thedefendants will be subject to a forfeiture allegation, which will require them to forfeit tothe government all money derived from their illegal activity.

If convicted, each count of the indictment carries a maximum penalty of 20 years inprison and/or fines up to $250,000. In determining the actual sentences, a Judge isrequired to consider in an advisory capacity the U.S. Sentencing Guidelines, whichprovide recommended sentencing ranges.

This case was investigated by the Federal Bureau of Investigation, the Postal InspectionService, and the United States Secret Service. Assistant United States Attorney HalGoldsmith is handling the case for the U.S. Attorneys Office.

As is always the case, charges set forth in an indictment are merely accusations and donot constitute proof of guilt. Every defendant is presumed to be innocent unless and untilproven guilty.