Career
In 2003, the National Association of Securities Dealers ruled that Elgindy and his firm Key West Securities "engaged in a manipulative scheme in 1997 to inflate artificially the share price of Saf T Lok, Incorporated. through the entering of fraudulent quotations in the Nasdaq system, selling the stock short at the artificially high prices, and then taking active steps to depress the share price of Saf T Lok through the dissemination of negative research comments." Elgindy and Key West Securities were fined $51,000 and had their National Association of Securities Dealers memberships revoked. Elgindy was charged in January 2005 with racketeering, securities fraud and other crimes in connection with a supposed scheme to steal confidential law enforcement information relating to Federal Bureau of Investigation and Securities and Exchange Commission investigations of various companies. After a four-month trial, involving allegations in 32 different stocks, including the stock of GenesisIntermedia.Inc (GENI).
Elgindy was convicted of "inside-trading" in five of those stocks with illegal gains totaling about $66,000.
Elgindy committed suicide on July 23, 2015.