but livedoor lost the competition to be the city's home team to Rakuten, a Japanese e-commerce company; the team became the Tohoku Rakuten Golden Eagles and began play in 2005. Livedoor acquisitions in the U.S. included MailCreations in Miami, Florida, in June 2004, which functioned as the company's U.S. headquarters. Livedoor entered search and contextual advertising spaces in America in November 2005. A scandal involving securities law violations led the Tokyo Stock Exchange to delist Livedoor on April 14, 2006. Allegations The case broke on January 16, 2006, when Tokyo prosecutors raided several Livedoor locations, Horie's home, and the homes of other Livedoor and subsidiary executives on suspicions of securities fraud. The raids spooked investors and sent shares plunging on January 17 and 18 as a widening criminal investigation sparked panic selling on the Tokyo Stock Exchange. Some brokers announced they would no longer allow use of the issue for margin trading. Volume was so heavy that it threatened to overload the TSE's computer system, prompting a halt in trading for the entire market—a breaking record and the first time this has ever occurred. The TSE ordered Livedoor to provide a formal response to the allegations. When the company filed a hasty report after a quick internal investigation, the TSE told executives to provide a more detailed report and threatened to delist Livedoor if allegations of improper activities proved valid. On January 18, 2006, Hideaki Noguchi, an executive of H.S. Securities, a firm raided by prosecutors earlier in the week in connection with Livedoor, was found dead in an Okinawa hotel room in what the authorities labeled a suicide. The authorities called in several Livedoor and subsidiary executives for questioning over several days, and Horie himself on January 23. After several hours of questioning Horie, investigators felt they had learned enough to press charges and petitioned for four arrest warrants, which were granted. Horie, Livedoor's chief financial officer, and the presidents of two subsidiaries were arrested mid-evening for securities and accounting fraud. They were held for two months without bail, and during this time, Livedoor's temporary Representative Director Fumito Kumagai was also arrested. Japan's Securities Commission filed a criminal complaint against the five arrested ex-executives of the company on March 13, 2006. Founder Horie was sentenced to 2.5 years in jail on March 16, 2007. Others were given various jail sentences four days later but appealed. Aftermath After losing 90%