Stephen Gardner, was sentenced to eight years and one month in prison for his role in the fraud, which resulted in bankruptcy for the company. Although former chairman of the board, John Moores, sold more than $800 million of shares during Peregrine's fraudulent period, the court of appeals determined that there was insufficient evidence that Moores knew about the fraud that led to the company's bankruptcy. Sentences Stephen Gardner (former Peregrine CEO): 97 months in custody at the Federal Medical Center, Devens. Gardner died of a heart attack in July 2013 while in custody at FPC Cumberland. Douglas Powanda (former Peregrine Executive Vice President for World Wide Sales): 78 months in custody at the Federal Correctional Institution, Bastrop, followed by two years of supervised release. Matthew Gless (former Peregrine CFO): 63 months in custody followed by two years of supervised release. Jeremy Crook (former Peregrine General Manager for Europe): 27 months in custody. Andrew V. Cahill, Jr. (former Peregrine Executive Vice President for World Wide Sales, after Powanda): 22 months in custody followed by two years of supervised release. Released from prison on October 22, 2010. Berd J Rassam (former Peregrine Controller): 19 months in custody followed by two years of supervised release. Larry Rodda (former managing director of KPMG Consulting): Six months in custody, six months of home detention, two years of supervised release and $100 mandatory special assessment. Richard Nelson (former Peregrine Corporate Counsel): One day in custody, six months home detention and 200 hours of community service. Ilse Cappel (former Peregrine Assistant Treasurer): Five years of probation. John Burnham Benjamin (former Peregrine Treasurer): Five years of probation. Steven Spitzer (former head of Peregrine's Alliance Sales Program): Three years probation, a $5,000 fine and 200 hours of community service plus a $110,000 civil penalty and barred from serving as an officer or director of any public company. Gary Lenz (former Peregrine President & COO): Three years of probation. Peter O'Brien (former Peregrine Director of Alliances): One year of probation. Michael Whitt (owner of Barnhill Management Group): Civil penalty of $60,000, six months in federal prison, and six months in home confinement. Charges dismissed: Joseph Reichner (former Peregrine Vice President of Alliances) Patrick Towle (former Peregrine Revenue accounting manager) Dan Stulac (formerly led auditing team at Arthur Andersen) Eric Paul Deller (former Peregrine General Counsel) Bankruptcy Peregrine filed for Chapter 11 protection on September 23, 2002 after laying off