Alan Anderson, the former CEO of several East Bay-based internet companies, has been sentenced to over seven years in prison following convictions for wire fraud. The U.S. District Judge Edward M. Chen handed the sentence to Anderson because of his fraudulent activities that duped investors out of millions.

According to the U.S. Department of Justice, Anderson admitted to falsely inflating the value of his companies—Imbee.com, Fanlala, and Fruit Punch—to secure investments under pretenses. He even concocted fake contracts and other documents to support his deceit. His crusade to paint a thriving business portrait began in September 2011, and over several years, he managed to swindle approximately $8.825 million from his victims.

On January 4, Anderson pled guilty to two counts of wire fraud, acknowledging his role in the fraudulent scheme from April 22, 2010, to May 2018. The companies in question were marketed as child-friendly platforms for social media and music streaming, echoing a certain peril that grips those who seek to protect the innocent yet fall prey to the concealed agendas of the deceitful. At sentencing, Judge Chen emphasized the span of the fraud and the impact on investors.

The 61-year-old former executive faces repercussions beyond incarceration. After serving his 88-month sentence, set to begin on January 6, 2025, Anderson will also be subject to three years of supervised release and is expected to pay restitution. This figure will be ascertained in an October 10 hearing. His conviction originates from an October 13, 2021, indictment by a federal grand jury on multiple counts of wire fraud and one count of securities fraud.

The case was prosecuted by Assistant U.S. Attorneys Christiaan Highsmith and Sailaja Paidipaty, with investigative support from the FBI.