sentences:  They were alleged to have lied about how they would spend the proceeds of note offerings from January 2005 to November 2012, saying they would be used for general corporate purposes, to buy businesses and technologies and to repurchase outstanding notes, while in fact the two men diverted more than $400 million to entities they controlled.Wu and Tsang also allegedly halted public disclosures of material events affecting CMED's securities and stopped making interest payments.The note offerings allegedly were based on intellectual property that was over two decades old, off-patent, and had little value.