The US Securities and Exchange Commission (SEC) has indicted Trevon Brown, Craig Grant, Ryan Maasen and Michael Noble. The authorities consider them to be promoters of the fraudulent cryptocurrency project Bitconnect.
SEC charges U.S. promoters of $2 billion global crypto lending securities offering. Learn more: https://t.co/ZKkl9ZVmlR
— SEC_News (@SEC_News) May 28, 2021
According to the SEC, from January 2017 to January 2018, the suspects were promoting the company. The regulator claims that they sold unregistered securities and received a percentage of the transactions.
“We allege that these defendants illegally sold unregistered securities under the guise of digital assets, actively promoting the Bitconnect lending program to retail investors,” said Lara Shalov Mehraban, deputy director of the SEC in New York.
The agency also indicted Joshua Jeppesen, who is considered “the link between Bitconnect and the promoters.” The SEC said that he presented the project at conferences and other events.
The regulator asked the court to prohibit the defendants from engaging in such activities in the future and to recover from them the misappropriated funds with interest and fines.
In January 2018 Bitconnect accused in creating a financial pyramid. At its peak, the BitConnect coin price exceeded $ 500 and was in the top ten of the CoinMarketCap rating.
From working with Bitconnect investors warned Ethereum creator Vitalik Buterin, billionaire Mike Novogratz and Litecoin creator Charlie Lee.
As a reminder, in November 2020, the Australian Securities and Exchange Commission filed charges John Bigatton. The authorities consider him a promoter of Bitconnect.
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