Tagged: fraud

March 13, 2016 @ 5:52 pm By JD Alois  |  

The Securities and Exchange Commission (SEC) is continuing to pound the drum on investor fraud, a serious issue that impacts thousands of duped individuals every year. The Office of Investor Education and Advocacy has launched a slick campaign designed to warn individuals to beware of… Read More

March 10, 2016 @ 3:55 pm By JD Alois  |  

Enforcement is how the bulk of the Securities and Exchange Commission spends their budget and much of their time. There will always be a never-ending trail of ne’er-do-wells and scoundrels looking for an opportunity to separate hard-earned money from good people via duplicitous means. High… Read More

March 7, 2016 @ 4:00 am By Scott Andersen  |  

The recent economic downturn is not the only challenge for entrepreneurs in the EB-5 and JOBS Act industries.  Rather, the challenges include close regulatory scrutiny by the United States Securities and Exchange Commission’s (SEC) Division of Enforcement.  While both EB-5 and the JOBS Act were… Read More

February 29, 2016 @ 10:43 pm By Spencer Li  |  

Following the much-talked-about Ezubao $7.6 billion Ponzi scheme collapse at the end of last year, the perception and outlook of the Chinese online lending industry has grown increasingly negative both within and outside of China. Murmurs of regulation began floating around in early 2014 but… Read More

February 14, 2016 @ 1:01 pm By JD Alois  |  

The Ministry of Public Security (MPS) has launched a website where investors may submit platforms where they have been swindled out of their money. The new site is said to be designed to aid authorities as they investigate dodgy platforms.  The announcement, published in China News,… Read More

February 1, 2016 @ 11:21 am By JD Alois  |  

As reported in December, the Chinese peer to peer lender Ezubao (Ezubo), launched by Yucheng in 2014,  was shuttered by authorities as employees were questioned and managers were arrested by police.  Now Xinhua and other news outlets are providing details that are shaking up the… Read More

January 14, 2016 @ 4:37 pm By Georgia Quinn  |  

As discussed in part one, the SEC’s final Regulation Crowdfunding rules require thorough analysis to not fall prey to potential traps. While I firmly believe that we can make crowdfunding work regardless of the roadblocks set forth, it does not mean that we can afford… Read More

January 8, 2016 @ 9:04 am By JD Alois  |  

The Securities and Exchange Commission charged two Bitcoin mining companies for a Ponzi Scheme last month as part of an ongoing investigation into the activities of Homero Joshua Garza. Yesterday the SEC filed for an entry of default as  Garza apparently has not responded to… Read More

January 7, 2016 @ 5:08 pm By JD Alois  |  

The SEC dedicates much of its time and resources hunting down crooks and white collar thugs. In fact, the agency spent almost a billion dollars in the last fiscal year fostering and enforcing compliance with Federal securities laws. And why is that? Because there will… Read More

December 10, 2015 @ 8:21 am By JD Alois  |  

In a sign of a more vigilant approach by Chinese authorities regarding questionable peer to peer lending platforms, Ezubo (Ezubao) saw 1.1 billion yuan frozen by the government  and the Chairman, Din Ning along with other top executives were said to be in police custody according… Read More

December 6, 2015 @ 11:48 am By JD Alois  |  

The SEC filed charges against two Bitcoin mining operations last week accusing the founder of launching a Ponzi scheme to defraud investors lured in by get rich quick claims. Homero Joshua Garza operated two Bitcoin companies, GAW Miners and ZenMiner.  The Connecticut-based scam paid early… Read More

December 2, 2015 @ 8:00 am By JD Alois  |  

During the buildup to the Securities and Exchange Commission’s announcement regarding the final rules on Title III retail crowdfunding, the Commission filed a fraud case in the US District Court of Nevada.  The SEC accused Ascenergy, a company ostensibly in the oil and gas industry,… Read More

November 18, 2015 @ 10:30 am By Samantha Hurst  |  

  Back in December 2014, British company Torquing Group took to Kickstarter with a mission to raise funds for its new nano “smart” drone, Zano. The project was met with backer enthusiasm and excitement as it secured a grand total of £2,335,119 ($3,550,665.20 USD). The Zano… Read More

November 17, 2015 @ 2:31 pm By JD Alois  |  

The SEC has filed fraud charges against alleged perpetrators of a $78 million pump & dump scheme involving shares of Marley Coffee.  The company, Jammin Java, was marketed using the trademarks of reggae performer Bob Marley. In a release by the SEC, officials stated that… Read More

November 14, 2015 @ 10:35 am By JD Alois  |  

Joanna Leigh from Boston has admitted to scamming almost $40,000 following the wake of the Boston Marathon Bombing tragedy. Leigh pleaded guilty to all charges after previously denying she had committed fraud.  Leigh took money from a variety of sources including the One Fund Boston,… Read More

November 6, 2015 @ 10:35 pm By JD Alois  |  

The Securities and Exchange Commission has filed charges against alleged rogue trader James Alan Craig of Dunragit, Scotland.  Apparently Craig was a bit cocky too, as he tweeted that the SEC would not be able to track him down.  The SEC has used their own Twitter… Read More

November 2, 2015 @ 4:00 pm By JD Alois  |  

Lost in all of the excitement of last weeks’ announcement from the SEC on Title III crowdfunding rules was a case of crowdfunding fraud.  According to the Securities and Exchange Commission, the agency halted a “fraudulent oil and gas crowdfunding scheme”.  The SEC has frozen… Read More

October 18, 2015 @ 5:09 pm By JD Alois  |  

The US Department of Treasury, via its FinCen or Financial Crimes Enforcement Network, is ringing warning bells when it comes to rewards based crowdfunding. FinCen notes a rise in “suspicious activity reports” (SARs). In a report published this past week, FinCen spotlighted rewards based crowdfunding… Read More

October 14, 2015 @ 9:21 am By JD Alois  |  

Scandalous news hit the peer to peer lending world this week as TrustBuddy revealed allegations of serious misconduct.  The malfeasance was deemed so severe that Swedish authorities immediately shut down the direct lending operation and Swedish Police were contacted to investigate if criminal activity has… Read More

October 13, 2015 @ 9:33 am By JD Alois  |  

In an unsettling about face TrustBuddy, a peer to peer lending platform based in Stockholm, has shut down.  The home page has transitioned from lending platform into a public statement (republished below) in both Swedish and English explaining a series of alleged misconduct; “An investigation… Read More