The U.S. Securities and Exchange Commission (SEC) has indicted eight people in a $100 million securities fraud scheme involving major social media platforms, Twitter and Discord.
Seven of the defendants reportedly promoted themselves as successful traders on social media platforms and encouraged their followers to buy stocks of their choice by posting targeted and updated information about their positions. Recommended. However, as stock prices and trading volumes increased, the defendants allegedly sold the shares without disclosing their intentions, resulting in an illicit profit of approximately $100 million.
Joseph Sansone, head of the SEC’s Office of Enforcement’s Market Abuse Unit, said the SEC’s actions today would “reveal the true motives” of the influencers alleged to have committed fraud, as well as “defy investors. It serves as another warning,” said “Unsolicited Advice” online.
“As our complaint states, Defendant used social media to amass a large following of novice investors, and then repeatedly misinformed and exploited those followers to make approximately $100 million. brought illicit gains from
The SEC’s complaint seeks a permanent injunction and dismissal against one of the defendants, as well as penalties, including penny stock bars. The Department of Justice Fraud Division and the Southern District of Texas U.S. Attorney’s Office have filed parallel criminal charges against all eight.
- Perry Matlock (@PJ_Matlock) in Texas
- Edward Constantine (@MrZackMorris) in Texas
- Thomas Cooperman (@ohheytommy) in California
- Gary Deel (@notoriousalerts) in California
- Mitchell Hennessy (@Hugh_Henne) in New Jersey
- Stefan Hrvatin (@LadeBackk) in Florida
- John Rybarcyzk (@Ultra_Calls) from Texas
- Daniel Knight (@DipDeity) of Texas has been charged with aiding and facilitating an alleged scheme by co-hosting a podcast, promoting other individuals as professional traders, and trading in cooperation with other defendants. indicted.
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