THELOGICALINDIAN - The US Securities and Exchange Commission SEC filed artifice accuse adjoin the abettor of an declared agenda bill Ponzi arrangement The US regulator additionally froze the assets of individuals affiliated with this declared scam
According to the SEC columnist release, California citizen Steve Chen and 13 California-based entities, including the US Fine Investment Arts, Inc (USFIA), are at the centermost of the declared scheme. The complaint filed in the federal cloister in Los Angeles adumbrated that USFIA and Chen’s added entities accept aloft added than $32 actor from investors in and alfresco the U.S. back April 2013.
Investigations are still advancing but if accurate guilty, USFIA and its accessory Gemcoin would be allotment of the best advantageous agenda bill Ponzi arrangement to date. The SEC complaint adumbrated that Chen falsely answer USFIA as a accepted multi-level business aggregation that owns several ample and admired amber mines in Argentina and the Dominican Republic.
Investors were again absorbed into advance amounts alignment from $1,000 to $30,000 while potentially earning college allotment if they are able to recruit added audience in the program. The aggregation again adapted these investments into “Gemcoin” which is a agenda bill allegedly backed by amber holdings. The SEC declared that these basic currencies were absolutely abandoned and that Chen and his companies additionally addled investors about a advantageous antecedent accessible alms for USFIA that never happened.
“We adduce that the defendants’ apocryphal claims of abundance that investors would apprehend from USFIA’s amber mining action never materialized,” said Michele Wein Layne, administrator of the SEC’s Los Angeles Regional Office. “In reality, as declared in the complaint, the defendants were operating a counterfeit pyramid arrangement that larboard abounding investors with nothing.” In addition, Chen his aggregation also violated the allotment and antifraud accoutrement of the federal balance laws and SEC antifraud rules.
View the official SEC columnist absolution here.
