Investments

HSCM Bermuda Fund Ltd. v. 24 Capital LLC et al: Complaint

Complaint that "arises from HSCM's loans of more than $150,000,000.00 to Seeman Holtz Property and Casualty, Inc. and its successor entity Seeman Holtz Property and Casualty, LLC" in HSCM Bermuda Fund Ltd., of Bermuda v. 24 Capital LLC, Business Advance Team LLC, d.b.a. Everyday Capital, and Newco Capital Group VI LLC, all of New York, at the U. S. District Court for the Southern District of New York.

Subhash Patel v. Koninklijke NA et al: Class Action Complaint

Class Action Complaint alleging securities fraud in Subhash Patel v. Koninklijke N.A., of the Netherlands, described as the operator of "a health technology company in North America, Greater China, and internationally"; Frans van Houten, and Abhijit Bhattacharya at the U. S. District Court for the Eastern District of New York.

Pearson Plc: $1M Fine

Administrative Order by the U. S. Securities and Exchange Commission imposing a fine of $1 million on Pearson Plc, described as a British publicly-listed "multinational educational publishing and services company", for "material misstatements and omissions regarding a 2018 cyber intrusion that affected several million rows of student data across 13,000 school, district, and university AIMSweb 1.0 customer accounts in the United States".

SEC v. GPL Ventures LLC et al: Asset Freeze Application

Emergency Application for an Asset Freeze Order regarding an allegedly fraudulent scheme that, inter alia, involved accounts in "the Cayman Islands and Canada", in U. S. Securities and Exchange Commission v. GPL Ventures LLC, GPL Management LLC, described in the complaint as Delaware-domiciled, New York-based companies; Alexander J. Dillon, of New Jersey; Cosmin I. Panait, described as a citizen of Romania residing in New York; HempAmericana Inc., described as a Delaware-domiciled, New York-based company; Salvador E. Rosillo, of New York; Seaside Advisors LLC, of New Jersey, and Lawrence B. Adams, of New Jersey, at the U. S. District Court for the Southern District of New York.

SEC v. GPL Ventures LLC et al: Complaint

Complaint "to halt the GPL Defendants' ongoing violations of the dealer registration requirements of the federal securities laws", including alleged fraud, that involves, inter alia, an unidentified "broker in the Cayman Islands" in U. S. Securities and Exchange Commission v. GPL Ventures LLC, GPL Management LLC, described as Delaware-domiciled, New York-based companies; Alexander J. Dillon, of New Jersey; Cosmin I. Panait, described as a citizen of Romania residing in New York; HempAmericana Inc., described as a Delaware-domiciled, New York-based company; Salvador E. Rosillo, of New York; Seaside Advisors LLC, of New Jersey, and Lawrence B. Adams, of New Jersey, at the U. S. District Court for the Southern District of New York.

Jeffrey Crass v. Yalla Group Ltd. et al: Class Action Complaint

Class Action Complaint alleging securities fraud in Jeffrey Crass v. Yalla Group Limited, described as a Cayman Islands-domiciled "voice-centric social networking and entertainment platform that operates mainly in the Middle East and Northern Africa", and Tao Yang at the U. S. District Court for the Southern District of New York.

USA v. Joseph Krigsfeld: Consent to Judgment

Consent to Forfeiture/Judgment in the amount of $19.9 million regarding a securities fraud scheme that, inter alia, involved Cayman Islands-domiciled Aberon Capital Master Fund in USA v. Joseph Krigsfeld at the U. S. District Court for the Southern District of New York.

London Capital Group (Cyprus) Ltd.: €40K Fine

Public Notice by the Cyprus Securities and Exchange Commission that it has imposed a fine of €40,000 on London Capital Group (Cyprus) Limited for a regulatory breach. Editor's Note: Research by OffshoreAlert at the Cyprus Registrar of Companies showed that London Capital Group (Cyprus) Limited was incorporated in Cyprus on June 6th, 2016 and its sole director is Charles Henri Sabet.

Brian Kang et al v. Hybrid Trade Ltd. et al: Complaint

Complaint alleging theft, misappropriation, and securities fraud regarding the raising of $50 million "from investors based around the world, including within the United States" from the sale of "digital tokens" that were "neither registered with the United States Securities and Exchange Commission nor qualified for any exemption from registration with the SEC, thereby depriving investors of the benefit of the disclosures required by the federal securities laws" in Brian Kang, Skyblock LLC, Mid-Wilshire Consulting LLC, Prasad Hurra, David Kim, Blue Rock Group, Artemio Verduzo, David Kwon, and Young Jae Kwon v. Hybrid Trade Limited, described as operating from addresses in Hong Kong, Malta, and Singapore; Asia Digital Asset Exchange, described as operating from an address in Cyprus; Allysian Sciences, Apolo Ohno, a former Olympic speed skating champion; Rod Jao, Eugenio Pugliese, and Henry Liu at the U. S. District Court for the Central District of California.

Blue Mountain Credit Alternatives Master Fund LP et al v. Regal Entertainment Group: Judgment Application

Application for Entry of Judgment in Blue Mountain Credit Alternatives Master Fund LP, of the Cayman Islands; BlueMountain Foinaven Master Fund LP, of the Cayman Islands; BlueMountain Fursan Fund LP, of the Cayman Islands; BlueMountain Guadalupe Peak Fund LP, of Delaware; BlueMountain Kicking Horse Fund LP, of Delaware; BlueMountain Logan Opportunities Master Fund LP, of the Cayman Islands; BlueMountain Montenvers Master Fund SCA SICAV-SIF, of Luxembourg; BlueMountain Summit Trading LP, of Delaware; GKC Strategic Value Master Fund LP, of the Cayman Islands, and GKC SV SMA I LLC, of the Cayman Islands v. Regal Entertainment Group at the Superior Court of California, County of Los Angeles.

Blackbird Capital LLC v. SION Trading FZE et al: First Amended Complaint

First Amended Complaint that "arises out of the Defendants' bad faith and fraudulent scheme, including a pattern of tortious and illegal misconduct and breaches of multiple contracts, related to a $25,000,000 loan Worth agreed to extend to Blackbird in connection with a planned real estate development project in Denver, Colorado" in Blackbird Capital LLC, described as "a real estate development company" in Iowa v. Worth Group Capital LLC, of Wyoming; Justin Ely, of Utah; Halls Law Office, of Idaho; Scotia International of Nevada, Inc., of Utah; Sion Trading FZE, of Ras Al Khaimah, in the United Arab Emirates; Max Warren Barber, of Utah; NaPo Limited, described as "a company located and incorporated in Bridgetown, Barbados, and Saint Lucia"; Nikolas Korakianitis, described as a citizen of Canada; GT Foundation, described as "a private interest foundation founded in Panama City, Panama" that "may have an office in London, England and/or New York", and Kumar Singh, of New York, at the U. S. District Court for the District of Utah.

FinCEN v. BitMEX et al: $100M Fine

Public Notice by FinCEN that it has imposed a fine of $100 million on HDR Global Trading Limited, of the Seychelles; 100x Holdings Limited, ABS Global Trading Limited, of Delaware; Shine Effort Inc. Limited, of Hong Kong, and HDR Global Services (Bermuda) Limited, of Bermuda, d.b.a. BitMEX, described as "a convertible virtual currency derivatives exchange".

Stephen Puleo et al v. Burgundy 523 Offshore Fund Ltd. et al: Complaint

Complaint alleging fraud by 122 investors, "many of whom are senior citizens", who are "among 261 individuals, who collectively invested $75.5 million to buy interests in a student housing project in reliance on a series of false statements in the offering documents made by the sponsor of the offering and a financier that facilitated the offering" in Stephen Puleo et al v. Patrick Nelson, of California; Nelson Partners LLC, of Utah; Axonic Capital LLC, of Delaware; Clayton Degiancinto, of New York; AxSPV LLC Series NB CRE Lender, of Delaware; AxSPV LLC Series SBL CRE Lender, of Delaware; AxSPV LLC Series ACO CRE Lender, of Delaware; Burgundy 523 Offshore Fund Ltd., of the Cayman Islands; Axonic Special Opportunities SBL Master Fund LP, of Delaware, and Axonic Credit Opportunities Master Fund LP, of the Cayman Islands, at the U. S. District Court for the Central District of California.

CFTC v. BitMEX et al: $100M Settlement

Consent Order imposing a civil penalty of $100 million against the operators of the BitMEX cryptocurrency trading platform in Commodity Futures Trading Commission v. HDR Global Trading Limited, of the Seychelles; 100x Holdings Limited, of Bermuda; ABS Global Trading Limited, of Delaware; Shine Effort Inc Limited, of Hong Kong, and HDR Global Services (Bermuda) Limited, of Bermuda, at the U. S. District Court for the Southern District of New York.

BitMEX agrees to pay $100M to settle US regulatory action

Companies in Bermuda, Hong Kong, the Seychelles, and USA have agreed to pay $100 million to settle a complaint by the CFTC alleging they operated an unregistered cryptocurrency trading platform known as BitMEX.

SEC v. Evarist Amah: Complaint

Complaint alleging fraud in which several of the victims were residents of Nigeria and Italy in U. S. Securities and Exchange Commission v. Evarist C. Amah, described as a New York-based investment adviser, at the U. S. District Court for the Southern District of New York.

Poloniex LLC: $10.3M Penalties

Administrative Order by the U. S. Securities and Exchange Commission imposing penalties totaling $10.3 million on Poloniex, LLC, of Delaware, for operating "a digital asset trading platform" without registering "as a national securities exchange".

Daniel Valenti v. Dfinity Foundation et al: Class Action Complaint

Class Action Complaint alleging a cryptocurrency-related fraud and sale of unregistered securities in Daniel Valenti, of Tampa, Florida v. Dfinity USA Research LLC, described as a Delaware company based in Palo Alto, California; Dfinity Foundation, of Switzerland, and Dominic Williams, of Palo Alto, California, at the U. S. District Court for the Northern District of California.

Frost & Miller v. Heaven’s Way Investment Trust et al: Complaint

Complaint alleging fraud in Frost & Miller LLP, a law firm based in New York v. Heaven's Way Investment Trust, of Georgia, USA; Rayshawn Delbridge, of New Jersey; Aaron Cain McKnight, of Texas; SubGallagher Investment Trust, of Wyoming; Ann Fox, described as a citizen of the United Kingdom residing in Wiltshire, England; Femi Omomo, described as a citizen of the United Kingdom residing in Horley, England, and Henderson & Jones Limited, of England, at the U. S. District Court for the Southern District of New York.

Tintra AIF VCIC Ltd.: License Revocation

Public Notice by the Cyprus Securities and Exchange Commission announcing that it has withdrawn the authorization of five "Investments Compartments" of Tintra AIF Variable Capital Investment Company Ltd., an Alternative Investment Fund, because "the minimum assets were not raised within the extended timeframe". Editor's Note: Research by OffshoreAlert at the Cyprus Registrar of Companies showed that Tintra AIF Variable Capital Investment Company Ltd. was incorporated in Cyprus on July 4th, 2016 and its sole director is Richard Shearer, of the United Kingdom.

TCA Fund Management Group Corp. et al v. American Express Company et al: Complaint

Complaint "to recover fraudulent transfers" in Jonathan Perlman, as court-appointed Receiver of TCA Fund Management Group Corp., of Florida; TCA Global Credit Fund GP Ltd., TCA Global Credit Fund LP, TCA Global Credit Fund Ltd., TCA Global Credit Master Fund LP, all of the Cayman Islands, and TCA Global Lending Corp., of Nevada v. American Express Company, American Express National Bank, and American Express Travel Related Services Co. Inc. at the U. S. District Court for the Southern District of Florida.

DeFi Money Market et al: $13M Penalties

Administrative Order by the U. S. Securities and Exchange Commission imposing penalties on Blockchain Credit Partners, d.b.a. DeFi Money Market, of the Cayman Islands; Gregory Keough, and Derek Acree, both of Florida, for an alleged fraud that involved selling "more than $30 million of securities in unregistered offerings by using smart contracts and "decentralized finance" technology to sell digital tokens".

Steve Klein v. Iterum Therapeutics Plc et al: Class Action Complaint

Class Action Complaint alleging fraud in Steve Klein v. Iterum Therapeutics Plc, described as an Irish "clinical-stage pharmaceutical company that engages in developing anti-infectives for multi-drug resistant pathogens in Ireland and the U.S."; Corey N. Fishman, and Judith M. Matthews at the U. S. District Court for the Northern District of Illinois.

SEC v. Frederick Sharp et al: Complaint

Complaint alleging "a sophisticated, multiyear, multi-national attack on the United States financial markets and retail United States investors by foreign and domestic actors" in which the defendants "schemed to sell fraudulently hundreds of millions of dollars in stocks in the United States markets" in U. S. Securities and Exchange Commission v. Frederick L. Sharp, described as a citizen of the United States; Zhiying Yvonne Gasarch, a.k.a. Zhiying Chen, described as a dual citizen of Canada and China; Courtney Kelln, Mike K. Veldhuis, described as a citizen of the Netherlands; Paul Sexton, described as a citizen of the United Kingdom; Jackson T. Friesen, Graham R. Taylor, described as a citizen of the United Kingdom, all residents of British Columbia, Canada; William T. Kaitz, of Maryland, and Avtar S. Dhillon, described as a citizen of Canada residing in Long Beach, California, at the U. S. District Court for the District of Massachusetts.

SEC v. Frederick Sharp et al: Asset Freeze Motion

SEC's Ex Parte Motion for a Temporary Restraining Order in U. S. Securities and Exchange Commission v. Frederick L. Sharp, described in the complaint as a citizen of the United States; Zhiying Yvonne Gasarch, a.k.a. Zhiying Chen, described as a dual citizen of Canada and China; Courtney Kelln, Mike K. Veldhuis, described as a citizen of the Netherlands; Paul Sexton, described as a citizen of the United Kingdom; Jackson T. Friesen, Graham R. Taylor, described as a citizen of the United Kingdom, all residents of British Columbia, Canada; William T. Kaitz, of Maryland, and Avtar S. Dhillon, described as a citizen of Canada residing in Long Beach, California, at the U. S. District Court for the District of Massachusetts.

SEC v. Luis Carrillo: Asset Freeze Motion

SEC's Motion for Asset Freeze Order regarding "assets belonging to, controlled by, or used for the benefit of, defendant Luis Jimenez Carrillo" in U. S. Securities and Exchange Commission v. Luis Jimenez Carrillo, described as a citizen and resident of Mexico, a former citizen of the United States, a former attorney and "a securities law recidivist"; Amar Bahadoorsingh, a dual citizen of Canada and the United Kingdom; Justin Roger Wall, and Jamie Samuel Wilson, both of the United Kingdom, as Defendants, and Haydee Yolanda Sanchez Diaz Monge, Martha Y. Jimenez Trust, and Charles A. Carrillo Trust, all of California, as Relief Defendants, at the U. S. District Court for the District of Massachusetts.

SEC v. Luis Carrillo et al: Complaint

Complaint alleging securities fraud involving shares in Aureus, Inc., Garmatex Holdings, Ltd., and OneLife Technologies Corp. and "a boiler room based in Medellin, Colombia" in U. S. Securities and Exchange Commission v. Luis Jimenez Carrillo, described as a citizen and resident of Mexico; Amar Bahadoorsingh, described as "a dual citizen of the United Kingdom and Canada" residing in Vancouver, Canada; Justin Roger Wall, and Jamie Samuel Wilson, each described as "a citizen and resident of the United Kingdom", as Defendants, and Haydee Yolanda Sanchez Diaz Monge, Martha Y. Jimenez Trust, and Charles A. Carrillo Trust, all of California, as Relief Defendants, at the U. S. District Court for the District of Massachusetts.

SEC v. Uulala Inc. et al: Complaint

Complaint alleging "the fraudulent and unregistered offer and sale of digital asset securities known as UULA tokens" that raised "more than $9 million from over a thousand investors" in U. S. Securities and Exchange Commission v. Uulala Inc., Oscar Garcia, and Matthew Loughran at the U. S. District Court for the Central District of California.

SEC v. Uulala Inc.: Proposed Settlement

Consent to Judgment of Uulala Inc. in U. S. Securities and Exchange Commission v. Uulala Inc., Oscar Garcia, and Matthew Loughran at the U. S. District Court for the Central District of California.

SEC v. Matthew Loughran: Proposed Settlement

Consent to Judgment of Matthew Loughran in U. S. Securities and Exchange Commission v. Uulala Inc., Oscar Garcia, and Matthew Loughran at the U. S. District Court for the Central District of California.

SEC v. Oscar Garcia: Proposed Settlement

Consent to Judgment of Oscar Garcia in U. S. Securities and Exchange Commission v. Uulala Inc., Oscar Garcia, and Matthew Loughran at the U. S. District Court for the Central District of California.

USA v. Frederick Sharp et al: Criminal Complaint

Criminal Complaint alleging securities fraud in USA v. Frederick Sharp, described as a resident of British Columbia, Canada; Luis Carrillo, described as a citizen of the United States residing in Mexico; Mike Veldhuis, described as a resident of British Columbia, Canada, and Courtney Kelln, described as a resident of British Columbia, Canada, at the U. S. District Court for the District of Massachusetts.

SEC sues Uulala for ‘$9 million crypto fraud’

A group called Uulala, which was the first applicant to be approved to conduct an Initial Coin Offering in crypto-friendly Bermuda, has been accused of perpetrating a $9 million digital tokens fraud in a complaint filed at federal court in California by the SEC - two-and-a-half years after the scheme was exposed by OffshoreAlert.

Indication Investments Ltd.: License Suspension

Public Notice by the Cyprus Securities and Exchange Commission that it has suspended the license of Indication Investments Ltd. for regulatory breaches. Editor's Note: Research by OffshoreAlert at the Cyprus Registrar of Companies showed that Indication Investments Ltd. was incorporated in Cyprus on July 26th, 2011 and its directors are Thomas Xydas, Viacheslav Aleksandrovich Taran, Andrei Nikolaev, Alexey Trifonov, and Giorgos Stylianou.

Michael Ben-Ari: Chapter 15 Petition

Chapter 15 Petition for Recognition of a Foreign Main Proceeding in Israel by Lior Dagan, as the Foreign Representative of Michael David Greenfield, a.k.a. Michael Ben-Ari, whose Israeli investment company, EGFE Israel Ltd., "is suspected of being one of the largest known Ponzi schemes in Israel", in which losses to "victims" are estimated to be "between NIS 300 to 600 million" (approx. US$93 million and $186 million at current exchange rates), filed at the U. S. Bankruptcy Court for the Southern District of New York.

Alger II Dynamic Opportunities Fund – Weatherbie Capital et al v. Stamps.com Inc. et al: Complaint

Complaint alleging securities fraud in Alger II Dynamic Opportunities Fund - Weatherbie Capital; Alger SICAV - Alger Dynamic Opportunities Fund - Weatherbie Capital; Alger SICAV - Alger Small Cap Focus Fund; Alger SICAV - Alger Weatherbie Specialized Growth Fund; Alger Small Cap Focus Fund; Alger Weatherbie Specialized Growth Fund; Alger Weatherbie Specialized Growth Portfolio; Weatherbie Growth Fund L.P.; and Weatherbie Long/Short Fund, L.P. v. Stamps.com Inc., Kenneth McBride, Kyle Huebner, and Jeff Carberry at the U. S. District Court for the Central District of California.

Northlight European Fundamental Credit Fund et al v. Intralot Capital Luxembourg SA et al: Complaint

Complaint in Northlight European Fundamental Credit Fund, HCN LP, and Bardin Hill Event-Driven Master Fund LP, all of the Cayman Islands v. Intralot Capital Luxembourg SA, of Luxembourg; Intralot SA, of Greece; Intralot Global Holdings BV, of the Netherlands; Intralot Inc., of Georgia, USA, and Intralot US Securities BV, of the Netherlands, at the U. S. District Court for the Southern District of New York.

Oak Trust et al v. Mushegh Tovmasyan: Discovery Application

Application by Oak Trust, Acorn Trust, Eagle Trust, Duffy Trust, Robert J. Parfet Living Trust, Geluk Global Fund Limited SAC, of the Bahamas; Migration Investments, LLC, of Colorado; Boustrophedon International Ltd., of Hong Kong; Michael R. Shea, Erin Shea, Angela Ling, Fuhua Ling, Philip Bullock, Lifang Liu, Justin Payne, Michael Dietzen, Kimberly J. Dietzen, Brian Sly, David K. Sly, Gregory Sly, Karen Sly, Nelson Sly, Helen S. Sly, Sly Family Trust, and Tamara A. Sly Separate Property Trust to take discovery from Mushegh Tovmasyan, described as a resident of Puerto Rico, for use in "an anticipated proceeding" in England against Equity Capital UK Limited regarding "a multi-million dollar fraudulent Forex trading and investment scheme", filed at the U. S. District Court for the District of Puerto Rico.

Belgium FPSF v. Lion Advisory Inc. Pension Plan et al: ‘€6.5M Tax Fraud’ Complaint

Complaint for €6.5 million alleging "a fraudulent scheme that caused FPSF Belgium to pay large amounts of money to putative entities in the United States claiming to be owed tax refunds relating to corporate dividends" in Kingdom of Belgium Federal Public Service Finance, described as Belgium's tax collection agency v. Lion Advisory Inc. Pension Plan, described as a New York-based "trust recognized by the U.S. Internal Revenue Service"; Richard Markowitz, of New York; Luke McGee, of Philadelphia, Pennsylvania; John van Merkensteijn, of New York; FGC Securities LLC, described as being domiciled in Delaware and based in New York, and Stephen Wheeler, of Shrewsbury, New Jersey, at the U. S. District Court for the Southern District of New York.