SEC fees Unicoin in $ 110 million fraud


On Tuesday Securities and Exchange Commission (SEC) Debit New York City-based digital asset company Unicoin and three of its top managers to fraud 5,000 investors in a fraud of $ 110 million.

In its complaint, submitted to the US District Court for the Southern District in New York, Secs stated that Unicoin, Inc., its CEO and Chairman Alex Konankhin, former president and current board member Silvina Moschini, and the former head of the Federaza of Alex Domingu

In accordance with For the supervisory authority, the defendants left “false and misleading statements in an offer of certificates allegedly mediated rights to get crypto assets called Unicoin Tokens and an offer from Unicoin, Inc.’s joint share.”

Konanykhin and Unicoin were also accused of violating the registration provisions in the Securities Act, and Konanykhin as a control person for some of Unicoin’s violations of Antifraud.

Unicoin was founded in 2022 as an asset -supported token bound to equity in new growth companies. It was marketed as a regulated, transparent alternative to volatile digital assetsWith the company that claims that they stand out as “a next generation of company that is unique in line with US standards, with the support of real estate and equity prints in high -growing potential companies.”

Among other things, Unicoin and its managers are said to have convinced more than 5,000 investors to buy rights certificates through false and misleading statements – including over advertisements in major airports, on thousands of New York City taxis and television and social media – which depicted them as investments in safe, stables and profitable “next generation” digital assets.

The false claims included that Unicoin-tokens that form the basis of the “asset-supported” rights certificates of billions of dollars of real estate And capital interests in pre-ipo companies, when, in fact, Unicoin’s assets were never worth more than a small fraction of that amount, according to Sec.

Other false claims that were highlighted by the supervisory authority were that the company had sold more than $ 3 billion in rights certificates, when it did not collect more than $ 110 million, and that the rights certificates and the Unicoin-tokens were “Sec-registered” or “us registered” when they were not.

“We claim that Unicoin and its managers exploited thousands of investors with fictional promises that its symbols, when issued, would be supported by real assets, including an international portfolio of valuable property holdings,” says Mark Cave, associated director of Sec’s department for enforcement. “But as we claim, the property assets were worth only a fraction of what the company claimed, and the majority of the company’s sales of rights certificates were illusory.”

“Unicoin’s most senior executives are said to have kept the fraud, and today’s measures seek responsibility for their behavior,” Cave added.

According to the SEC complaint, Unicoin and Konanykhin also violated Federal securities laws by participating in unregistered offers and sales of rights certificates. Konanykhin offered and sold alleged over 37.9 million of its rights certificates, “to offer better pricing and target investors, the company had banned from participating in the offer to avoid jeopardizing its exception for registration requirements.”

The regulator seeks “permanent injunction, dissatisfaction with poorly good benefits with prejudice and civilian penalties” against Unicoin, Konaneykhin, Moschini and judges, as well as an order that prevents Konaneykhin, Moschini and Dominguez from service as officials.

Sec also accused Unicoin’s general lawyer, Richard Devlin, of violating the Antifraud provisions in the federal securities laws by gently making similar errors in private investment memoranda that Unicoin used to offer and sell rights certificates and Unicoin shares.

However, Devlin decided and consented to a final judgment that gave permanent injunction and a civil penalty of $ 37,500 without recognizing or denying Sec’s allegations.

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