cfoofme
4 years ago
"Fraudsters often use the latest news developments to lure investors into scams. We have become aware of a number of Internet promotions, including on social media, claiming that the products or services of publicly-traded companies can prevent, detect, or cure coronavirus, and that the stock of these companies will dramatically increase in value as a result.
Have any of these POS criminal scammers been thrown in prison yet?
lucky, mydog
5 years ago
likely , not for a long time, if ever.
The SECβs complaint, filed in federal court in the Southern District of Florida, charges Praxsyn and Brady with violating antifraud provisions of the federal securities laws, and seeks permanent injunctive relief and civil penalties. The SEC also seeks an officer and director bar against Brady.
https://www.sec.gov/news/press-release/2020-97#.XqiNQUn5B2M.twitter
Hole shot King
5 years ago
2. Enforcement Actions
A trading suspension is not a finding of fraud or misconduct.[12] In many instances, the Division of Enforcement will continue to investigate whether an issuer whose stock has been suspended from trading was engaged in potential fraud or other misconduct and, if appropriate, will recommend charges to the Commission. Because of the potential severity of the impact of this sort of misconduct on investors we are conducting these investigations on an extremely accelerated basis.
One such example is Praxsyn Corporation, whose stock was suspended from trading on March 25. As stated in the Commissionβs Order, the suspension was due to questions regarding the accuracy and adequacy of claims Praxsyn made in a pair of press releases βabout having, and being able to obtain, large quantities of N95 masks used to protect wearers from COVID-19.β[13] After the suspension was ordered, the staff continued its investigation, and on April 28, the Commission filed suit against Praxsyn and its CEO in federal court in Florida.[14] This was the Commissionβs first action alleging fraud charges relating to an issuerβs COVID-19-related claims. The case was filed 61 days after Praxsyn made its first allegedly fraudulent statement.
Civil actions that result in sanctions serve significant enforcement goals that suspensions are not designed to achieve, such as deterrence, punishment, and in some cases compensation of harmed investors. There are numerous active investigations of COVID-19-related potential misconduct, many of which are also proceeding at an accelerated pace.
https://www.sec.gov/news/speech/keynote-securities-enforcement-forum-west-2020