U.s. securities and exchange commission (sec) has charged six individuals and two companies with an investment scheme called coindeal. the individuals charged are neil chandran, garry davidson, michael glaspie, amy mossel, and linda knott, while the companies are aeo publishing inc, banner co-op, inc, and bannersgo, llc. the sec alleges that the group raised more than $45 million from sales of unregistered securities to thousands of investors worldwide from january 2019 to 2022.
Charges were filed in the u.s. district court for the eastern district of michigan. neil chandran is already behind bars, awaiting trial in a separate investment fraud case under the u.s. justice department, and the sec is seeking to reclaim the money allegedly stolen by the defendants, along with pre-judgment interest, penalties, and permanent injunctions against all defendants.
Sec alleges that the defendants made false and misleading claims that investors could generate high returns by investing in coindeal, which the group promoted as a blockchain technology company. however, no token sale or distribution ever occurred. the defendants are charged with violating the antifraud and registration provisions of the securities act and exchange act. the defendants allegedly used the money from the coindeal scam to purchase cars, real estate, and a boat.
https://decrypt.co/118451/coindeal-scammers-nailed-by-sec-in-45-million-fraud-case
