There are many ways scammers or unscrupulous brokers and advisors can take advantage of investors. Last week the SEC obtained a court order to freeze more than $27 million in trading proceeds of purported cryptocurrency stock sales.
Here is an article that displays the brazen acts of investment and broker fraud. Before you invest, it is always a good idea to research the companies and brokers through which you are investing.
SEC Obtains Emergency Freeze of $27 Million in Stock Sales of Purported Cryptocurrency Company Longfin
Washington D.C., April 6, 2018 —
The Securities and Exchange Commission has obtained a court order freezing more than $27 million in trading proceeds from allegedly illegal distributions and sales of restricted shares of Longfin Corp. stock involving the company, its CEO, and three other affiliated individuals.
According to a complaint unsealed today in federal court in Manhattan, shortly after Longfin began trading on NASDAQ and announced the acquisition of a purported cryptocurrency business, its stock price rose dramatically and its market capitalization exceeded $3 billion. The SEC alleges that Amro Izzelden “Andy” Altahawi, Dorababu Penumarthi, and Suresh Tammineedi then illegally sold large blocks of their restricted Longfin shares to the public while the stock price was highly elevated. Through their sales, Altahawi, Penumarthi, and Tammineedi collectively reaped more than $27 million in profits.
According to the SEC’s complaint...Read the Full article here
If you believe you have been a victim of investment fraud or have questions about cryptocurrency, financial schemes, broker misconduct, or about your broker’s management of your account, please contact our Securities Law Firm at: 313-334-7767 for a Free case evaluation. We have been helping investors recover losses for over 20 years!