James

<ul>
  
 <li>The U. S. SEC has accused NovaTech Ltd., and its managers of running a sophisticated cryptocurrency pyramid scam worth $650 million.</li>   
 <li>The Petition couple is responsible for identity theft and defrauding over 200,000 investors into putting their money, expecting huge profits.</li>   
 <li>Complaints have been made in the U. S. District Court of the Southern District of Florida for permanent restraining orders and monetary compensation from the offenders.</li> 
</ul>   
<p>NovaTech Ltd. and its leadership have been accused by the U.S. Securities and Exchange Commission (SEC) of running an illegitimate cryptocurrency scheme worth $650 million. This major crackdown on NovaTech also sheds light on the increasing trend of regulator enforcement in the cryptocurrency market. Authorities continue to hunt for<a href="https://cryptonewsland.com/sec-launches-interagency-council-to-combat/" target="_blank" rel="noreferrer noopener"> fraudulent schemes</a> that seriously threaten investors. The charges align with other governments’ recent attempts to serve justice on the victims and curb malpractice among the companies.</p>   
<h2 class="wp-block-heading" id="h-allegations-against-novatech">Allegations Against NovaTech</h2>   
<p>A press release from the <a href="https://www.sec.gov/newsroom/press-releases/2024-95" target="_blank" rel="noreferrer noopener nofollow">SEC </a>disclosed that NovaTech, directed by Cynthia and Eddy Petion, carried out a fraudulent MLM and crypto investment scam from 2019 to 2023. This operation deceived over 200,000 people, notably within the Haitian American community, with promises of high returns from cryptocurrency and forex trading.</p>   
<p>Contrary to their claims, the SEC found that the majority of the invested funds were not used for trading. Instead, these funds were primarily used to pay earlier<a href="https://cryptonewsland.com/sec-raises-alarm-on-crypto-scams-targeting-investors/" target="_blank" rel="noreferrer noopener"> investors</a> and promoters, leaving little for actual trading ventures.Furthermore, the SEC accused the Petitions of siphoning off millions of dollars for personal enrichment. This caused numerous investors to lose their money, unable to withdraw their investments.</p>   
<p>In addition to the Petitions, the SEC identified several high-profile promoters - specifically naming Zizi, Dapilinu, J.Corbett, Corrie , J.Garofano, and Marsha Hadley - as active participants in this scheme, despite being aware of its fraudulent nature and the significant risks involved.</p>   
<h2 class="wp-block-heading" id="h-legal-action-and-previous-issues">Legal Action and Previous Issues</h2>   
<p>The SEC has filed a complaint in the U. S. District Court for the Southern District of Florida. SEC claimed permanent injunction against all defendants and claiming disgorgement of their ill-gotten gains and civil penalties.</p>   
<p>NovaTech has been bogged down by legal issues before. In June 2022, New York State Attorney General Letitia James sued NovaTech, a massive crypto scam that robbed investors of over $1 billion. The action by the SEC may be particularly alarming for fraudulent actors in the cryptocurrency domain, as they demonstrate a clear deterrent for scammers.</p> 
<p>The post <a href="https://cryptonewsland.com/us-sec-uncovers-650m-crypto-scam-by-novatech-involves-top-promoters/">US SEC Uncovers $650M Crypto Scam by NovaTech, Involves Top Promoters</a> appeared first on <a href="https://cryptonewsland.com">Crypto News Land</a>.</p>

US SEC Uncovers $650M Crypto Scam by NovaTech, Involves Top Promoters

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