When are they going to learn? The SEC issued the following press release, which is summarized as follows:
The Securities and Exchange Commission today charged 11 individuals and three companies, alleging they conspired to illegally issue and sell unregistered stock in a purported diamond and gold mining company and lined their pockets with more than $64 million from 40,000 investors nationwide.
Also of note was the following quote:
Linda Chatman Thomsen, Director of the SEC’s Division of Enforcement, said, “The perpetrators of this massive scheme include several securities professionals and an attorney. Today’s action demonstrates that we will aggressively pursue individuals who ignore their obligations as gatekeepers to our markets and instead collude with their clients to violate the federal securities laws.”
Guys, give it up. The SEC is cracking down and taking names. Time to start using some real IR tactics that actually get results and don’t land you in jail.
Final point of interest:
The Commission acknowledges the assistance of the Financial Industry Regulatory Authority (FINRA) and the Saskatchewan Financial Services Commission in this matter.
Saskatchewan? Way to go rough riders in helping bring these scammers to justice!
If you want to read about other scams we’ve been tracking, have a look at our stock scams section of the blog.
Regards,
George