- The SEC has accused Australian citizen Stefan Qin of fraud.
- Qin allegedly offered fraudulent investment funds through five of his firms, most prominently Virgil Capital.
- The SEC has been granted its request to freeze relevant funds.
The U.S. Securities and Exchange Commission has accused Stefan Qin, an Australian citizen, of cryptocurrency-related securities fraud.
Allegedly Fraudulent Offers
According to a press release published today by the SEC, Qin has sold fraudulent crypto fund shares since 2018 through five business entities—namely Virgil Capital LLC and its affiliates.
The SEC says that Qin’s businesses offered an algorithmic cryptocurrency trading fund that made false promises and assurances. It adds that, since July 2020, investors who attempted to redeem their funds were told by Qin’s various enterprises that their interests would be transferred to another fund.
The SEC believes that those requests are still outstanding, and that Qin misappropriated those funds. Furthermore, the SEC says that Qin is actively attempting to misappropriate assets from one of his existing funds and raise new investment revenue in another fund.
Qin has also attempted to use $1.7 million of investor funds to pay back Chinese lenders, according to the SEC’s full court filing.
SEC Injunctions Granted
Today, court officials granted the SEC’s request to freeze assets worth $25 million from Qin and his companies. The regulator has also sought permanent injunctions against the parties involved, disgorgement with prejudgment interest, and civil penalties.
Kristina Littman, Chief of the SEC Enforcement Division’s Cyber Unit, noted in the press release: “This emergency action is an important step to protect investor assets and prevent further harm.”
The case defendants are Stefan Qin, Virgil Technologies LLC, Montgomery Technologies LLC, Virgil Quantitative Research LLC, Virgil Capital LLC, and VQR Partners LLC.
The information on or accessed through this website is obtained from independent sources we believe to be accurate and reliable, but Decentral Media, Inc. makes no representation or warranty as to the timeliness, completeness, or accuracy of any information on or accessed through this website. Decentral Media, Inc. is not an investment advisor. We do not give personalized investment advice or other financial advice. The information on this website is subject to change without notice. Some or all of the information on this website may become outdated, or it may be or become incomplete or inaccurate. We may, but are not obligated to, update any outdated, incomplete, or inaccurate information.
You should never make an investment decision on an ICO, IEO, or other investment based on the information on this website, and you should never interpret or otherwise rely on any of the information on this website as investment advice. We strongly recommend that you consult a licensed investment advisor or other qualified financial professional if you are seeking investment advice on an ICO, IEO, or other investment. We do not accept compensation in any form for analyzing or reporting on any ICO, IEO, cryptocurrency, currency, tokenized sales, securities, or commodities.
See full terms and conditions.
Source: Read Full Article