Skip to main content

DJ Khaled and Floyd Mayweather charged by US SEC for Illegally promoting Bitcoin

                             DJ Khaled and?Floyd Mayweather charged by US SEC for Illegally promoting Bitcoin
Boxer Floyd Mayweather Jr and music producer DJ Khaled will pay thousands of dollars to settle charges that they violated US financial laws.

The US Securities and Exchange Commission announced the settlement on Thursday as the US financial regulator said the men failed to disclose payments they received to promote certain cryptocurrency investments.

The men neither admitted nor denied the claims, but agreed to pay combined penalties totalling more than $750,000. The two cases are the first the SEC has brought over touting violations involving initial coin offerings or ICOs, a relatively new investment vehicle associated with crypto-currencies. An ICO allows people to invest in a company by buying "tokens" or "coins" that it issues.

Despite the new language, the SEC has warned investors that it views many of the offerings as investments governed by existing securities laws. Those rules require disclosure of payments in exchange for publicity.  In this case, the SEC said Mayweather received $300,000 to promote three separate offerings, including one by Centra Tech, a Miami company that the SEC accused of fraud in April.

Mayweather's promotions included a message to his Twitter followers that Centra's ICO "starts in a few hours. Get yours before they sell out, I got mine…" Khaled was paid $50,000 by the same company, the SEC said.

The SEC said DJ Khaled agreed to repay the $50,000 he received for the endorsement, as well as a $100,000 fine and interest while Mayweather will repay the $300,000 he received, as well as a $300,000 fine and interest.

SEC Enforcement Division Co-Director Steven Peikin said the cases were a reminder that investors should "be sceptical of investment advice posted to social media platforms, and should not make decisions based on celebrity endorsements".

Comments

Post a Comment

Popular posts from this blog

Two teenagers arrested for raping 14-year-old girl in Ogun State

                            Two teenagers, Abiodun Ishola (19) and Kehinde Oloyede (18), have been arrested by the Ogun State Police Command for allegedly gang-raping a 14-year-old girl in Obantoko. The Command Public Relations Officer, Abimbola Oyeyemi, said the suspects were arrested April 28, 2018 following a complaint from the victim who reported to the police. He said the victim, a hairdressing apprentice, said she was going to her boss’ shop on that day, and unknown to her, there was restriction of movement due to a sanitation exercise. He said one of the suspects, Ishola, who was sitting down in front of his father’s house informed her of the restriction of movement and asked her to come and stay in their house till the exercise ended. The victim told the police that while she was staying with Ishola, he took her bag inside...
Post a Comment
Read more

police arrest Pastor for allegedly raping teenage girls during a deliverance session in Anambra state

  Pastor Chukwudi Chukwumezie of the Mountain Zion deliverance Ministry, Ugamuma village, Obosi, has been arrested by men of the Anambra state police command for allegedly luring and having unlawful carnal knowledge with two fifteen years old girls under the false pretence of conducting deliverance prayers for them   A statement released by Haruna Mohammed, spokesperson of the state police command, said in August 2019, the accused clergyman was arrested for allegedly luring and having unlawful carnal knowledge with a fifteen-year-old girl at a hotel along Eze iweka road Obosi under false pretence of making a deliverance prayers for her.     Haruna said the victim to the hospital for medical Examination where penetration and laceration of her hymen were confirmed by the medical doctor after which suspect was charged to Court for prosecution.     According to the statement, the clergyman who presently jumped court ...
Post a Comment
Read more

Police arraign disbarred lawyer for alleged fraud

                                 A Federal Capital Territory (FCT) High Court in Gudu, Abuja on Thursday remanded a debarred lawyer, Emeka Ugwuonye, who runs a popular Facebook page, “Due Process Advocate”, in prison following his arraignment by the police. Mr Ugwuonye was arraigned on a 10-count charge of extortion, impersonation, injurious falsehood and false information. He was accused of extorting money from the family of a woman he falsely alleged was killed by her estranged husband. One of the charges reads: “That you Ephraim Chukwuemeka Ugwuonye (m) on or about May to date, at diverse places in Abuja within the jurisdiction of this honourable court did commit illegal act to wit: extortion by threat of accusation of an offence punishable by death, when you intentionally extorted monies and other valuables fr...
Post a Comment
Read more