The US Securities and Exchange Commission (SEC) reported this Tuesday that it has cracked opened a $124 million securities fraud. The two culprits are siblings: John and Jonatina Barksdale defrauded thousands of retail investors by means of two illicit securities offering platforms.
Moreover, the US Attorney for the Southern District of New York Office has filed a separate set of charges against John Barksdale on the grounds of conspiracy wire fraud activities, and securities fraud.
The official press release reported that the scheme was involved around a fake token by the name of “Ormenus Coin”, which ran from June 2017 until recently.
The siblings sold subscriptions to a crypto trading platform, that included the Ormenus Coin, through the multi-level marketing company Ormeus Global throughout the June 2017 to April 2018 period. It was reported that John was engaged in roadshows around the world to promote the scheme, while his sister was coordinating online press releases and online promotional campaigns.
These activities by the brother and sister duo mislead many investors into buying into the scheme and investing hefty sums of money. SEC added that they will continue to be as vigilant in their strife to eradicate investment and related frauds.