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SEC charges multiple firms, individuals with microcap fraud schemes, including Barry Honig

The Securities and Exchange Commission charged a bunch of 10 folks and 10 related entities on Friday for his or her participation in fraudulent stock sales schemes that ran from 2013 to 2018. A gaggle of South Florida-based alleged microcap fraudsters led by means of Barry Honig manipulated the percentage value of the stock of 3 companies in vintage pump-and-dump schemes that generated over $27 million from retail buyers who have been left conserving virtually nugatory stock. According to the SEC's criticism, Honig allegedly orchestrated the purchase of large amounts of the issuer's stock at steep discounts, and after securing a considerable possession hobby within the companies, Honig and his pals engaged in unlawful promotional process and manipulative trading to artificially spice up every issuer's stock value and to offer the stock the appearance of lively trading quantity. According to the SEC's criticism, Honig and his pals then dumped their stocks into the inflated market, reaping tens of millions of dollars at the expense of unsuspecting buyers. Miami biotech billionaire Phillip Frost allegedly participated in two of those 3 schemes. The SEC charged Honig, John Stetson, Michael Brauser, John R. O'Rourke III, Mark Groussman, Frost, Elliot Maza, Robert Ladd, Brian Keller, John H. Ford, Alpha Capital Anstalt, ATG Capital LLC, GRQ Consultants Inc., HS Contrarian Investments LLC, Grander Holdings Inc., Melechdavid Inc., OPKO Health Inc., Frost Gamma Investments Trust, Southern Biotech Inc., and Stetson Capital Investments Inc. in federal courtroom with violating antifraud, really useful possession disclosure, and registration provisions of the federal securities laws and seeks monetary and equitable reduction. Riot Blockchain RIOT, -24.30% in which Honig has an possession stake, tumbled at the information.

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Billionaire health-care investor Phillip Frost charged by means of SEC with pump-and-dump schemes

Frost is a former chairman of Teva, and two of the corporations concerned within the alleges schemes have been within the biopharmaceutical sector.

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