The US Securities Exchange Commission (SEC) has indicted the conspirators behind the Blockchain Terminal’s Initial Coin Offering that raised over $30 million. Edith Pardo, 68, and Boaz Manor, 46, are Canadian citizens, and Manor has served four years in jail for wire fraud in Canada.
Manor adopted a different persona to fool employees and investors.
According to the SEC, the mastermind of this fraudulent ICO was Boaz Manor, who had earlier served four years in jail for his role in the collapse of the Toronto-based hedge fund that he co-founded. In 2012, Manor was handed over a lifetime ban on operating withing the securities industry after he was found guilty in a 4106 million scam. Manor assumed a new identity to pull off this scam, according to the SEC.
SEC is seeking disgorgement and penalties.
Joseph G. Sansone, Chief of the SEC’s Market Abuse Unit, said that learning about the identity and background of the individual or individuals behind a venture is one of the first things they tell investors to do before trusting anyone with their money. The SEC has charged Manor and Pardo with violating the anti fraud and securities registration provisions of the federal securities law. The commission is also seeking disgorgement and penalties from the accused and also barring them from acting as officers or directors of public companies and from participating in future securities offerings.
