**SEC Charges Novatech with Fraud in $650M Ponzi Scheme**

The Securities and Exchange Commission (SEC) has charged Novatech and its founders, Cynthia and Eddy Petion, with fraud. The SEC claims Novatech raised over $650 million from more than 200,000 investors worldwide through an alleged Ponzi scheme.

- **Allegations**: Novatech promised high returns by investing in digital assets and forex markets but used most funds to pay earlier investors and promoters.

- **Personal Use**: The SEC alleges some funds were funneled for personal use by the founders.

- **Impact**: The scheme particularly affected New York City's Haitian community.

- **Promoters Named**: Several promoters, including Martin Zizi and Dapilinu Dunbar, were also charged.

- **Legal Actions**: The SEC seeks permanent injunctive relief, civil penalties, and the return of defrauded funds.

In a related move, New York Attorney General Letitia James filed a lawsuit against Novatech in June 2024, representing over 11,000 NYC residents. The lawsuit also accuses Novatech of using religious overtones and influencers to attract investors.