The US Securities and Exchange Commission (SEC) has taken legal action against Touzi Capital LLC, a cryptocurrency mining company, and its managing member Eng Taing for multiple violations of securities laws. The SEC alleges that the defendants deceived investors and misused funds amounting to $115 million. According to the SEC, Taing and Touzi Capital offered unregistered securities to investors in the form of digital asset mining investment shares between 2021 and early 2023, raising around $95 million from over 1,200 investors. The funds were mismanaged, diverted to unrelated businesses, or used for personal expenses. Additionally, the defendants provided false information about the profitability of the mining operations, which faced challenges such as fluctuating energy costs and equipment issues. The SEC also accuses them of misleading investors about the safety and nature of the investments. The lawsuit seeks penalties, including a permanent injunction, disgorgement of profits, civil fines, and potential bans on Eng Taing from similar activities. Read more AI-generated news on: https://app.chaingpt.org/news

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