On August 12, the U.S. Securities and Exchange Commission (SEC) took action against NovaTech Ltd, accusing the company of defrauding investors of more than $650 million through its cryptocurrency-related fundraising schemes. According to the SEC, NovaTech lured investors, particularly the Haitian-American community, into an illegal and fraudulent cryptocurrency investment scheme.#
The commission has charged Cynthia and Eddy Petion, two executives of NovaTech, with illegal acts related to fundraising and shady trading. According to the SEC filing, they not only lured investors with attractive offers but also built a complex network of illegal cryptocurrency investments, causing a large loss of investors' money.
NovaTech is said to have used clear and specific advertising strategies to attract potential investors, and they used their credibility in the Haitian-American community to increase the appeal of this investment program. These actions not only caused financial damage but also seriously affected public confidence in cryptocurrency projects and the legal financial system.
reference source: cryptopanic.com