According to DLNews, the U.S. Securities and Exchange Commission (SEC) has sued Touzi Capital and its CEO Eng Taing, accusing them of being involved in a $115 million fraud scheme involving the issuance of unregistered securities.
The SEC alleges that Taing and Touzi Capital raised nearly $95 million from more than 1,500 investors nationwide for cryptocurrency mining projects and $23 million for debt restructuring projects through misleading statements from 2021 to early 2023.
The SEC also claimed that these funds were mixed with unrelated businesses and misappropriated by Taing. The projects were falsely advertised as "stable and predictable" investments, when in reality they were "highly speculative and illiquid."
The SEC is seeking a permanent injunction against Taing, civil penalties, and bans on serving as an executive or director.
