Court grants SEC’s motion for terminating sanctions in lawsuit against Blockvest

Maria Nikolova

The Court concludes that the evidence establishes that Blockvest and Reginald Buddy Ringgold willfully filed false declarations to defend against the SEC allegations.

Judge Gonzalo P. Curiel of the California Southern District Court has agreed with the recommendations issued by the Honorable Michael S. Berg in an action brought by the Securities and Exchange Commission (SEC) against Blockvest, LLC and Reginald Buddy Ringgold, III a/k/a Rasool Abdul Rahim El.

As FinanceFeeds has reported, this action concerns an unregistered securities offering. The SEC alleges that Blockvest and Ringgold, Blockvest’s founder and principal, offer and sell unregistered securities in the form of digital assets called “BLVs,” and seeks to stop investment fraud involving an initial coin offering (ICO) by the defendants. The SEC contends that the defendants falsely claim that their ICO has been “registered” and “approved” by the SEC and other regulators. The SEC further alleges that the defendants created a fictitious regulatory agency, the Blockchain Exchange Commission (“BEC”), in order to create legitimacy and an impression that their investment is safe.

In January 2020, the SEC filed a motion for terminating sanctions, arguing that the defendants willfully and in bad faith deceived the Court by filing forged and false declarations in support of their opposition to the SEC’s motion for a preliminary injunction. The SEC asserts that subsequent discovery revealed that the filed declarations “obscured critical details” that the declarants were unaffiliated individuals who were provided Blockvest’s fraudulent promotional materials by the defendants and their commissioned sales agents before their investments, and that at least four of the declarations were knowingly deceptive or forged.

In April 2020, the Honorable Michael S. Berg sided with the SEC by finding that the defendants’ submission and reliance on the false and fraudulent declarations at issue was willful and constitutes bad faith. The filing of the forged declaration, the breadth of the falsehoods in the declarations, the defendants’ failure to correct or withdraw the declarations, and Ringgold’s attempt to conceal the wrongdoing, demonstrate that the defendants intentionally presented false evidence to the District Court, the Magistrate Judge said.

As a result, the Honorable Michael S. Berg recommended finding that Blockvest and Ringgold acted willfully and in bad faith.

On May 29, 2020, Judge Gonzalo P. Curiel issued an order adopting the recommendations of the Magistrate Judge. The Court finds that the evidence establishes that the defendants willfully filed false declarations to defend against the SEC allegations, and, in so doing, willfully deceived the Court and adversely affected the administration of justice.

The Court granted the SEC’s motion for terminating sanctions as to the defendants and ordered that default judgment is entered against the defendants as to all claims in the complaint.

Read this next

blockdag

BlockDAG’s Impressive 30,000x ROI Potential and Moon-Based Keynote Captivate Solana And Bitcoin Cash Crypto Investors

Discover BlockDAG’s impressive moon keynote launch and its promise of a 30,000x ROI that is drawing investors from Solana and Bitcoin Cash.

Market News

This is it, the USD Strength has Come to an End

In the aftermath of Israel’s retaliatory strikes in Iran, the currency markets have entered a phase of heightened volatility, reflecting the intricate interplay between geopolitical tensions and economic fundamentals.

blockdag

BlockDAG Leads DeFi Innovation with $19M Presale, Overshadowing Cardano and Binance Coin With 30,000x ROI and DAG Structure

Learn about BlockDAG’s growth in its presale, surpassing $19M, and its impact on the DeFi landscape, overshadowing movements in Cardano and Binance Coin (BNB).

blockdag

BlockDAG Offering a Fresh Take on Meme Coin Development Amid Solana’s Challenges and Floki Inu’s Price Fluctuations With 30,000x ROI

Dive into how BlockDAG’s innovative presale, low-code platforms, and potential 30,000x ROI, outperform Solana’s technical hurdles and Floki Inu’s market predictions.

blockdag

BlockDAG Excels With $2.2M In Miner Sales And Moonshot Teaser, Overshadowing Litecoin’s Rally And Dogwifhat’s Market Highs

Explore how BlockDAG’s $2 million Miner Sales & Moonshot Teaser eclipse the Litecoin price recovery and the Dogwifhat all-time high.

blockdag

BlockDAG Leads Top 6 Cryptocurrencies to Buy in 2024 with a Potential Price Surge to $10 Leaving Cosmos, BNB, and Ethereum Behind

Discover the top six cryptocurrencies in 2024, including BDAG’s remarkable growth potential, BNB’s durability, Cosmos’ connectivity, and ETH’s eco-friendly advances.

Retail FX

Weekly Roundup: Prop firm arbitrarily accounts, Interactive Brokers’ CFDs in Japan

FX, Fintech and cryptocurrency markets have been bustling with activity over the past week, as is often the case. Keep yourself informed and ahead of the curve with a curated selection of crucial stories and developments that are most relevant to those engaged in the markets.

blockdag

BlockDAG Redefines Crypto Mining as Presale Tops $18.5M, Outshining Ethereum ETF & Dogecoin Dynamics

The recent approval of the first Ethereum ETF in Hong Kong underscores a significant advancement in the cryptocurrency’s mainstream acceptance. While Ethereum continues to attract institutional attention, the Dogecoin price prediction suggests a possible resurgence, despite its current undervaluation from past highs.

Digital Assets

Bitcoin halving is done: ViaBTC mines historic block 840K

The Bitcoin network has confirmed its fourth-ever halving block, mined by the cryptocurrency pool ViaBTC, according to data from Blockchain.com. This significant event in the Bitcoin ecosystem reduced the mining reward by half, a deflationary measure occurring approximately every four years to control the issuance of new bitcoins and curb inflation.

<