Too crypto to be true? SEC seeks to prove that PlexCorps is more than a “concept name”
SEC’s investigation takes it to the UK where one of PlexCorps’ brands turns out to be incorporated (for real).
As FinanceFeeds has reported, the United States Securities and Exchange Commission (SEC) and the virtual currency fraudsters behind PlexCorps, doing business as PlexCoin and Sidepay.ca, have clashed over whether PlexCorps is a suable entity.
PlexCorps is virtual currency scheme which is alleged to have defrauded thousands of investors of at least $15 million. Dominic Lacroix and Sabrina Paradis-Royer – individual defendants in the case brought by the SEC earlier this month, have alleged that PlexCorps is not a suable entity, and that it is just a concept name.
The US regulator has continued its investigation and on Tuesday informed the New York Eastern District Court of the results. The SEC has found that an entity named Sidepay Limited, which has Sabrina Paradis-Royer listed as a person with significant control, is incorporated in the UK. FinanceFeeds’ check in the UK Companies House Register has confirmed the findings of the SEC’s investigation. The UK registration of Sidepay Limited supports SEC’s claim that PlexCorps is a suable entity.
Moreover, given that the list of directors of Sidepay Limited features names other than those of Sabrina Paradis-Royer and Dominic Lacroix, who are subject to restraining orders, the risk is high that these other individuals will be able to continue to operate the fraudulent entities.
That is why, the SEC requested that the Court should impose temporary restraints and asset freezes on PlexCorps, PlexCoin and Sidepay as entities.
In its complaint, filed with the New York Eastern District Court, the US regulator said that it had to take an emergency action to stop Lacroix, a recidivist securities law violator in Canada, and his partner Paradis-Royer from further misappropriation of investor funds illegally raised through the fraudulent and unregistered offer and sale of securities called “PlexCoin” or “PlexCoin Tokens” in a purported “Initial Coin Offering”.
From August 2017 through the present, the defendants have obtained investor funds, purportedly $15 million from thousands of investors, including those throughout the United States and in the Eastern New York District, through materially false and misleading statements.
