The U.S. Securities and Trade Fee charged a former Texas pastor and his spouse for allegedly defrauding a whole lot of traders by way of an alkaline water-backed cryptocurrency, TeshuaCoin.
Larry Donnell and Shuwana Leonard have been charged Friday with defrauding traders by allegedly stealing practically $500,000 within the sale of bogus inventory certificates and shilling an alkaline water-backed cryptocurrency and a non-existent bitcoin mining operation.
The Leonards are accused of particularly focusing on the African-American group on this alleged scheme. Their firms, Teshua Enterprise Group and Teshuater, are additionally named as defendants.
The Leonards allegedly tried to promote phony inventory of their alkaline water bottle firm, Teshuater, which they stated would yield “short-term funding returns of as much as 3,000 %” based on the criticism. This raised $291,044.07.
Larry Leonard can also be accused of shilling Teshuater’s “absolutely functioning cryptocurrency,” TeshuaCoin.
The criticism says he in contrast TeshuaCoin’s usability to bitcoin (BTC) and touted its “distinctive” attribute – it was backed by Teshuater’s bottled alkaline water. The SEC alleges TeshuaCoin was not really backed by Teshuater. Leonard allegedly raised $170,395.20 out of his goal $20 million by way of this scheme.
Leonard allegedly stole an extra $25,544.96 from traders in Teshuater’s non-existent bitcoin mine. The SEC stated he did not disclose the speculative nature of bitcoin mining and by no means really invested the stolen funds within the mine.
Alongside the best way, the couple is alleged to have stolen $486,984.28 from 500 complete traders.
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