The New York Eastern District Court has finally given permission to the United States Securities and Exchange Commission to move ahead and compel Dominic Lacroix to give account over the PlexCoin scam. Reports indicate that the ICO was able to get away with about $15 million in the form of the investor money.
An account of the matter
Sabrina Paradis-Royer and Dominic Lacroix are said to have misled quite a significant number of customers to buy tokens promising that they would gain very high returns in the long run. The SEC is currently channeling much of its efforts towards the prosecution of the two accused individuals.
The Canadian court in Quebec has already ordered the pair to stop the illegal acts with immediate effect. The two made their response through the shutdown of their website which has been in Canada and they are considering relocating their operations to the United States.
It is worth noting that the shift was fundamentally a short-term solution. SEC has remained privy to them from way back in December and the matter is growing to become a topic of discussion among quite a significant number of people.
It was later on that the two persons responded to the SEC filings but that was after making a few changes that ended up making their website look less like a “get rich quick” scheme. In their claims, they said that SEC had all along gotten engaged in what they termed a tremendous overreach.
An official well conversant with the matter has disclosed that the two have been pushing for the dismissal of the financial regulator’s motion. It was in that motion that they launched arguments pointing to the fact that the US persons couldn’t in anyway buy PlexCoin unless in those special instances where they succeeded at lying about exactly who they were.
Sources indicate that PlexCoin had made a promise about the delivery of services that were pretty similar those of Bitcoin, though asserting that its services would be faster.
The generation that’s buying cryptos doesn’t seem to be very much drawn to gold but of course that is part of the ever shifting business dynamics.