Lindsay Lohan, other celebs settle with SEC in crypto case Actress Lindsay Lohan, rapper Akon and many other celebrities posted crypto to their millions of social media followers has agreed to pay thousands of dollars for, Actresses Lindsay Lohan, Rapper Akon other celebs settle with SEC in crypto case
- Actresses Lindsay Lohan, Rapper Akon other celebs settle with SEC in crypto case
- Actresses Lindsay Lohan, rapper Akon and many other celebrities have posted crypto to their millions of social media followers.
- The actress has agreed to pay thousands of dollars to settle a claim that she promoted crypto investments.
- The actress went on a rampage without disclosing that she was being paid to do so.
- Lohan, Akon, recording artists Ne-Yo, and Lil Yachty, boxer and Internet personality Jake Paul, and adult film star Michelle Mason all agreed to pay more than $400,000,
- In the form of interest and penalties to settle the claims, the Securities and Exchange Commission said on Wednesday.
- It did not accept or deny any of the SEC’s findings as part of the settlement of the claims.
- The agency said two other celebrities named in the SEC’s complaint, rapper Soulja Boy and pop singer Austin Mahone, had not reached a settlement with the SEC.
Actresses Lindsay Lohan, Rapper Akon other celebs settle with SEC in crypto case
In response to a request for comment, Lohan’s publicist Leslie Sloan said the actress had been approached in March 2022. Lohan was unaware of the disclosure requirement, and she agreed to pay a fine to settle the matter. Lohan, who announced last week that she was pregnant, was called to pay back the $10,000 she paid, including interest, and a $30,000 penalty, according to an SEC complaint.
Emails left with representatives of the other celebrities named in the SEC complaint were not immediately returned Wednesday.
In a complaint filed by the SEC in federal court in New York, the agency claims that celebrities were paid to promote Tronics (TRX) and BitTorrent (BTT), both crypto asset securities owned by Justin Sun. were offered for sale by three companies with a Chinese national. According to the complaint, Sun is Grenada’s Permanent Representative to the World Trade Organization and may be living in Singapore or Hong Kong.
According to the complaint, beginning in approximately August 2017, Sun allegedly offered to sell billions in unregistered securities and engaged in rigging trading, as well as creating secondary markets on which Tronics and BitTorrent traded. could be done.
According to the complaint, “although celebrities and actresses were paid to promote TRX and BTT, their brokers on social media did not disclose that they were paid” thus, leading the public to believe that was misled that these celebrities had a legitimate interest in TRX and BTT, and were not simply paid spokespeople.”
Several celebrities and athletes and actresses have used their influence and massive social media followings to promote cryptocurrencies in recent years, including Matt Damon, Tom Brady, and Reese Witherspoon. but it is illegal to do so without disclosing that he was paid to do so, And has landed some big names in hot water with the securities regulators. Last fall, Kim Kardashian agreed to pay a $1 million fine to settle federal charges that she recommended the Ethereum Max token, a crypto security, to her millions.
Actor Steven Seagal agreed to pay more than $300,000 in 2020 as part of a similar settlement with the SEC, which also banned him from promoting investments for three years.