The United States Securities and Exchange Commission just acquired permission from the New York Eastern District Court to compel Dominic Lacroix to answer for the PlexCoin scam, a so-called ICO that managed to run off with $15 million in investor money.
A months-long saga’s embers still burn as the SEC continues to attempt to prosecute two individuals—Dominic Lacroix and Sabrina Paradis-Royer—for misleading investors into purchasing tokens with the promise of outlandish returns.
The pair has already been ordered by a Canadian court in Quebec to cease their activities. They responded by shutting down their website in Canada and moving their operations to the United States.
This shift was a short-term solution, however, as the SEC was privy to them back in December. The Commission’s pursuit of the rogue operation marked the first time that their cyber unit filed a charge against an ICO.
A few weeks later, the two individuals behind PlexCoin issued a response to the SEC filings after they changed their website to make it look less like a “get rich quick” scheme. They accused the SEC of being “engaged in a tremendous overreach” beyond its jurisdiction for transactions that occur outside of the reach of US securities regulations.
They eventually filed for a dismissal of the financial regulator’s motion. In their motion, they argued that US persons cannot purchase PlexCoin unless they lie about who they are and buy the cryptocurrency through an exchange outside their country.
In response to their motion, the SEC requested that Lacroix and Paradis-Royer come in for questioning. They were given until April 30th to respond, which they failed to do.
Because they ignored these requests, the SEC moved to order them to come for a deposition in New York.
This article appeared first on Cryptovest
