SEC Sues Brother of GAW Miners CEO Amid Investigation
This story has been updated with additional information. The US Securities and Exchange Commission (SEC) has filed suit against a former employee of the now-defunct cryptocurrency mining company GAW Miners. Carlos Garza, according to a 14th August filing, has allegedly refused to comply with a SEC subpoena in connection with its long-running investigation into GAW Miners and CEO Josh Garza. The law enforcement agency is investigating whether GAW violated securities law through the sales of its Hashlet mining products as well as the sales of the cryptocurrency paycoin. The SEC is also....
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The US Securities and Exchange Commission (SEC) has filed a lawsuit against an ex-employee of the demised cryptocurrency mining outfit GAW Miners. The Federal Agency has accused Carlos R. Garza of violating a subpoena in relation to their ongoing investigation into GAW Miners and its CEO Josh Garza. The investigation is to know whether the company was engaged in fraud by selling unregistered securities through Hashlet mining products and cryptocurrency PayCoin. SEC is also investigating whether GAW was a Ponzi company, as reported by many of its investors. According to the legal notice....
A former employee of the collapsed bitcoin mining company, GAW Miners, is currently under investigation by the Securities and Exchange Commission (SEC) for fraud. Carlos Garza was issued a subpoena by a federal judge in Massachusetts to be forced to respond to these allegations. According to the SEC, millions of dollars were lost in possibly fraudulent sales of bitcoin mining hardware by GAW Miners. Carlos Garza is a former salesman of the company and is the brother of the founder and CEO, Josh Garza. Bitcoin Mining Fraud. Carlos Garza appeared before SEC lawyers in Boston last week for....
This article has been updated with comment from Josh Garza's lawyer, Marjorie Peerce. The US Securities and Exchange Commission has charged former GAW Miners CEO Josh Garza with the fraudulent sale of unlicensed securities and the operation of a Ponzi scheme. The complaint, filed today in the US District Court for the District of Connecticut, focuses largely on the sale of Hashlets, the "virtual miners" sold by GAW Miners through its cloud mining site, ZenCloud. The SEC said that Garza and GAW earned roughly $19 million in revenue from the scheme, which evolved from hardware hosting to....
The brother of a former Coinbase product manager has pleaded guilty in a cryptocurrency insider trading case. According to the U.S. Department of Justice (DOJ), he is facing up to 20 years in federal prison.
DOJ’s First Crypto Insider Trading Case
The U.S. Department of Justice (DOJ) announced Monday that Nikhil Wahi, the brother of a former product manager at Coinbase Global Inc. (Nasdaq: COIN), “pled guilty to one count of conspiracy to commit wire fraud in connection with a scheme to commit insider trading in cryptocurrency assets.” The DOJ calls it the....
A Russian power utility has found a way to increase electricity prices for consumers mining cryptocurrency using household electricity. The regional distribution company has taken dozens of amateur miners to court and has already won some of the cases.
Power Utility Goes After Crypto Miners Using Subsidized Electricity to Mint Digital Coins
Irkutskenergosbyt, a power distributor in the Russian region of Irkutsk, has managed to secure an increase of the electricity tariffs for crypto mining farms set up in private homes. The utility was able to prove in court that their owners....