SEC Sues Touzi Capital and Its CEO for 115 million Dollar Crypto Mining Fraud

According to DL News, the Securities Exchange Commission (SEC) has filed a lawsuit against Touzi Capital and its CEO, Eng Taing, alleging a $115 million unregistered securities offering fraud. According to the complaint, between 2021 and early 2023, the defendants raised about $118 million by falsely advertising cryptocurrency mining and workout businesses, including $95 million for crypto mining projects and $23 million for workout projects, involving more than 1,500 investors across the United States.
The SEC said Taing falsely advertised the projects as "stable and predictable" high-yielding savings account investments, when in fact the investments were "highly speculative and illiquid." The SEC alleged that the defendants misappropriated investors' funds for personal purposes and continued to solicit investors even after the business began to collapse. In fiscal year 2024, the SEC filed 583 enforcement actions and received a record $8.20 billion in financial compensation.