Description
The SEC sues SoluTech Inc. and it’s former CEO for conducting an unregistered and fraudulent ICO. SoluTech raised approximately $2.4 million through the sale of SCRL (later renamed XD) tokens. The funds were intended to develop the Scroll Network.
Legal Significance
The SEC found that the defendants misrepresented the company’s financial health by falsely claiming they had paying clients and were generating revenues, which was not true. The SEC also determined that the SCRL tokens were securities. SoluTech agreed to destroy all remaining SCRL tokens, remove them from trading platforms, and cease all further token-related activities. Pitruzzello was fined $25,000 and prohibited from participating in any future digital asset securities offerings.
Status
Cease-and-Desist
Case No.
File No. 3-20071
Date Filed
September 25, 2020
Plaintiff
SEC
Defendant
SoluTech Inc.Nathan Pitruzzello
Court
-
Plaintiff Counsel
-
Defendant Counsel
-
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