FINRA Files Lawsuit Against Crypto Broker
September 13, 2018
The Financial Industry Regulatory Authority (FINRA) has filed a lawsuit against a Massachusetts citizen Timothy Ayre for securities fraud. Ayre is accused of illegal cryptocurrency trading.
According to the complainant, Ayre was caught in illegal selling securities as digital currency HempCoin which was regarded as investments for “worthless” (as the committee put it) organization called RМТN. The charges were set forth on September 11 when FINRA pointed at the fact that unlicensed trade was not the only reason to file a suit: Ayre also allegedly deceived investors by making up fake facts about HempCoin.
With reference to the promo of the digital currency it must be noted that HempCoin became the world’s only mined cryptocurrency backed by saleable securities. The accused presented the cryptocurrency as “the world's first currency to represent equity ownership”.
Note that this coin has never been verified as security while Ayre, as the Committee said, decided not to exercise special right to exemption.