SEC Charges NovaTech with $650 Million Crypto Fraud, Alleges Widespread Investor Deception

The US Securities and Exchange Commission (SEC) has charged NovaTech with a staggering $650 million crypto fraud. The company's leaders, Cynthia and Eddy Petion, allegedly siphoned off millions for themselves while promising safe investments in crypto and forex markets to over 200,000 investors worldwide.

NovaTech operated from 2019 to 2023 as a multi-level marketing scheme. Investors were told their money would be used in trading, but most funds went to pay earlier investors and promoters, with only a small amount actually traded.

Eric Werner, Director of the SEC's Fort Worth Regional Office, emphasized the agency's commitment to going after both the masterminds and the promoters behind such schemes. He stated that NovaTech 'caused untold losses to tens of thousands of victims around the world.'