SEC Requests Entry of Illegal $14 Million Securities Offering of ICOBox’s Digital Tokens
At the California Central District Court, The United States Securities Exchange (SEC) has applied a plea for a record of non-remittance against ICOBox and Nikolay Evdokimov-defendants. The two are accused of running unregistered $14 million securities offering of ICOBox’s digital tokens. They also acted as unofficial brokers for other digital assets offerings.
According to the SEC’s application filed earlier this week, the supervisor is asking the Clerk to enter a non-payment against ICOBox and Nikolay Evdokimov for failing to accept, respond or petition the filed claim.
The SEC led to ICOBox and Nikolay to be presented with the court order on September 21, 2019. Each received a copy of a particular defendant and plaintiff. The SEC on its part, filed the documents at an address in Beverly Hills, California. The address acted as the Nikolay residence, as well as the ICOBox office. The same served as Nikolay co-resident and wife seemingly in control of the premise.
Other responses, including Nikolay and ICOBox answers, are scheduled to be presented to the plaintiff on October 15, 2019. The regulator, however, stated that the defendants had served no answers or filed other responses.
Nikolay Evdokimov is the founder of ICOBox Company. The firm claims to be a Blockchain Growth Promoter and Business Facilitator for companies that want to sell their assets through ICO Crowdsales.
As per the complaint filed by SEC, ICOBox raised funds to initiate an infrastructure for initial coin offerings by selling approximately 414.6 million worth of ICO's in an unofficial offering to more than 2,000 investors.
If the ICO is not registered, it then impoverished critical data to investors that would be available in the registration statement. The information could then be used by investors to investigate company expectations. The defendant has conducted an unofficial broker business that breaches federal securities policies by accosting and enticing investors to ICOBox clients’ securities offerings. In return, the company provides transaction-based payment without registration or connects with a registered broker-dealer.
In summary, the SEC complaint is prosecuting ICOBox and Nikolay for infringing the legalization needs of the federal securities laws. The regulator is, therefore, asking for a court ordered civil money penalties, and reimbursement of money with prejudgment profits.