SEC accused organizers of Rivetz of conducting unregistered ICO – Bits Media

US Securities and Exchange Commission Continues Crusade Against Cryptocurrency Startups. This time the SEC filed a lawsuit against the organizers of the Rivetz company for an unregistered ICO.

Rivetz, developing an identification solution users on the blockchain, in 2017 conducted the sale of RvT tokens to finance its activities.

According to the SEC, from July to September 2017 the company and its founder Stephen Sprague (Steven Sprague) sold RvT on $18 million through a company in the Cayman Islands. At the same time, tokens were offered as an investment instrument.

SEC emphasized, that the company did not apply for registration with the regulator. According to the claim, Rivetz organizers spent or withdrew all the funds received by March 2018 years.

So, company founder Stephen Sprague received a one-time bonus of $1 million. Besides, the company gave him a loan in the amount $2.5 million to buy a house in the Cayman Islands.

SEC requires Rivetz organizers to return all funds received, and also pay a fine. The amount of the fine is not specified in the lawsuit.. Recall, that at the end of June the SEC filed a similar lawsuit against the organizers of the cryptocurrency startup Loci.