Lindsay Lohan has been accused of involvement in the cryptocurrency scheme

Actress Lindsay Lohan (“A Christmas Crush”) has been accused of involvement in a cryptocurrency scheme. According to the US Securities and Exchange Commission (SEC) indictment, Lohan participated in the disclosure of a cryptocurrency scheme linked to Justin Sun and her companies Tron Foundation Limited, BitTorrent Foundation Ltd. and Rainberry Inc without informing her that she had been paid to do it. She was indicted for fraud.

In addition to Lohan, youtuber Jake Paul, porn actress Kendra Lust and singers and songwriters Soulja Boy, Ne-Yo, Lil Yachty, Akon and Austin Mahone have also been accused of promoting the scheme “without disclosing that they were paid for to do it. [sem divulgar] the amount of his remuneration”.

“As alleged in the complaint, Sun and others employed a long-standing scheme to deceive and defraud investors by first offering securities without meeting registration and disclosure requirements and then manipulating the market for those same securities,” Gurbir S. Grewal said ., director of the SEC’s Division of Enforcement, in a statement.

“At the same time, Sun paid celebrities with millions of social media followers to promote unregistered deals, specifically instructing them not to disclose their compensation,” he continued. “This is exactly the behavior that federal securities laws were designed to protect, regardless of the labels used by Sun and others.”

The SEC also said that, with the exception of Mahone and Soulja Boy (whose real name is DeAndre Cortez Way), the other celebrities agreed to pay more than $400,000 in fines, without admitting or denying the charges.

Celebrity endorsement of cryptocurrencies has been an increasingly common legal issue in the United States. Last year, Kim Kardashian paid $1.2 million in a court settlement for her connection to the promotion of the EMA token.

Additionally, investors in the failed cryptocurrency exchange FTX have sued people who have backed the company, such as Tom Brady and Larry David, claiming they were effectively misleading investors into investing their money in FTX.

Source: Terra

Amanda

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