QZ asset management and its CEO, Blake Yeung Pu Lei, were charged by the SEC in a pre-IPO fraud scheme for lying to clients and prospective clients regarding the safety of their investments.
According to the complaint Yeung told clients that a proprietary AI-based technology would allow clients to generate exorbitant weekly returns with 100% protection of clients funds.
“The defendants’ brazen fraud alleged in our complaint, including their abuse of the SEC’s filing process to prey on individuals in the United States and across the world, is reprehensible,” said Jason J. Burt, Regional Director of the SEC’s Denver Regional Office.
The company also falsely claimed to be on the point of listing on the NASDAQ. After engaging in the fraud the company ghosted clients.
The investigation is ongoing.
By Staff
