The SEC’s claims of securities fraud against Eric Tippetts were resolved.
The infractions concern Tippett’s participation in the $10 million Ponzi schemes Nasgo and ShareNode.
Tippetts reached an agreed judgment with the SEC and submitted it on August 5th. On April 28, 2022, Tippetts signed the judgment paperwork.
Tippetts agreed to an injunction that would permanently prevent him from committing any more violations of the Securities Act by the proposed decision. A civil fine and the return of illegally acquired wealth will be decided later.
On August 11th, the court authorized Tippetts’ Nasgo settlement.
In related news, Steve Chiang, Tippetts’ accomplice, is reportedly avoiding service.
according to an SEC filing on July 27th;
The summons and complaint could not be sent to Chiang’s apartment in Singapore or through his attorney, according to the SEC.
The SEC has made a sincere effort to serve process on Chiang at his home in Singapore. He looks to be avoiding service of process, nevertheless.
Seven times throughout June, the SEC sought to serve Chiang at his home through hired attorneys in Singapore.
On June 14, 2022, a lady posing as Chiang’s wife allowed (counsel) entry into her home.
She requested Chiang return at 6:00 p.m., claiming that he was not at home but would do so soon.
Later, at 6:10 and 8:00 p.m., (Counsel) returned, but both times, after contacting Chiang’s home from the lobby, he got no answer.
On another occasion, while in the foyer of Chiang’s house, (the lawyer) contacted Chiang’s unit.
When (the lawyer) said that he was there to serve papers, a female answered the phone but declined to speak to him any further and hung up.
Similarly, on June 16, 2022, (the counsel) dialed Chiang’s number from his residence’s lobby.
A female answered the phone, but as soon as the (lawyer) said he was trying to serve papers, she instantly hung up.
Chiang had hired New York-based lawyers to represent him, but they are refusing to accept service of process.
Copies of the lawsuit and summons were given by the SEC to Chiang’s attorney.
He is reluctant to formally accept service on Chiang’s behalf at this time but will change his mind after looking into the SEC’s claims further.
That may be code for “Chiang’s not paying us,” I believe.
The Hague Convention cannot be used to serve documents in Singapore since Singapore is not a signatory, as we have seen in numerous recent civil fraud instances.
The SEC requested an extension to serve Chiang because he was avoiding service.
On August 4th, the court approved the SEC’s application, giving it until October 3rd.