Since at least January 2020, influencers have allegedly been involved in a pump-and-dump operation. The SEC have charged the influencers in $100 million fraud.
Federal prosecutors and the Securities and Exchange Commission indicted eight social-media influencers in connection with a purported stock-manipulation scheme in which they exploited their platforms to manipulate stock prices and earn more than $100 million illegally.
Both the criminal and civil complaints (read below), filed in the United States District Court for the Southern District of Texas, accused these influencers of trying to encourage their followers online to buy stocks they had purchased without disclosing their intention to sell them after share prices or trading volumes rose. The SEC also charged an eighth individual with aiding and abetting the scheme.
According to the Justice Department, a federal grand jury indicted each of the eight individuals earlier this month on at least one count of conspiri...