SEC v. Keith Crews, No. LR-25811, Northern District of Georgia (Aug. 18, 2023) — Press Release
raw: Keith Crews
Keith Crews, No. 1:23-cv-03658-SEG (Aug. 18, 2023)
The SEC charged Georgia resident Keith Crews for conducting an $800,000 crypto-related affinity fraud targeting African-American and church communities.
Keith Crews allegedly raised at least $800,000 from up to 200 investors through the fraudulent sale of 'Stemy Coin' via his entities, Stem Biotech LLC and Four Square Biz LLC. The SEC complaint alleges Crews misrepresented that the crypto asset was backed by stem cell technology and would provide substantial dividend returns. Crews faces charges for violating registration and antifraud provisions of the Securities Act of 1933 and the Exchange Act of 1934.
The Securities and Exchange Commission has filed charges against Keith Crews of Kennesaw, Georgia, for conducting a crypto-related affinity fraud. Between October 2019 and May 2021, Crews used his controlled entities, Stem Biotech LLC and Four Square Biz LLC, to raise at least $800,000 from as many as 200 investors. Many of the victims were targeted through relationships within the African-American and church communities. Crews allegedly made false claims that 'Stemy Coin' was backed by stem cell technology and would yield substantial dividend returns. In reality, the SEC alleges these statements were untrue and that any potential returns were highly speculative. The SEC is seeking permanent injunctions, disgorgement with interest, civil penalties, and an officer-and-director bar against Crews.
Exhibits & Attached Documents (1)
Extracted insights
- $800K $800,000 $100K–$1M
- person keith crews
- person m. graham loomis
- person paul kim
- agency Securities and Exchange Commission
- company stem biotech llc and four square biz llc
- company stemy coin was backed by stem biotech's stem cell technology
- Securities And Exchange Commission announced charges Keith Crews of Kennesaw, Georgia
- Keith Crews raised at least $800,000 from as many as 200 investors
- Keith Crews owned and controlled Stem Biotech LLC and Four Square Biz LLC
- Keith Crews made misrepresentations to investors
- Keith Crews claimed Stemy Coin was backed by Stem Biotech's stem cell technology
- Securities And Exchange Commission seeks permanent injunctions, conduct-based injunction, disgorgement with prejudgment interest, civil penalty, and officer-and-director bar against Crews
- Securities And Exchange Commission investigation conducted by Erin East and Krysta Cannon
- Litigation will be led by Paul Kim
- Litigation supervised by M. Graham Loomis
U.S. SECURITIES AND EXCHANGE COMMISSION Litigation Release No. 25811 / August 18, 2023 Securities and Exchange Commission v. Keith Crews, No. 1:23-cv-03658-SEG (N.D. Ga. filed August 17, 2023) SEC Charges Georgia Resident in Crypto-Related Affinity Fraud The Securities and Exchange Commission today announced charges against Keith Crews of Kennesaw, Georgia for conducting an affinity fraud through two entities which he owned and controlled, Stem Biotech LLC and Four (4) Square Biz LLC. According to the SEC's complaint, between October 2019 and May 2021, Crews raised at least $800,000 from as many as 200 investors through the sale of "Stemy Coin," a purported crypto asset. Many of the Stemy Coin investors were solicited through relationships in the African-American and church communities. The complaint alleges that Crews made several misrepresentations to investors, including that Stemy Coin was backed by Stem Biotech's stem cell technology and other assets, that Stem Biotech had existing operations, products, and partnerships with entities involved in the stem cell industry, and that investment in Stemy Coin would provide substantial dividend returns. None of these statements were true, according to the SEC, and any possible returns on a Stemy Coin investment were highly speculative at best. The SEC's complaint, filed in the United States District Court for the Northern District of Georgia, charges Crews with violating the registration provisions of Sections 5(a) and 5(c) of the Securities Act of 1933, and the antifraud provisions of Section 17(a) of the Securities Act and Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder. The SEC seeks permanent injunctions, including a conduct-based injunction; disgorgement with prejudgment interest; a civil penalty; and an officer-and-director bar against Crews. The SEC's investigation was conducted by Erin East and Krysta Cannon, and supervised by Natalie Brunson, Stephen Donahue, and Justin Jeffries, all of the Atlanta Regional Office. The litigation will be led by Paul Kim and supervised by M. Graham Loomis. SEC Complaint
U.S. SECURITIES AND EXCHANGE COMMISSION Litigation Release No. 25811 / August 18, 2023 Securities and Exchange Commission v. Keith Crews, No. 1:23-cv-03658-SEG (N.D. Ga. filed August 17, 2023) SEC Charges Georgia Resident in Crypto-Related Affinity Fraud The Securities and Exchange Commission today announced charges against Keith Crews of Kennesaw, Georgia for conducting an affinity fraud through two entities which he owned and controlled, Stem Biotech LLC and Four (4) Square Biz LLC. According to the SEC's complaint, between October 2019 and May 2021, Crews raised at least $800,000 from as many as 200 investors through the sale of "Stemy Coin," a purported crypto asset. Many of the Stemy Coin investors were solicited through relationships in the African-American and church communities. The complaint alleges that Crews made several misrepresentations to investors, including that Stemy Coin was backed by Stem Biotech's stem cell technology and other assets, that Stem Biotech had existing operations, products, and partnerships with entities involved in the stem cell industry, and that investment in Stemy Coin would provide substantial dividend returns. None of these statements were true, according to the SEC, and any possible returns on a Stemy Coin investment were highly speculative at best. The SEC's complaint, filed in the United States District Court for the Northern District of Georgia, charges Crews with violating the registration provisions of Sections 5(a) and 5(c) of the Securities Act of 1933, and the antifraud provisions of Section 17(a) of the Securities Act and Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder. The SEC seeks permanent injunctions, including a conduct-based injunction; disgorgement with prejudgment interest; a civil penalty; and an officer-and-director bar against Crews. The SEC's investigation was conducted by Erin East and Krysta Cannon, and supervised by Natalie Brunson, Stephen Donahue, and Justin Jeffries, all of the Atlanta Regional Office. The litigation will be led by Paul Kim and supervised by M. Graham Loomis. SEC Complaint