In the Matter of GTV Media Group, Inc., et al. Admin. Proc. File No. 3-20537

On September 13, 2021, the Commission instituted and simultaneously settled cease-and-desist proceedings (the “Order”) against GTV Media Group, Inc. (“GTV”), Saraca Media Group, Inc. (“Saraca”), and Voice of Guo Media, Inc. (“VOG”) (collectively, the “Respondents”). In the Order, the Commission found that, from approximately April 2020 through June 2020, the Respondents violated the registration provisions of the federal securities laws by soliciting thousands of individuals to invest in an offering of GTV common stock. The Commission also found that, during the same period, GTV and Saraca solicited individuals to invest in their offering of a digital asset security that was referred to as either G-Coins or G-Dollars. According to the Order, as a result of these two unregistered securities offerings, whose proceeds were commingled, the Respondents collectively raised approximately $487 million from over 5,000 investors through July 2020.

Among other things, the Commission ordered GTV and Saraca to pay, jointly and severally, disgorgement of $434,134,141 plus prejudgment interest of $15,776,488, and civil penalties of $15 million each to the Commission. The Commission also ordered VOG to pay disgorgement of $52,610,922, prejudgment interest of $1,911,877, and a civil penalty of $5,000,000 to the Commission. The Commission created a Fair Fund, pursuant to Section 308(a) of the Sarbanes-Oxley Act of 2002, so the penalty collected, along with the disgorgement and prejudgment interest collected, can be distributed to those harmed by the Respondents’ conduct described in the Order (the “Fair Fund”).

Further, the Commission ordered the Respondents to comply with several undertakings, including an undertaking to assist the Commission staff in the administration of a distribution plan to distribute the Fair Fund to affected investors. See the Commission’s Order: Release No. 33-10979.

As of October 14, 2021, the Fair Fund consists of approximately $454 million paid by the Respondents pursuant to the Order. The Fair Fund has been deposited in an interest-bearing account at the United States Department of the Treasury’s Bureau of the Fiscal Service. Any future funds collected pursuant to the Order will be added to the Fair Fund, as well as any funds from related actions directed to the Fair Fund by a Court or Commission Order.

On October 14, 2021, the Commission issued an order appointing Miller Kaplan Arase LLP, as the Tax Administrator of the Fair Fund. See the Commission’s Order: Release No. 34-93313.

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For more information, please contact the Commission:

Office of Distributions
Email: [email protected]

Disclaimer: This article only represents the author’s view. Gnews is not responsible for any legal risks.

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Jay
Jay
1 month ago

The legal actions seem suspiciously political, but it appears GTV Media Group handled it well. Mr. Guo’s experience navigating the CCP swamp seem to have paid off.

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秘密翻译组需要各类人才期待战友们的参与: https://forms.gle/bGPoyFx3XQt2mkmY8 🌹 欢迎大家订阅 - GTV频道1: https://gtv.org/user/5ed199be2ba3ce32911df7ac; GTV频道2: https://gtv.org/user/5ff41674f579a75e0bc4f1cd Oct. 16