Telegram Company to Pay $18.5 Million, Return Investor Money to Settle US SEC Charges
Telegram Company are agreed to return $1.2 billion (GBP 972.84 million) to investors and pay an $18.5 million civil penalty to resolve the charges over an unregistered in digital token coin offering, the US Securities and Exchange Commission (SEC) said on Friday.
These regulator in October halted a $1.7 billion digital token to offering by the firm, which is best known for its messaging app, saying Telegram company also raised capital to finance its business by selling the 2.9 billion “Grams” to global investors. These SEC said in a statement on Friday it had obtained to court approval in settlements with Telegram and its TON Issuer subsidiary.
Telegram Company neither admitted to or denied the SEC’s allegations.
These agency its has been seeking to the crack down on the fledgling cryptocurrency industry. SEC are taken in the position to that initial coin offerings are securities offerings & therefore subject to the SEC offering rules, in which require companies to file registration and disclosure documents.The New & innovative businesses in welcome to participate in our capital markets, but they cannot do so in violation of there registration requirements of the federal securities laws,” Its said Kristina Littman, to chief of the SEC Enforcement Division’s cyber unit.
Because Telegram Company missed a deadline to launch its TON platform due to a court injunction, the firm are to return funds to purchasers, Telegram Company said in a statement, saying it had already returned $1.2 billion to purchasers either directly or in the form of loans.
In The hope the regulatory environment for blockchain technology in the US becomes more the favorable for others in the future they said