SEC Charges 18 Defendants in International Scheme to Manipulate Stocks

Posted on August 30th, 2022 at 11:34 AM
SEC Charges 18 Defendants in International Scheme to Manipulate Stocks

From the Desk of Jim Eccleston at Eccleston Law.

The Securities and Exchange Commission (SEC) has charged eighteen individual and entity defendants for their roles in orchestrating a scheme in which numerous online retail brokerage accounts were hacked and fraudulently used to buy microcap equities in an effort to manipulate stock prices and trading volumes.

One of the eighteen defendants, Rohim Mohamed of Alberta, Canada, allegedly coordinated the fraudulent scheme, according to the SEC. The SEC alleged that perpetrators hacked at least 31 U.S. retail broker accounts in early 2018 and purchased securities of Lotus Bio-Technology Development Corp, and Good Gaming, Inc.

The unauthorized stock purchases allegedly enabled some perpetrators, who already owned large blocks of Lotus Bio-Tech and Good Gaming stock, to sell their shares at artificially high prices and collect nearly $1 million in ill-gained proceeds. Davies Wong of Canada and Glenn Laken of Illinois, controlled the majority of Lotus Bio-Tech and Good Gaming stock that was sold during the relevant period, according to the SEC. While the investigation continues, the SEC is seeking disgorgement plus interest, penalties, bars, and other equitable relief.

Eccleston Law LLC represents investors and financial advisors nationwide in securities, employment, regulatory and disciplinary matters.

Tags: eccleston, eccleston law, advisors, law, sec

Return to Archive

TESTIMONIALS

Previous
Next

If the regulators are after you, and are trying to make a case against you, and you are going to contest their allegations against you, make sure you have the best securities industry defense lawyers, Eccleston Law Firm. My case was spun into a combination of penalties including fines, cash settlements, CE courses and suspension. They were the best I have seen in action. When all was said and done, they had done their magic, my situation was negotiated and settled with a simple "letter of caution" and a case closed without action. It is the most important legal business decision you will ever make, make it Eccleston Law.

Rick R.

LATEST NEWS AND ARTICLES

January 23, 2026
JPMorgan Explores Crypto Trading for Institutional Clients as Wall Street Deepens Digital Asset Push

JPMorgan is weighing another significant expansion into cryptocurrency, as the firm considers allowing institutional clients to trade digital assets, according to Bloomberg Law.

January 22, 2026
EC Zeroes In on Persistent Marketing Rule Failures With New Staff FAQs

The Securities and Exchange Commission (SEC) has sharpened its scrutiny of investment adviser marketing practices, signaling continued frustration with recurring compliance failures despite years of guidance and enforcement. As reported by Financial Advisor News, new staff FAQs published in January follow a December risk alert that deta...

January 21, 2026
New Investor Losses as Yieldstreet Rebrands to Willow Wealth

Yieldstreet, now operating under the name Willow Wealth, continues to report significant losses to investor clients despite a high-profile rebrand.