SEC Charges Vinh Le and His Company with Fraud
The Securities and Exchange Commission (SEC) announced that on December 15, 2015, it filed charges against Vu Le a/k/a Vinh Le and his company, TeamVinh.com LLC (“TeamVinh”), in connection with their fraudulent raising of more than $3 million from over 5,600 investors throughout the United States and in various foreign countries.
According to the SEC’s complaint filed in federal court in Minnesota:
- Vinh Le, who previously had been convicted of forgery and barred from offering or selling securities by state authorities in Minnesota and Wisconsin, and TeamVinh lured people into buying memberships in a program that Le and TeamVinh claimed to be a referral network that investors could use to earn an income from multi-level marketing companies without the investors having to do any work.
- Vinh Le and TeamVinh sold investment contracts in TeamVinh itself, promising investors a percentage of TeamVinh’s profits.
- Vinh Le and TeamVinh sought investments in a purported commodities trading platform run by Le, with Le guaranteeing investors 5% weekly returns.
None of these investments had any legitimacy. Investors never received the promised payments, and Vinh Le misappropriated the overwhelming majority of investor money to fund his own lavish lifestyle, including spending more than $2 million of investor funds at a Las Vegas casino.
The SEC’s complaint charges Vihn Le and TeamVinh with violations of Sections 5 and 17(a) of the Securities Act of 1933 (“Securities Act”) and Section 10(b) and 20(a) of the Securities Exchange Act of 1934 (“Exchange Act”), and Exchange Act Rule 10b-5. The SEC’s complaint seeks permanent injunctions, disgorgement, prejudgment interest, and civil penalties.
For further information about this securities law blog post, please contact Brenda Hamilton, Securities Attorney at 101 Plaza Real S, Suite 202 N, Boca Raton, Florida, (561) 416-8956, by email at [email protected] or visit www.securitieslawyer101.com. This securities law blog post is provided as a general informational service to clients and friends of Hamilton & Associates Law Group and should not be construed as, and does not constitute legal advice on any specific matter, nor does this message create an attorney-client relationship. Please note that the prior results discussed herein do not guarantee similar outcomes.