U.S. SECURITIES AND EXCHANGE COMMISSION
Litigation Release No. 25927 / January 18, 2024
Securities and Exchange Commission v. J. Jeremy Barbera, et. al., No. 1:20-cv-10353 (S.D.N.Y. Jan. 8, 2024)
SEC Obtains Final Judgment Against Defendant Carl Smith For Fraudulent Scheme
On January 8, 2024, the U.S. District Court for the Southern District of New York entered a final consent judgment against stock promoter Carl Smith for misrepresentations he made to investors while raising funds for Nanobeak Biotech Inc.
According to the SEC’s complaint, filed on December 9, 2020, between at least December 2015 and December 2019, Nanobeak Biotech Inc. and its former CEO, Jeremy Barbera, solicited and sold Nanobeak securities using false and misleading statements. During this period, Nanobeak and Barbera, with the help of Smith, sold securities to at least 37 investors, raising a total of approximately $3.6 million.
Smith consented to the entry of a final judgment permanently enjoining him from violating Section 17(a) of the Securities Act of 1933 and Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder. The final judgment also ordered Smith to pay a civil money penalty of $100,000, and ordered disgorgement of $173,875, plus $23,470.59 in prejudgment interest.
The SEC’s litigation was conducted by Paul Gizzi, Christopher M. Castano, Gerald Gross, and Melissa Coppola, and supervised by Thomas P. Smith, Jr. of the New York Regional Office. For further information, see https://www.sec.gov/litigation/litreleases/lr-24978, December 9, 2020.
Judgment – Carl Smith