Dear Steve Bannon & Guo Wengui -can we talk about the SEC enforcement action?
GTV Media Group, Inc., Saraca : Media Group, Inc. and Voice of : Guo Media, Inc. September 13, 2021 agreed to pay more than $539 million to settle the SEC's action. Have you paid it?
Your obligatory apology and explanation of my recent absence…
I’m sorry that I’ve been M.I.A... However everyone is fine, and by the grace of God, no one was seriously hurt. Material things can be easily replaced. I decided to force myself to take some time off to heal and recuperate. Again everyone is fine, so please don’t worry.
However this happened last Saturday — October 9, 2021. Again everyone is fine -my injuries are not at all serious. In fact they are more like a matter of inconvenience. But I walked away from this👇🏻
Yesterday USAA called to inform me that I wasn’t at fault. That the other driver admitted they had improperly merged into my lane and caused the collision. This particular intrastate is notoriously horrid. Less than 2 hours after my accident a six car pile up occurred at the same location. My car was totaled. But again this is why we have insurance and material things can be replaced.
Because I value and trust my readers, I felt like I owed you an explanation for my recent absence. Again I’m genuinely sorry that I was out of pocket for most of this week. As you can imagine things were just a tad bit stressful.
So let’s talk about the September 2021 and October 2021 SEC Enforcement Action👇🏻
GTV Media Group Inc. and Saraca Media Group Inc., and Phoenix, Arizona-based Voice of Guo Media Inc
New York City-based GTV Media Group Inc., and
Saraca Media Group Inc., and
Phoenix, Arizona-based Voice of Guo Media Inc.,
…with engaging in an “illegal unregistered offering of GTV common stock.” It should also be noted that separately the S.E.C. also charged GTV and Saraca for their illegal unregistered offering of a digital asset security referred to as either G-Coins or G-Dollars.
I think one could make a credible argument that https://www.gtv.org ←is nothing but a propaganda and disinformation nexus that Steven Bannon and Guo Wengui run. And it’s amazing that some Blue-QANON are actively amplifying the Bannon/Guo propaganda —while simultaneously pretending that they are “American Patriots” ← spoiler they are not. These are charlatans, who are running numerous GoFundMe grifts because they are unemployable and Twitter, Patreon, Premo Social are the only way they can make a living. Because grifters gotta grift.
Moreover if you think this ends with the aforementioned individuals, well I’d like you to remember these names:
Sara Wei Lafrenz,
Maywind Trading LLC,
June 2021 Civil Class Action Complaint;
On June 21, 2021 a Class Action Civil Complaint was filed DISTRICT COURT FOR THE DISTRICT OF ARIZONA. Case Number 2:21-cv-01079-SMB, complaint can be downloaded via this ECF link. For those who have followed me know that I’ve repeatedly stated there’s one Federal Enforcement Agency that you should avoid at all cost. Once you or your business entity lands on the S.E.C. Radar —you have two binary choices; 1) fully cooperate with S.E.C. Enforcement Investigators, or 2) hire a really decent white collar criminal defense attorney because you are “about to go through some things…” And this bears repeating —if you are approached with a “get rich scheme -that’s too good to be true” -there’s a high probability that it is in fact too good to be true and you’re being scammed/fleeced. Hence buyer/investor should beware.
At this point you might wonder why am I giving you the June 2021 Civil Class Action Complaint. Because that civil complaint acted as a catalyst for the subsequent S.E.C. Enforcement Action. Thus to fully understand, you must start a the beginning. Only then can you understand the arch of how the S.E.C and presumably in the not so distant future the D.O.J. (I’m spitballing here but I would think the DOJ FARA & Nat Sec divisions are likely investigating) — and of course having various court filings means you have access to statements/facts.
Given the proclivity of some (like Steve Bannon) disinformation and misinformation machine to be more fully exposed. This is what you’d refer to as a sufficient predicate…again timing matters here, the Class Action was filed months before the S.E.C. Filed their complaint
“From a business perspective, there is no risk whatsoever, so long as you have trust.”
“…purported sale of unregistered securities to unsophisticated investors in the Chinese diaspora to their detriment and to the benefit of defendant Miles Guo, a wealthy Chinese businessman with a multi-media empire, his associate Lihong Wei Lafrenz, and their affiliates. These investments were touted via multiple media channels, such as YouTube and Discord, to inexperienced investors as being risk-free and highly lucrative…
Actual Wire Fraud -not a disjointed conspiracy theory but actual fraud…and unlawful solicitation of securities investments
Each of these investors have not received a single cent back in return for the investment of their hard-earned money, even upon request for redemption, indicating the investments were anything but real, let alone risk-free or lucrative. Nor have the investors received anything resembling proof of their investment or ownership interest. Instead, they are left with worthless paper or none at all.
Grifters gotta grift: GTV promotional materials, a successful platform would have a significant user-base…
…Guo, through his media empire and other social media platforms, touted investments in GTV Media Group, Inc. (“GTV”). These investments were purportedly opportunities to be on the ground floor of a new media platform designed to allow its members to exchange in the free flow of information about the People’s Republic of China outside of government control and influence and thereby provide an alternative means of communication for those within Chinese communities around the world….GTV promotional materials, a successful platform would have a significant user-base because it would be outside the People’s Republic of China’s considerable oversight of its domestic media channels.
…Guo promoted investments in GTV through two channels. First, direct investments in GTV were purportedly available through private placements to those who could meet the $100,000 minimum required of qualified and accredited investors. In reality, that requirement was put in place to give supposed imprimatur1 of a legitimate and above-board operation and provide a veneer of only being available to accredited investors.
If you think I’m wrong that Steve Bannon isn’t implicated -well I now draw your attention to page 5, paragraphs 16 thru 18. When it comes to research, I like to be thorough and teach my readers how they can also obtain information in public databases. Thus you should know how to access the IRS Tax Exempt Tax Returns -as reported by CNBC in August 2021 Steve Bannon left the mysterious Rule of Law Foundation -but what that CNBC Report failed to do was chase down the various sub-Rule of Law Entities:
Rule Of Law Foundation Iii Inc. (ROLFIii) EIN: 83-3252663
Rule Of Law Society Iv Inc EIN: 83-3252944
I’d now like to draw your attention to pages 26 and 27 of ROLFIii 2019 IRS 990-filing notice the separate Rule of Law Society? Did you also notice the related organizations? Yes Rule of Law Society -the 2019 IRS Determination Letter
Now that you have a bit more factual information - let’s review pages 4 and 5 of the June 2021 Class Action Complaint - specifically the Plaintiffs perfectly encapsulated the entire essence of their Class Action in this paragraph, which reads in part:
…Individual Defendants: (a) directly participated in the purported sale and inducement of the purchase of the unregistered securities; (b) was privy to the scheme orchestrated through VOG, Rule of Law Foundation, Rule of Law Society, and GTV; (c) was aware of confidential proprietary information concerning VOG and its relationship with Rule of Law Foundation, Rule of Law Society, and GTV; (d) was aware of or recklessly disregarded the fact that the securities being offered were not registered as required by law; (e) was directly or indirectly involved in drafting, producing, reviewing, and/or disseminating the false and misleading statements and information alleged herein; (f) was aware of or recklessly disregarded the fact that false and misleading statements were being issued concerning VOG and GTV; and/or (g) approved or ratified these statements.
🌶Snarky and Spicy Sidebar🌶 has Steve Bannon registered pursuant to FARA? Because it certainly appears he has unjustly enriched himself — nor should you be surprised, that FARA’s gnarly sister FBAR rears her ugly head. The chance that Bannon might (operative word) have failed to report his various foreign banks accounts is as predictable as the sun setting later tonight. But then again I’m making an assumption so it’s okay to be skeptical, I won’t take it personally…also is appears Miles has left his yacht—as this was lived stream just a short while ago
“…one or two or three billion dollars could be raised in one minute” and that GTV stock would rise by as much as “10 times.”
It’s also notable that one of Guo’s YouTube videos is now “private” as noted on page 7 of the class action complaint -see footnote # 9
It is also notable that the Defendants pretextual narrative “China is oppressive and censors dissenting opinions” while on its face that is a fairly accurate statement but the distinction here, as alleged in the June 2021 Class Action and further affirmed by the September 2021 S.E.C. Enforcement action. In each filing the parties are unequivocally stating that this scheme is inextricably linked to fraud, or at the minimum —intentional misleading investors by Guo’s own prolific public statements. At a certain point social media companies like YouTube 2, Twitter, Facebook etc also (or at least they should) have some liability here. Notwithstanding CDA-230 offers a full and complete indemnification for the social media platforms.
As noted in paragraph 56 -the S.E.C. doesn’t refund investors, and the subterfuge of Guo et al stating they are cooperating with the S.E.C. —if you ever want a clear cut example of what subterfuge is - just read paragraphs 56 and 57 —which reads in part:
...Guo claims that GTV voluntarily turned over the $61 million received from Ms.Wei and/or VOG to SEC custody to protect the investors’ interest. Mr. Guo also claims that, in contrast to his voluntary cooperation with the SEC, the $48 million that Ms. Wei holds is not frozen at all and is probably used to cover her living expenses. Mr. Guo states that he is actively cooperating with the SEC and is requesting the SEC to refund the investors as soon as possible.
No. No. No. Ms Wei is Guo’s “victim”…
Said no reasonably sane person ever. Because this is textbook subterfuge and a pretextual argument to fleece investors and blame the other party as to why refunds were not issued. Again if you are approached to make an investment that will gain at least 50% Return on Investment (ROI) —then sadly you are making a really bad investment and you’ll probably never see your money unless a civil class action is successful or the S.E.C. Enforcement obtains a court order of disgorgement… hope springs eternal, right?
Not to belabor this but investors should be extremely cautious about “get rich schemes” you’re probably better off throwing your hundreds of thousands into a fire and using that fire to make s’mores. Because anything with that purported ROI ←that should be all the red flags flying —yet somehow Guo et al managed to lure >5,000 individual investors.
On September 21, 2021, the Court entered an Order (ECF No. 28) directing that Plaintiffs file a report concerning the status of this action as to Defendants VOG and Wei or an application for entry of default against Defendants VOG and Wei. The Court further directed that such status report or application for entry of default be filed within 14 days of entry of the Order.
September 30, 2021 the Plaintiffs filed APPLICATION for Entry of Default as to Voice of Guo Media, Inc. and Sara Wei a/k/a Lihong Wei Lafrenz by Chong Shen Raphanella, Xiaodan Wang, Rong Zhang.
September 13, 2021 S.E.C. Enforcement
from April through June 2020, the respondents generally solicited thousands of individuals to invest in the GTV stock offering.
During the same period, GTV and Saraca solicited individuals to invest in the digital asset offering.
The order finds that the respondents disseminated information about the two offerings to the general public through publicly available videos on GTV's and Saraca's websites, as well as on social media platforms such as YouTube and Twitter.
Through these two securities offerings, whose proceeds were commingled, the respondents collectively raised.
the S.E.C determined that GTV et al —no registration statements were filed or in effect for either offering, and the respondents' offers and sales did not qualify for an exemption from registration.
And certainly the GTV Defendants “admit no wrong doing” but agreed to Pay More Than $539 Million in Settlement for Distribution to Investors…on October 14, 2021 an ORDER APPOINTING TAX ADMINISTRATOR was docketed - authorizing the (S.E.C.) Secretary to issue orders for calendar years 2019-2021 appointing, upon request by the Commission staff, Miller Kaplan Arase LLP (“Miller Kaplan”), a certified public accounting firm…
And for the record this isn’t me saying that China Bad -America Good —this is me saying that Guo/Bannon are not as altruistic as they portend to be. It’s all about the money — which subsidizes the numerous nexuses of disinformation, misinformation and actual corrosive propaganda. I’ve uploaded the various court filings discussed in this article - as the S.E.C. filings are open sourced from the S.E.C. Enforcement website (links previously embedded)
And with that I believe you have a sufficient amount of factual data to make an informed decision. Again this isn’t an anti-Asian article it is an anti-grifting and fraud article that “buyer beware” because there are unsavory people out there running massive schemes which appear to be leaching into our Media and I’m not entirely sure that the social media platforms are willing to proactively shutdown this kind of shameless grifting.
At any rate I hope this article helped you navigate all of the dots and moving parts because it’s a lot to identify and see how the dots connect. Over to you DOJ and Congress…
imprimatur is Latin and it loosely translates to “Let it be printed” so it’s somewhat interesting that the plaintiffs used that legalese because in the legal sense imprimatur is defined as;
“…license or allowance, granted by the constituted authorities, giving permission to print and publish a book…”
YouTube’s capricious and arbitrary enforcement of disinformation, actual foreign propaganda and what appears to be a recalcitrant reluctance to -protect Americans from this kind of blatant propaganda— it is expected and until CDA-230 is amended or voided (look CDA-230’s original intent was to protect platforms from possible liability as it relates to Child Pornography - not a complete abdication of social media platforms to police their own platforms. For Example in November 2020 - Twitter and YouTube pulled Bannon’s WarRoom but what’s the point given they moved his content to their Voice of Guo YouTube Channel or MILES GUOGETTR account -Twitter Search and I’m not that smart but even I could easily identify what appears to be at least two botnets amplifying Guy’s propaganda on Twitter. See Rule of Law Foundation Twitter Account @ROLFIII
See S.E.C’s September 13, 2021 Press Release: https://www.sec.gov/news/press-release/2021-175 also See Court Order (which is embedded in the S.E.C’s press release) https://www.sec.gov/litigation/admin/2021/33-10979.pdf