The SECs 16 additional COVID-19 product or technology related trading suspensions imposed from March 25, 2020 through April 17, 2020 run a full range of COVID-19 solutions:
Praxsyn Corporation (PXYN) on March 25, 2020 for making two announcements that it has a large number of N95 masks, capable of protecting wearers from inhaling viruses, including the COVID-19 Coronavirus available for order. Praxsyn referenced its use of a worldwide network and creation of a direct pipeline from manufacturers and suppliers to buyers giving those that qualify, the fairest price on the market. On March 31st, Praxsyn retracted its press release, acknowledging that its press release could give the reader the impression that we had millions of masks on hand. This is not the case. A reader may interpret the retraction press release as an admission of, at a minimum, having made a materially false and misleading statement that the SEC ultimately may find to be a basis for formal securities fraud charges.
No Borders, Inc. (NBDR) on April 3, 2020 for statements about NBDRs products and business activities related to the COVID-19 pandemic, including its COVID19 specimen collection kits, an agreement to bring COVID-19 test kits to the United States, and activities related to the distribution of personal protective equipment. NBDR made the statements in social media posts, press releases, website information and submissions to OTC Markets Group, Inc. (OTCM).
Wellness Matrix Group Inc. (WMGR) on April 7, 2020 for statements made through affiliated websites and a company consultant about selling at-home COVID-19 testing kits that the FDA had approved.
Prestige Capital Corp. (PGEC) on April 7, 2020 over concerns about its financial condition and its operations, and, similar to the Zoom scenario, that investors were confusing Prestige Capital with a similarly-named private company, Prestige Ameritech, which is one of the largest manufacturers of surgical masks and respirators in the United States.
Key Capital Corporation (KCPC) on April 7, 2020 for claiming to have the ability to develop a COVID-19 vaccine and make it available to the mass market in three to six months.
BioELife Corp., formerly known as U.S. Lithium Corp. (LITH) on April 8, 2020 [hyperlink to ] for press releases, reinforced by third-party stock promoters, regarding a purported new Coronavirus (COVID-19) Prevention Products Line which the company claimed to be producing and distributing, together with potentially manipulative trading activity.
Turbo Global Partners Inc. (TRBO) on April 9, 2020 for statements in press releases claiming to have entered into an agreement with a company to provide non-contact human temperature screening and facial recognition technology, and the ability to ship the technology to customers within five days of receiving an order.
Parallax Health Sciences Inc. (PRLX) on April 10, 2020 for statements on its website and in five press releases about its purported development of a rapid screening test for COVID-19 and its purported access to large quantities of COVID-19 diagnostic testing kits and personal protective equipment.
Roadman Investments Corp. (RMANF) on April 10, 2020 for publishing at least 12 press releases claiming commercialization of cedar leaf oil as a promising treatment for COVID-19.
Solei Systems Inc. (SOLI) on April 10, 2020 for a press release and a national cable news program interview with the Chief Executive Officer of its wholly-owned subsidiary, CareClix, Inc., claiming that CareClix had the ability to provide COVID-19 testing kits that would allow a patient to submit a testing sample from home.
Arrayit Corporation (ARYC) on April 13, 2020 for claiming that it had developed an approved COVID-19 blood test. Arrayit last filed a substantive disclosure document with the SEC in 2015, in which the company described itself as a life sciences research company.
Applied BioSciences Corp. (APPB) on April 13, 2020, for a press release claiming to be selling and having started shipping 15-minute coronavirus test kits for home, school, hospital, law enforcement and military use, along with developing additional products to help the COVID-19. The companys claims included being positioned to begin filling large and domestic and international orders of the single-use test kits within weeks.
Signpath Pharma Inc. (SGTH) on April 15, 2020 for a public claim that the company had developed a COVID-19 treatment, in addition to there being a lack of current financial information in the marketplace about the company.
BioXTran Inc. (BIXT) on April 15, 2020 for press releases, blog posts, and a podcast about the companys present ability to develop a drug to mitigate or treat COVID-19. The SEC also identified possible manipulative trading of the companys stock from late January into February 2020.
Bravatek Solutions Inc. (BVTK) on April 15, 2020 for statements in press releases and social media posts about third party tests of its partners disinfectant against COVID-19, its work to register the disinfectant with the EPA, and a $150 million order for the product that the company claimed to have received.
PreCheck Health Services Inc. (HLTY) on April 16, 2020 for press releases about its orders of COVID-19 tests for overseas customers, and press releases and other publicly disseminated statements about the existence of customer orders for the tests.
The next chapter for each of these companies and those responsible for what the SEC reasonably will characterize as materially false and misleading public statements is, at a minimum, near certain civil enforcement action. Criminal prosecutions also are not just possible but probable. Attorney General William Barrs recent public statement directing federal prosecutors to prioritize the investigation and prosecution of Coronavirus-related fraud schemes, and the close working relationship between the SEC and the Department of Justice portends potential criminal cases associated with these 17 companies and the related securities trading.
The SEC has put on notice that it is scrutinizing closely all companies in the capital markets making claims regarding COVID-19. The public can expect to see much more enforcement activity, including more trading suspensions, in the SEC's investor protection emphasis.
www.forbes.com/sites/jacobfrenkel/2020/04/...nt/#249a86912f25