Banister and his firm also targeted over 60,000 followers on Stocktwits, directing them to invest in BioVie shares while Banister planned to sell his holdings at inflated prices. The alleged scheme netted Banister $1.37 million while leaving other investors with significant losses, according to the SEC.
Investor Harm
The SEC emphasized that the manipulation created artificial demand for BioVie stock, harming investors who trusted Banister’s advice. The publicly traded company, listed on the Nasdaq stock exchange, is reportedly focused on therapies for neurological disorders and liver disease.
The SEC has filed its case in the U.S. District Court for the Southern District of New York, seeking penalties and potentially barring Banister from future securities trading.
SEC representatives Sheldon L. Pollock, Michael D. Paley, Paul G. Gizzi, Jessica Quinn, and Laura Yeu are handling the case. The defendants’ legal representation was not immediately available for comment.
The case is titled Securities and Exchange Commission v. Banister et al., case number 1:24-cv-09308.
