The Securities and Exchange Commission (SEC) filed charges on June 16, 2020, against three Pennsylvania entities and their owners who allegedly engaged in a fraudulent cryptocurrency offering.
The SEC named the defendants as Hvizdzak Capital Management, High Street Capital, High Street Capital Partners, Shane Hvizdzak, and Sean Hvizdzak.
The Commission sought emergency and preliminary relief to stop the defendants from continuing their fraudulent and unlawful practices, which was granted. The court also issued an order requiring an accounting, expedited discovery, and an order prohibiting the destruction of documents.
In the complaint, the Commission alleged that the defendants fraudulently raised and misappropriated millions of dollars from the sales of a limited partnership interest in High Street Capital Fund USA.
In a statement, SEC Asset Management Unit Co-chief Adam Aderton said, “As alleged in our complaint, the Hvizdzaks touted exceptional, but false, performance to potential investors when offering their fund. Investors should be skeptical of claims that seem too good to be true.”
