The defense’s attempt to dismiss claims against Asmahan Mufareh, who they argued only received “routine compensation” from her husband, also failed. Judge Sneed found that she had acted as a conduit for the funds and thus could not be dismissed as a relief defendant.
SEC and Defense Teams Gear Up for Legal Battle
While the SEC declined to comment on the decision, the defense team, consisting of attorneys from Latham & Watkins LLP and Carlton Fields, did not respond to media inquiries. The ruling clears the way for the SEC to continue its case, which seeks to recover the ill-gotten gains from the alleged fraudulent scheme.
As this high-stakes legal drama unfolds, it serves as a stark reminder of the dangers lurking in the world of multilevel marketing and unregistered securities. Investors may have been promised the future of artificial intelligence, but what they got instead was a crash course in fraud.
