The USA Securities and Alternate Fee has gained a 1.1 million courtroom victory in opposition to Keith Crews, an internet scammer who ran a crypto rip-off and didn’t reply the company’s lawsuit. The SEC sued Keith Crews in 2023, accusing him of a crypto fraud scheme. Crews was informed to reply to the grievance throughout the lawsuit proceedings, and he failed to take action, which led to a default win for the U.S. regulator.
A Georgia federal courtroom declared an official judgment in favour of the SEC on June 3. This current win of the crypto-related case for the SEC is an unfamiliar situation within the American monetary system because the Trump administration’s pro-crypto perspective and crypto enforcement methods.
Choose Tiffany Johnson ordered Keith to pay over $1.1 million in monetary penalties
A Georgia federal courtroom decide, Tiffany Johnson, has ordered Keith Crews, an alleged crypto scammer, to pay monetary penalties of over $1.1 million. The courtroom discovered him responsible for disgorgement of $530,000 in web earnings from the alleged crypto rip-off imposed on Crews. The courtroom additionally ordered him to bear prejudgment curiosity of round $51,000, and he must pay a civil penalty of $530,000 as nicely.
The Securities and Alternate Fee charged Keith Crews with an alleged crypto fraud scheme in 2023. The current information asserts that the regulating company has been handed over a $1.1 million courtroom victory since Crews didn’t reply the lawsuit initiated by the company.
The courtroom, presided over by the Honorable Tiffany R. Johnson, acknowledged that, because the defendant Keith Crews had didn’t plead or in any other case defend himself on this motion and default had been duly entered, an order was given on June 2, 2025, directing that judgment be issued in favor of the plaintiff and in opposition to the defendant. It was ordered that Crews was completely restrained and enjoined from violating, immediately or not directly, Part 10(b) of the Securities and Alternate Act of 1934.
Additionally Learn: HMRC Tax Refunds: A Full Information On Claiming Tax Rebate In The UK
Keith Crews vs. the Securities and Alternate Fee
The SEC alleged that Keith Crews facilitated and operated crypto-related fraudulent actions by means of 4 Sq. Biz and Stem Biotech, two firms owned by him. The SEC claims that Crews carried out this fraud scheme between October 2019 and Could 2021, and he allegedly raised a minimum of $800,000 from round 200 traders by way of the sale of ‘Stemy Coin,’ a purported crypto asset safety. The regulating authority additionally claimed that the numerous traders related to Keith Crews had been “solicited by means of relationships in African-American and church communities.”
In response to the grievance registered by the SEC, Crews made false guarantees to traders, such because the tokens related along with his initiatives had been backed by collaterals like gold and superior applied sciences like ‘stem cell expertise’. He additionally claimed that his firm had working labs, merchandise, and a well-maintained monitor document of providing stem cell therapies.
The SEC confirmed that Keith’s claims had been all pretend and the agency had no working labs, merchandise, partnership, or entry to stem cell expertise. The SEC acknowledged that Crews and his entities had no present stem cell expertise, merchandise, or operations, and that there was no partnership with the claimed entities. It additionally talked about that the corporate had violated numerous federal securities legal guidelines, just like the Alternate Act and Securities Act fraud provisions.
