The SEC has charged the CEO of Future Fintech Group, Shanchun Huang, with stock manipulation. The company provides financial and digital technology services and operates in Hong Kong, the UK, the UAE, and China. Huang allegedly manipulated the company’s stock price by buying shares shortly before and after he became CEO in March 2020. The SEC also claims that Huang failed to make required public filings about his stock ownership and transactions. The SEC is seeking penalties and a permanent prohibition on Huang serving as an officer or director of any company with registered securities.
The Securities and Exchange Commission (SEC) has announced charges against the CEO of Future Fintech Group, alleging stock manipulation. Future Fintech Group is a financial and digital technology service provider that operates in various countries, including Hong Kong, the UK, the UAE, and China. The company offers asset management, brokerage, and investment banking services, as well as cross-border payment and crypto trading data information services.
The SEC’s complaint alleges that Shanchun Huang, the CEO of Future Fintech Group, manipulated the stock price of the company. According to the complaint, Huang bought hundreds of thousands of Future Fintech shares to artificially increase the stock price shortly before and after he became CEO in March 2020. The complaint also claims that Huang repeatedly failed to make required public filings with the SEC regarding his beneficial ownership of the shares and his stock transactions.
In March 2021, after selling all of his Future Fintech shares, Huang reportedly filed an Initial Statement of Beneficial Ownership. However, the SEC alleges that this filing failed to disclose that Huang owned Future Fintech stock when he became CEO in March 2020 until his final shares were sold in March.
The SEC is seeking penalties against Huang and is also seeking to permanently prohibit him from serving as an officer or director of any company that has a class of securities registered under the Exchange Act.