Home Cryptocurrency SEC Files Case Against Blakstad For Fraudulent Offers In The Crypto Mining...

SEC Files Case Against Blakstad For Fraudulent Offers In The Crypto Mining Operations

SEC Files Case Against Blakstad For Fraudulent Offers In The Crypto Mining Operations

  • The Securities and Exchange Commission filed a case against Donald G. Blakstad, Xact Holdings corporation, and Energy Sources International Corporation.
  • Blakstad, a resident of San Diego, California, owns and controls executive officer positions in Midcontinental, ESI, and Xact Holdings.
  • The Securities and Exchange Commission filed a case against Blakstad in July 2019, in Manhattan Federal court.

The Securities and Exchange Commission filed a case against Donald G. Blakstad, Xact Holdings corporation, and Energy Sources International Corporation for raising approximately $3.544 million from over 14 investors through a carefully planned fraudulent crypto mining session.

Instead of investing, he spent most of the borrowed money for his luxuries, which includes investing in personal entertainment, the purchase of a stake in a city club, buying of a luxury vehicle, and even investing in illicit securities trading.

Blakstad, a resident of San Diego, California, owns and controls executive officer positions in Midcontinental, ESI, and Xact Holdings. He also served as Chairman of the Board of Wind Energy America, Inc, a Minnesota based enterprise.

His fundraising operations began around July 2015 and went on till May 2019 and significant of the funds raised through Midcontinental Petroleum Inc, an oil, gas and other alternative energy resources company, ESI, a purported digital currency mining operation, and Xact Holdings, a Canadian manufacturing company for automobile components.

The defendants made false promises and misleading statements to the investors to buy securities in these companies. Midcontinental company investors told that their money would securely be deposited to fund startups, and remaining costs would be invested in oil, gas, and other alternative energy exploration.

Blakstad and ESI made a series of materially false promises telling that their investments would be used to purchase equipment for cryptocurrency mining operations for ESI. Blakstad, in connection with Xact Holding, said that their funds would be used to buy Canadian Company and the rest of the money to lease pieces of machinery in Houston, Texas.

The Securities and Exchange Commission filed a case against Blakstad in July 2019, in Manhattan Federal court. The commission claimed that Martha Patricia Bustos, a former accountant at Illumina, and her friend Donald Blakstad was engaged in a scheme to trade in advance of Illumina’s confidential revenue data.

Blakstad heavily bribed Bustos with expensive gifts. Blakstad, with the help of inside information, allegedly purchased Illumina securities. He used accounts of business associates to conceal his direct involvement.

Download our App for getting faster updates at your fingertips.

en badge web generic.b07819ff

Steve Anderrson
Steve Anderson is an Australian crypto enthusiast. He is a specialist in management and trading for over 5 years. Steve has worked as a crypto trader, he loves learning about decentralisation, understanding the true potential of the blockchain. Join the official channel of thecoinrepublic, For the latest news updates: https://t.me/thecoinrepublic

We Recommend

Top Rated Trading Platforms

Top Rated Cryptocurrency Exchange

Partners

Must Read

What is the Next Move of Ethereum Retracing From Resistance of $495.00?

Ethereum consolidating between the range of $445 to $490 after making a new 52-week high of $492 trading at the mark of...

Billionaire Boss of World’s Largest Hedge Fund Warns Bitcoin Will Be ‘Banned’

The bitcoin cost has taken off as its standing as a possible fence against swelling has developed.  Bitcoin has somewhat broken out of...

XRPL labs soon to release the productive version of XUMM

The last beta version of the XUMM application has been releasedDevelopers have fixed all the bugs in the XUMM applicationXUMM can build...

EagleFX Review

EagleFX is an online forex and cryptocurrency broker. It is headquartered at the Commonwealth of Dominica and was formed in 2019 with...

Ethereum Enters Critical Resistance Zone With Bullish Move Needs to Show Sustainability

Ethereum is finally into resting the critical resistance zone lying around $480.00 to $490.00 with a weekly gain of 4.00%However, the ETH/BTC...

Is Bitcoin Heading for New All-time High in 2020?

Bitcoin price trading above the price levels of January 2018, after breaking multiple resistance over a yearly chartBitcoin Dominance is currently at...

Related News

Brazilian Indigenous Tribes Neglected by the Government

Jair Bolsonaro, The President of Brazil, is known for looking down on its indigenous people. He is racist and discriminative towards themHe...

ZebPay to Dispatch India’s non-fungible Crypto Token and Commercial Center

A non-fungible token (NFT) is a cryptographic symbolic that speaks to something exceptional and has singular qualities that set them apart. The distinction...

PayPal Users in United States can Trade Crypto Assets on its Platform

Every user of PayPal in the United States is getting a banner at the top of the home page as the ability...

Cryptocurrency Akoin of “Cryptographic Urbanization Plan”, a significant advance in the serious clinical territory of ​​West Kenya

Akon and MMTC author Julius Mwale said in a joint assertion, "MMTC's presentation of Akoin makes way for a huge number of...

Paypal to start Crypto Service: CEO Discloses Expanded Limits, Venmo Rollout, and Expansion Plans

The organization is presently rolling out crypto usefulness to U.S. clients, after which it will dispatch the administration globally and on the...