Home / Cases / Reverse merger schemes Reverse merger schemes enforcement actions This library records 59 enforcement actions tagged reverse merger schemes. A reverse merger scheme uses the lawful mechanism of merging a private business into a public shell to obtain a listing without scrutiny, in order to distribute stock into a market prepared for it.
Actions are listed newest first. Each row links to a case page carrying the regulator's own release and, where one was published, the complaint. For how this technique works and what statute it engages, read the reverse merger schemes technique page.
Actions 59
Total penalties $13.3m
Median penalty $87.5k
Largest $3.9m
Criminal parallel 25% Action Agency Filed Penalty Status SEC v. Morrie Tobin et al. (reverse merger schemes, 2024) SEC 2024-10-18 $230k judgment SEC v. DiScala et al., (pump and dump, 2024) SEC 2024-09-20 — judgment SEC v. Keith D. Beekmeyer and Andrew M. Bye (reverse merger schemes, 2024) SEC 2024-09-20 — settled SEC v. Esmark Inc. and James P. Bouchard (reverse merger schemes, 2024) SEC 2024-09-06 $500k settled SEC v. Meta Materials, Inc. ( and others (engineered short squeeze, 2024) SEC 2024-06-25 $1m settled SEC v. Janusz (John) Zukowski and Jerry Samaras (reverse merger schemes, 2024) SEC 2024-06-13 $600k settled SEC v. HF Foods Group Inc. (reverse merger schemes, 2024) SEC 2024-06-06 $3.9m settled SEC v. C-Bond Systems, Inc. and Scott Silverman (reverse merger schemes, 2024) SEC 2024-05-09 $175k settled SEC v. DiScala et al. (reverse merger schemes, 2023) SEC 2023-04-03 — judgment SEC v. James T. Patten, et al. (reverse merger schemes, 2022) SEC 2022-09-27 — filed SEC v. Jae Cheol Oh (reverse merger schemes, 2022) SEC 2022-06-08 $150k settled SEC v. Charles Parkinson Lloyd (reverse merger schemes, 2021) SEC 2021-09-15 $40k settled SEC v. Simon Piers Thurlow, et al. (reverse merger schemes, 2021) SEC 2021-09-15 — settled SEC v. Peter DiChiara (reverse merger schemes, 2020) SEC 2020-09-03 $40k judgment SEC v. Michelle Dipp (reverse merger schemes, 2020) SEC 2020-06-30 — settled SEC v. Benjamin L. Bunker, Esq. (pump and dump, 2020) SEC 2020-01-23 — unknown SEC v. S. Paul Kelley, et al. (reverse merger schemes, 2019) SEC 2019-12-20 — unknown SEC v. Morrie Tobin et al. (paid stock promotion, 2019) SEC 2019-08-30 — filed SEC v. Tiber Creek Corp. and James M. Cassidy (reverse merger schemes, 2019) SEC 2019-03-26 $75k judgment SEC v. Natural Blue Resources, Inc. Cohen and others (reverse merger schemes, 2018) SEC 2018-12-21 $75k judgment SEC v. David G. Dreslin, et al. (reverse merger schemes, 2018) SEC 2018-12-03 $25k settled SEC v. Delaney Equity Group LLC Delaney and others (reverse merger schemes, 2018) SEC 2018-08-29 $20k settled SEC v. Tomahawk Exploration LLC and David Thompson Laurance (reverse merger schemes, 2018) SEC 2018-08-14 $30k settled SEC v. Ryan Gilbertson, et al. (reverse merger schemes, 2018) SEC 2018-07-12 — unknown SEC v. Richard Weed et al. (reverse merger schemes, 2018) SEC 2018-06-26 $150k dismissed SEC v. Manhattan Transfer Registrar Company and John C. Ahearn (reverse merger schemes, 2018) SEC 2018-05-17 $50k settled SEC v. AF Ocean Investment Management Company (reverse merger schemes, 2018) SEC 2018-04-25 — settled SEC v. Andy Z. Fan (fake press releases, 2018) SEC 2018-04-25 $140k settled SEC v. ChinAmerica Andy Movie Entertainment Media Company (reverse merger schemes, 2018) SEC 2018-04-25 — settled SEC v. James M. Schneider (pump and dump, 2017) SEC 2017-10-11 — filed SEC v. Joe Yiu Cheung ( and Dylon De Lu Zhang) (paid stock promotion, 2017) SEC 2017-08-02 $150k settled SEC v. Ryan Gilbertson, et al. (reverse merger schemes, 2017) SEC 2017-04-13 — judgment SEC v. Rose and Sheldon MKJJ Consulting LLC (reverse merger schemes, 2017) SEC 2017-03-23 — settled SEC v. Olde Monmouth Stock Transfer Co., Inc. and Matthew J. Troster (reverse merger schemes, 2017) SEC 2017-02-07 $100k judgment SEC v. Michael J. Muellerleile, Esq. and M2 Law Professional Corp. (reverse merger schemes, 2016) SEC 2016-12-16 $70k settled SEC v. Nicholas H. Shermeta and Napa Properties, LLC (reverse merger schemes, 2016) SEC 2016-11-01 — settled SEC v. Michael L. Reger (reverse merger schemes, 2016) SEC 2016-10-31 $250k settled SEC v. Richard Weed et al. (pump and dump, 2016) SEC 2016-10-04 — judgment SEC v. Richard Weed et al. (pump and dump, 2016) SEC 2016-08-23 — unknown SEC v. John W.R. Miller (reverse merger schemes, 2016) SEC 2016-08-22 $50k settled SEC v. Diane D. Dalmy, Esq. (pump and dump, 2016) SEC 2016-07-29 — dismissed SEC v. Steve Pappas (reverse merger schemes, 2016) SEC 2016-04-05 $50k judgment SEC v. Canaccord Genuity Inc. (reverse merger schemes, 2016) SEC 2016-03-24 — settled SEC v. L&L Energy, Inc. and Dickson Lee, CPA (reverse merger schemes, 2016) SEC 2016-02-17 $2.7m settled SEC v. Traci J. Anderson, Timothy W. Carnahan and CYIOS Corporation (reverse merger schemes, 2015) SEC 2015-12-21 $450k judgment SEC v. Jessica Gilbertson (reverse merger schemes, 2015) SEC 2015-12-15 — unknown SEC v. Abraxas J. Discala, Marc E. Wexler, Matthew A. Bell, Craig L. Josephberg, and Ira Shapiro (reverse merger schemes, 2015) SEC 2015-11-04 — judgment SEC v. James Goodland and Securus Wealth Management, LLC (marking the close, 2015) SEC 2015-09-30 $30k settled SEC v. Idle Media, Inc. and and Marcus Frasier (reverse merger schemes, 2015) SEC 2015-09-22 $50k settled SEC v. Benjamin Wey, et al. (reverse merger schemes, 2015) SEC 2015-09-10 — dismissed SEC v. Caribbean Pacific Marketing, Inc. (reverse merger schemes, 2015) SEC 2015-09-08 — settled SEC v. Kevin McDonnell (reverse merger schemes, 2015) SEC 2015-09-03 $7.5k settled SEC v. Peter Voutsas (reverse merger schemes, 2015) SEC 2015-06-30 $50k settled SEC v. China Valves Technology, Inc., et al. (reverse merger schemes, 2015) SEC 2015-05-20 $575k judgment SEC v. Daniel P. McKelvey, et al. (pump and dump, 2015) SEC 2015-04-16 — settled SEC v. Phillip Cory Roberts (reverse merger schemes, 2015) SEC 2015-02-03 — judgment SEC v. International Capital Group, LLC (reverse merger schemes, 2015) SEC 2015-01-29 $1.5m settled SEC v. Erik H. Perry (reverse merger schemes, 2014) SEC 2014-07-16 $75k judgment SEC v. Jetronic Industries, Inc. ( and others (custodianship shell hijacking, 2012) SEC 2012-06-25 — dismissed