Home / Cases / Reverse merger schemes Reverse merger schemes enforcement actions This library records 66 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 66
Total penalties $4.3m
Median penalty $100k
Largest $1.5m
Criminal parallel 20% 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 — 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 — settled SEC v. HF Foods Group Inc. (reverse merger schemes, 2024) SEC 2024-06-06 — settled SEC v. C-Bond Systems, Inc. and Scott Silverman (reverse merger schemes, 2024) SEC 2024-05-09 $175k settled SEC v. Darren L. Ofsink (reverse merger schemes, 2023) SEC 2023-04-04 — judgment SEC v. DiScala et al. (reverse merger schemes, 2023) SEC 2023-04-03 — judgment SEC v. Tang and Jason Jianxun, CPA (reverse merger schemes, 2022) SEC 2022-11-17 — dismissed SEC v. James T. Patten, et al. (reverse merger schemes, 2022) SEC 2022-09-27 — filed SEC v. Friedman LLP (reverse merger schemes, 2022) SEC 2022-09-23 — dismissed SEC v. Jae Cheol Oh (reverse merger schemes, 2022) SEC 2022-06-08 — settled SEC v. Charles Parkinson Lloyd (reverse merger schemes, 2021) SEC 2021-09-15 — 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. David G. Dreslin, CPA (reverse merger schemes, 2020) SEC 2020-03-12 — judgment 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. James M. Schneider, Esq. (reverse merger schemes, 2019) SEC 2019-04-10 — judgment SEC v. Tiber Creek Corp. and James M. Cassidy (reverse merger schemes, 2019) SEC 2019-03-26 — 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. (paid stock promotion, 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 — 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 — settled SEC v. ChinAmerica Andy Movie Entertainment Media Company (reverse merger schemes, 2018) SEC 2018-04-25 — settled SEC v. Alan Weinberg, CPA and Weinberg & Baer LLC (reverse merger schemes, 2018) SEC 2018-02-21 — judgment SEC v. Jonathan Strum, Esq. (reverse merger schemes, 2018) SEC 2018-02-21 — judgment SEC v. Nathan Whitney Drage, Esq. (reverse merger schemes, 2017) SEC 2017-11-17 — unknown SEC v. James M. Schneider (pump and dump, 2017) SEC 2017-10-11 — filed SEC v. KPMG LLP and John Riordan, CPA (reverse merger schemes, 2017) SEC 2017-08-15 — settled SEC v. Joe Yiu Cheung ( and Dylon De Lu Zhang) (paid stock promotion, 2017) SEC 2017-08-02 — 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. (paid stock promotion, 2016) SEC 2016-10-04 — judgment SEC v. John W.R. Miller (reverse merger schemes, 2016) SEC 2016-08-22 — settled SEC v. Miller Energy Resources, Inc. Boyd and others (reverse merger schemes, 2016) SEC 2016-06-07 — settled 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. Diane D. Dalmy, Esq. (reverse merger schemes, 2015) SEC 2015-12-22 — filed 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 — settled SEC v. Idle Media, Inc. and and Marcus Frasier (reverse merger schemes, 2015) SEC 2015-09-22 — settled SEC v. Christopher D. Whetman, CPA (pump and dump, 2015) SEC 2015-09-18 — dismissed 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 — settled SEC v. Lamson and Jeffrey L., CPA (reverse merger schemes, 2015) SEC 2015-08-11 — judgment SEC v. Peter Voutsas (reverse merger schemes, 2015) SEC 2015-06-30 — 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