Custodianship
Custodianship is a state-court process for appointing someone to revive an abandoned corporation. It has been abused to seize dormant public shells and issue stock in them, which is why the SEC scrutinises custodianship-derived listings closely.
Where does custodianship come up?
This term is used in the following manipulation techniques, each explained in full on its own page.
Enforcement actions involving these techniques
| Action | Agency | Filed | Technique | Penalty | Status |
|---|---|---|---|---|---|
| SEC v. Minerco, Inc., Bobby Shumake Japhia, and Julius Makiri Jenge (custodianship shell hijacking, 2024) | SEC | 2024-10-09 | Custodianship Shell Hijacking , Pump And Dump | — | filed |
| SEC v. Ulrik Debo (custodianship shell hijacking, 2020) | SEC | 2020-01-03 | Custodianship Shell Hijacking , Pump And Dump +1 | — | filed |
| SEC v. Jeffrey D. Martin, et al. (custodianship shell hijacking, 2017) | SEC | 2017-08-01 | Custodianship Shell Hijacking , Paid Stock Promotion +1 | — | judgment |
| CFTC v. John D. Briner (custodianship shell hijacking, 2016) | CFTC | 2016-08-03 | Custodianship Shell Hijacking | $280k | judgment |
| CFTC v. Defendants Matthew J. Marcus (custodianship shell hijacking, 2016) | CFTC | 2016-07-08 | Custodianship Shell Hijacking | $250k | judgment |