NovaTech archive: SEC alleged $650 million investment scheme
The August 2024 complaint targeted principals and promoters and described how investor funds were allegedly used.
- Cited claims
- 2
- Source records
- 2
- Edition revision
- 2
In this investigation
A default entry is not a final judgment
The SEC case page, reviewed by the agency in March 2026, lists a Clerk's Entry of Default. A clerk's default records a procedural failure to respond; it should not be described as a final default judgment determining remedies. The August 2024 complaint allegations remain attributed to the SEC in this account. A separate lawsuit with a similar case name cannot establish the outcome of this enforcement action.
The civil action
The SEC announced charges on 12 August 2024 against Cynthia and Eddy Petion, NovaTech Ltd. and several promoters. It alleged that the programme raised more than $650 million in crypto assets from over 200,000 investors worldwide. The announcement is a civil charging account, and its claims remain attributed to the regulator here.
The alleged funding model
According to the complaint summary, NovaTech presented itself as a cryptocurrency and foreign-exchange investment programme. The SEC alleged that most investor funds were used to pay existing investors and promoter commissions, while only a fraction was used for trading. It also alleged personal diversion by the principals and substantial withdrawal failures when the programme collapsed.
Promoters and warning signs
The announcement alleged that some promoters continued recruiting and downplayed regulatory actions after becoming aware of warning signs. It separately described a partial settlement with one promoter without admission or denial. That distinction matters: a settlement, a complaint and a final adjudication are not interchangeable labels for every person involved.
Sources, dates and limits
Checked 23 October 2026 against the complaint announcement and SEC case page. The reviewed page establishes a clerk's default entry, not a final monetary judgment or a completed victim distribution.
Evidence & sources
- Filed allegation
The SEC's August 2024 complaint announcement alleged a $650 million NovaTech investment scheme and alleged continued recruitment despite warning signs.
Supporting excerpt: SEC Charges Alleged Crypto Company NovaTech and its Principals and Promoters with $650 Million Fraud
raised more than $650 million
SEC Charges Alleged Crypto Company NovaTech and its Principals and Promoters with $650 Million Fraud ↗ - Source reported
The SEC case page, reviewed by the agency in March 2026, lists a Clerk's Entry of Default. A clerk's default records a procedural failure to respond; it should not be described as a final default judgment determining remedies. The August 2024 complaint allegations remain attributed to the SEC in this account. A separate lawsuit with a similar case name cannot establish the outcome of this enforcement action.
