SEC accuses promoter Andy DeFrancesco of fraud

Andrew DeFrancesco accused of pump-and-dump scheme in shocking turn of events.
OPM 1 min read

Andrew DeFrancesco, known for his involvement in the cannabis boom and bust, has been accused of fraud in a civil complaint filed today by the SEC. The case relates to a NASDAQ-listed company, Cool Holdings, of which he was Chairman.

In summary, the SEC alleges that DeFrancesco "orchestrated a fraudulent scheme to deceive the investing public about the operations and prospects of Cool, through repeated, materially false and misleading misstatements and omissions in SEC filings and in a promotional campaign" as part of a pump-and-dump scheme. Also accused are his ex-wife Catherine DeFrancesco, an assistant and some company executives.

DeFrancesco continues to be involved in some of the most speculative areas of the market, such as lithium and blockchain technologies. It's fair to say he has a number of detractors on the street who will experience schadenfreude at this development.

You can read the Globe and Mail's full coverage here:

SEC accuses Canadian businessman Andrew DeFrancesco of fraud
SEC seeking a return of profits, monetary penalties, and permanent ban on Mr. DeFrancesco serving as the director or officer of a company registered with the SEC

You can download the full SEC complaint here:

More from OPM WIRE

You can still sign up for free!

We still offer a free subscription tier (aka Blind Squirrels).

Great! You’ve successfully signed up.

Welcome back! You've successfully signed in.

You've successfully subscribed to OPM WIRE.

Success! Check your email for magic link to sign-in.

Success! Your billing info has been updated.

Your billing was not updated.