Eventure Interactive Inc. (fka EVTI)

[VeronicaFox]

Gannon Giguiere
U.S. SECURITIES AND EXCHANGE COMMISSION
Litigation Release No. 25920 / January 3, 2024
Securities and Exchange Commission v. Giguiere, et al., No. 1:21-cv-05923 (S.D.N.Y. filed July 9, 2021)
SEC Obtains Final Judgment Against California Man for Insider Trading
On December 28, 2023, the Securities and Exchange Commission obtained a final judgment against defendant Gannon Giguiere, whom the SEC previously charged with insider trading in advance of an announcement by Long Blockchain Company (formerly known as Long Island Iced Tea Co.) that it was going to “pivot” from its existing beverage business to blockchain technology, which caused the company’s stock price to soar.

The SEC’s complaint was filed on July 9, 2021, in federal district court in the Southern District of New York. The complaint alleged that Giguiere purchased 35,000 shares of Long Blockchain stock within hours of receiving confidential information about Long Blockchain from his friend and co-defendant Oliver-Barret Lindsay, who had been tipped by co-defendant Eric Watson, who had signed a confidentiality agreement not to disclose Long Blockchain’s business plans. According to the complaint, the company’s stock price skyrocketed after a press release was issued announcing its shift to blockchain technology. The complaint further alleged that within two hours of the announcement, Giguiere sold his shares for over $160,000 in illicit profits.

Without admitting or denying the SEC’s allegations, Giguiere consented to entry of a final judgment permanently enjoining him from violations of the antifraud provisions of Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder and ordering him to pay a civil monetary penalty of $325,000.

The SEC’s investigation has been conducted by Lindsay S. Moilanen, Mark R. Sylvester, Diego Brucculeri, and Sheldon L. Pollock, and the litigation is being led by Ms. Moilanen, Chevon Walker, and Mary Kay Dunning. The case is being supervised by Mr. Pollock.

[VeronicaFox]

Q from the CONspiracy theorist:
I wonder how much the naked shorts walked away with? How many shares they counterfeited?

https://investorshub.advfn.com/boards/read_msg.aspx?message_id=168972592

A: The answer is still ZERO. A revoked security is dead money, it’s no different than a long position, there isnt any electronic trading in a public market and it is lost money.

Yes, I know, it blows a hole in the conspiracy theories of "free" money.


EVTI IS REVOKED, PERIOD.

https://www.sec.gov/litigation/opinions/2022/34-94815.pdf

[VeronicaFox]

Smart man. We have a lot in common, I feel exactly the same.

It was great seeing you, you were one of the few honest posters on this board, I still appreciate that.

Take care.

[stockcrasher01]

Thanks Veronica. I don’t really deal with ihub anymore. The bias of the admin is pathetic so I’m done with this site.

Really nice seeing you again tho.

[VeronicaFox]

Hey, great to see you!

[stockcrasher01]

Hey look who’s not banned anymore.


Lmfao

[VeronicaFox]

For traders who may be confused about the fallacy of EVTI ”Naked Shorty”. EVTI is Revoked. A revoked security is dead money, it’s no different than a long position, there isn't any electronic trading and is lost money.

Yes, I know, it blows a hole in the conspiracy theories of "free" money.

Nonetheless, EVTI IS REVOKED,

YAY!!!!

[VeronicaFox]

Laughing out loud at the pumper(s) who pumped EVTI as having “cellar boxing”. If they had any sense / knowledge, they wouldn’t be posting such stupidity.

[VeronicaFox]

Over 10 years conning traders, pleased to see it revoked.

[VeronicaFox]

For anyone confused about the claim of EVTI ”Naked Shorty”:

EVTI is Revoked. A revoked security is dead money.

It’s no different than a long position, there isn't any electronic trading and is lost money.

Yes, I know, it blows a hole in the conspiracy theories of "free" money.

EVTI IS REVOKED,

GOOD RIDDANCE

[VeronicaFox]

For traders who may be confused about the fallacy of EVTI ”Naked Shorty”. EVTI is Revoked. A revoked security is dead money, it’s no different than a long position, there isn't any electronic trading and is lost money.

Yes, I know, it blows a hole in the conspiracy theories of "free" money.

Nonetheless, EVTI IS REVOKED,

[VeronicaFox]

Good riddance to this scam / scammers.

[VeronicaFox]

Nonsense. Complete fabrication and a silly MYTH. Funny that the misinformation about “cellar boxing” is posted here on this REVOKED P&D scam stock where the CEO is now in Prison. Numerous scammers provided fake misinformation in its heyday, astute traders knew better and provided facts. I hope no one got stuck and lost all their shares, but that’s what happens when trading these lowly cesspool P&D scams.

*Notice the board name here: FKA EVTI, i.e., formerly known as, Meaning it is no longer.

Dead stock, Flatlined.

[noradio]

How Market Makers are naked short selling stocks known as Cellar boxing

Cellar boxing is defined as a fraudulent financial institution tactic used to drive a company's stock price down to a deficient but tradable level, typically at the sub-penny level.

STOCKS Jan 10, 2023 0 Add to Reading List

Article Originally written by blurring
A type of securities fraud known as naked short selling is becoming increasingly popular and profitable for market makers who engage in it. The term "CELLAR BOXING" refers to the fact that the NASD and SEC were forced to arbitrarily set a minimum level at which a stock can trade. This threshold was set at $.0001 (one hundredth of a penny). This level is appropriately referred to as "the CELLAR". This $.0001 level serves as a "backstop" for various market maker and naked short selling manipulations.
Since 1999, when the market switched to a "decimalization" basis, "CELLAR BOXING" has been one of the most popular security scams. In the pre-decimalization days the minimum market spread for most stocks was set at 1/8th of a dollar and the market makers were guaranteed a healthy "spread". Since decimalization, those one-eighth-dollar spreads are often only a penny, as evidenced by Microsoft's quote throughout the day. Where did the shady MMs go to make up for all of this lost revenue? They went "south" to the OTCBB and Pink Sheets, where naked short selling protections such as Rule 10-a and NASD Rules 3350, 3360, and 3370 do not exist.
The need for an arbitrary "CELLAR" level is unique in that the smallest possible incremental gain above this CELLAR level represents a 100% spread available to MMs making a market in these securities. When compared to Microsoft's typical spread of perhaps four-tenths of 1%, this is pretty tempting territory. In fact, there is an infinite spread when the market is no bid to $.0001 offer.
To participate in "CELLAR BOXING," the MMs must first reduce the price per share to these levels. The lower they can force the share price, the wider the percentage spreads they can exploit. This is easily accomplished through standard naked short selling. In fact, if the MM is large enough and has enough visibility of buy and sell orders as well as order flow, he can use his right hand to act as a conduit for the sale of nonexistent shares through Canadian co-conspiring broker/dealers and their associates while his left hand is naked short selling into every buy order that appears through its own proprietary accounts.The key here is to be a powerful enough market maker to see these buy orders. This is known as "broker/dealer internalization" or naked short selling through the market maker's trading desk. While the right hand is busy flooding the victim company's market with "counterfeit" shares that can be sold at any time, the left hand is counteracting any upward pressure on the share price by neutralizing demand for the securities. The net result is a lack of demonstrable demand for shares and a massive oversupply of shares, resulting in a downward spiral in share price.

Indeed, until the "improved" version of Rule 3370 (Affirmative determination in writing of "borrowability" by settlement date) becomes effective, U.S. MMs have been "legally" processing naked short sale orders out of Canada and other offshore locations, despite the fact that they and the clearing firms involved knew from history that these shares would never be delivered. The question then becomes, how can "the system" allow these obviously bogus sell orders to clear and settle?To find the answer, look no further than Addendum "C" to the Rules and Regulations of the DTCC's NSCC subdivision. This gaping loophole allows the DTCC, which is basically the 11,000 b/ds and banks known as "Wall Street," to borrow shares from investors who are foolish enough to hold these shares in "street name" at their brokerage firm. This represents approximately 95% of us. In theory, this "borrow" was intended to allow trades to clear and settle that involved LEGITIMATE 1 OR 2 DAY delivery delays. This "borrowing" is done without the investor's knowledge and amounts to possibly the largest "conflict of interest" known to mankind. The question is whether these investors would knowingly lend their shares without compensation to those whose intent is to bankrupt their investment if they knew that the loan process was the key mechanism required for the naked short sellers to achieve their goal. Another question is whether the investor's b/d, which just earned a commission and thus owes its client a fiduciary duty of care, should act as the intermediary in this loan process, given that this b/d is being paid the cash value of the shares being loaned as a means of collateralizing the loan, all unbeknownst to his client, the purchaser.
At these "CELLAR" levels, an interesting phenomenon occurs. Because NASD Rule 3370 allows MMs to legally naked short sell into markets with a plethora of buy orders but few sell orders, an MM can theoretically "legally" sit at the $.0001 level and sell nonexistent shares all day because there is obviously a huge disparity between buy orders and sell orders at no bid and $.0001 ask. Every time the share price tries to get off the CELLAR floor and onto the first step of the stairway at $.0001, someone is there to step on the hands of the victim corporation's market.

Once a microcap corporation is "boxed in the CELLAR," it doesn't have many options for climbing its way out. One obvious option would be to reverse split its way out of the CELLAR, but history has shown that this is counter-productive as market capitalization is typically hammered and the post-split share price level begins to revert to its original pre-split level.
Another option is to organize a sustained buying effort and muscle your way out of the CELLAR, but there will almost always be a naked short sell order there to meet every buy order. The shareholder base can sometimes muster enough buying pressure to keep the market at $.0001 bid and $.0002 offer for a limited time. Later, the market makers will typically pound the $.0001 bids with a blitzkrieg of selling, erasing all bids and returning the market to no bid and $.0001 offer. When weak-kneed shareholders see this a few times, they usually decide to sell their shares the next time a $.0001 bid appears and get out of Dodge. For weak-kneed investors, this phenomenon is known as "shaking the tree," and it is very effective.
The market will occasionally go to $.0001 bid and $.0003 offer. This creates a juicy 200% spread for the MMs and discourages buyers from reaching the "lofty" level of $.0003. If a $.0002 bid appears from an MM who is not "playing ball" with the unscrupulous MMs, it will be hit so quickly that Level 2 will never reveal its existence. The $.0001 bid at $.0003 offer market creates a "stalemate" in which market makers can leisurely enjoy the huge spreads while the victim company gradually dilutes itself to death by paying the monthly bills with "real" shares sold at ridiculously low levels. Because all of these development-stage corporations must pay their monthly bills, time favors the naked short sellers.
At times, it appears that unscrupulous market makers are not actively trying to kill the victim corporation, but rather want to milk the situation for as long as possible and allow the corporation to die slowly by dilution. The reality is that it is extremely easy to take away 99% of a victim company's share price or market cap and keep the victim corporation "boxed" in the CELLAR, but it is extremely difficult to kill a corporation, particularly after management and the shareholder base have figured out the game being played at their expense.
Market makers make a fortune with these huge percentage spreads over time, but the net aggregate naked short positions become astronomical as time passes. This causes some concern among the co-conspiring MMs. The problem is that they can't even stop naked short selling into every buy order that appears because doing so will cause the share price to gap, putting tremendous pressure on net capital reserves for the MMs and margin maintenance requirements for the co-conspiring hedge funds and others operating out of the more than 13,000 naked short selling margin accounts set up in Canada. Of course, covering the naked short position is out of the question because they can't even stop the day-to-day naked short selling in the first place, and you can't cover while naked short selling.

In these cases, the victim company is forced to massively dilute its share structure due to the constant payment of the monthly burn rate with money received from the sale of "real" shares at artificially low levels. The naked short sellers' goal is then to point out to investors, usually through paid "Internet bashers," that with, say, 50 billion shares currently issued and outstanding, this lousy company is not worth the $5 million market cap it is trading at, especially if it is just a shell company whose primary business plan was wiped out earlier on due to the naked short sellers' tortuous interference.
The truth is that the single most valuable asset of these victim companies is frequently the astronomically large aggregate naked short position that has accumulated during the initial "bear raid" as well as the "CELLAR BOXING" phase. The victim company's goal is now to avoid the naked short sellers' three main goals: bankruptcy, a reverse split, or the forced signing of a death spiral convertible debenture out of desperation.
As long as the victim company can pay the monthly burn rate, the game plan becomes to make some of the strategic moves that hundreds of victim companies have been forced to make, such as name changes, CUSIP # changes, cancel/reissue procedures, dividend distributions, amending by-laws and Articles of Corporation, and so on. Nevada-based companies typically cancel all of their shares in the system, real and fake, and require shareholders and their b/ds to PROVE ownership of the old "real" shares before receiving a new "real" share. Many people also file civil suits around this time.
This indirect forcing of hundreds of US microcap corporations to go through all of these extraneous hoops and hurdles in order to survive, whether due to regulatory apathy or a lack of resources, is likely one of the biggest black eyes the US financial system has ever sustained. In an ideal world, it would be the regulators who audit the "C" and "D" sub-accounts at the DTCC, the proprietary accounts of the MMs, clearing firms, and Canadian b/ds, and force the buy-in of counterfeit shares detected above the Rule 11830 guidelines for allowable "failed deliveries" of one half of 1% of the shares issued. Microcap corporations in the United States should not be required to "purge" their share structure of counterfeit electronic book entries on a regular basis, but if regulators refuse to do so, management has a fiduciary duty to do so.
A lot of management teams become overwhelmed with grief and guilt in regards to the huge increase in the number of shares issued and outstanding that have accumulated during their "watch". The truth is that as long as management followed proper corporate governance procedures throughout this ordeal, a massive number of issued and outstanding shares is unavoidable and often indicative of an astronomically high naked short position, which is nothing to be ashamed of. These massive naked short positions must be viewed as massive assets that must be developed. Hopefully, regulators will recognize the reality of naked short selling and tactics like "CELLAR BOXING" and address this fraud, which has decimated thousands of US microcap corporations and the tens of millions of US investors who have invested in them.
Help us maintain the ongoing dedicated servers and security costs of the website.

[VeronicaFox]

A plethora of promoters here in Gannon’s heyday. Now he’s doing time at Club Fed and F/K/A EVTI was revoked.

Financial Fraud - Securities, Commodities, & Investment Fraud

[VeronicaFox]

Not current but interesting just the same. The California stock tout charged alongside Vancouver's Oliver Lindsay for an OTC Markets scheme, made his sentencing pitch. He asked a San Diego judge to spare him jail. He says that he did not purposely set out to run a pump-and-dump, and that he only landed in trouble after he began associating with a "longtime crook" who led him to the scheme with Lindsay. He has since co-operated fully with prosecutors, providing thousands of text messages he exchanged with others, among other materials.

The request came as part of a case in which prosecutors cited him and others for a $1.57-million scheme. The government said he ran a touting site called TheMoneyStreet, and was part of an effort to boost a supposed medical device maker called Kelvin Medical Inc. The two together entered manipulative trades in the midst of a promotional campaign run through TheMoneyStreet, the government said. He pleaded guilty on July 19, 2019.

From FBI San Diego:

Two Defendants Sentenced to Prison for Pump-and-Dump Stock Fraud Scheme were sentenced to 12 months and 17 months in prison, respectively, for participating in a pump-and-dump securities fraud scheme.
10:02 AM · May 13, 2022

[VeronicaFox]

Yes, many. Read historical posts to determine which ones.

[noradio]

Was there a stock promotion tied to EVTI at some point?

[DJ Ponder]

Breaking things down there was $1.4 million in ill gotten gains.
The two Ordered to pay $187,893.43 in restitution and serve 17 months and 12 months in prison.
Simple math doesnt take in ALL of the consequences for such behavior, but one can make the argument about who says crime doesnt pay?

There are still tickers ESSI and of course EVTI that suffered similar consequences.
I am not familiar with ESSI and I want to believe the EVTI investigation and sentencing are still ongoing, but I do not know this for a fact.

[DJ Ponder]

Thats for manipulating ticker kvmd...
There are still tickers essi and of course EVTI.

[VeronicaFox]

FBI SAN DIEGO

Two Defendants Sentenced to Prison for Pump-and-Dump Stock Fraud Scheme: Gannon Giguiere and Oliver Lindsay were sentenced to 12 months and 17 months in prison, respectively, for participating in a pump-and-dump securities fraud scheme. https://t.co/QwZfJbimkR

— FBI San Diego (@FBISanDiego) May 13, 2022

[VeronicaFox]

Revoked EVTI - Gannon Giguiere, Executive Chairman of the Board, President, Secretary of Eventure Interactive, Inc. (EVTI). He had other irons in the fire with Kelvin Medical as well.

Two Defendants Sentenced to Prison for Pump-and-Dump Stock Fraud Scheme

Assistant U. S. Attorney Aaron P. Arnzen [phone]

NEWS RELEASE SUMMARY – May 12, 2022

SAN DIEGO – Gannon Giguiere and Oliver Lindsay were sentenced to prison today for participating in a pump-and-dump securities fraud scheme. Lindsay, who lived in the Cayman Islands at the time of his arrest, received a 17-month prison sentence, and Giguiere, from Laguna Beach, California, was sentenced to 12 months in prison.

When Giguiere pleaded guilty in 2019, he admitted to manipulating the market for the stock of Kelvin Medical, Inc., a small medical device company. Giguiere conspired to pump up the price and volume of these stocks through manipulative trading and/or a stock promotion website designed to get unwitting investors interested in buying the stock. After the stock prices rose and he dumped the shares, Giguiere pocketed more than $1.4 million in fraudulent proceeds from these schemes. Lindsay also pleaded guilty in 2019, admitting that he engaged in manipulative trading with the same goal – to artificially increase the price and trading volume of Kelvin Medical stock.

In handing down the sentence, U.S. District Judge William Q. Hayes also ordered defendants to make restitution payments to victims of their scheme in the amount of $187,893.43.

“These are fitting sentences for defendants who caused significant harm to investors,” said U.S. Attorney Randy Grossman. “I trust that this will deter others who would participate in schemes that harm the integrity of the United States financial markets.” Grossman thanked the prosecution team and the FBI for their excellent work on this case.

“The FBI is committed to investigating those who prey on unsuspecting investors for their own financial gain,” said FBI Special Agent in Charge Stacey Moy. “These defendants will now face the consequences for their coordinated investment fraud scheme.”

DEFENDANTS Case Number 18cr3071-WQH

Gannon Giguiere Age: 49 Laguna Beach, CA

Oliver Lindsay Age: 44 Vancouver, Canada

SUMMARY OF CHARGES

Conspiracy to Commit Securities Fraud – Title 18, U.S.C., Section 371

AGENCY

Federal Bureau of Investigation

Topic(s):
Financial Fraud
Securities, Commodities, & Investment Fraud
Component(s):
USAO - California, Southern
Press Release Number:
CAS22-0512-Lindsay

https://www.justice.gov/usao-sdca/pr/two-defendants-sentenced-prison-pump-and-dump-stock-fraud-scheme

[VeronicaFox]

EVTI “formerly known as”. I wouldn’t put it so kindly, it was just a repetitive P&D for Giguiere.

[VeronicaFox]

Agreed.

Shutting it down was the right thing to happen.
There were way too many willing lowlife participants in this particular fraud besides gannon.
Some real scumbags.

[DJ Ponder]

Shutting it down was the right thing to happen.
There were way too many willing lowlife participants in this particular fraud besides gannon.
Some real scumbags.

[VeronicaFox]

I noticed EVTI has “FKA” before the name. It’s a shame so many traders had to lose funds in this pump & dump before the SEC shut it down.

[DJ Ponder]

That status Works for me.

EVTI = REVOKED

[VeronicaFox]

EVTI = REVOKED

[DJ Ponder]

"fake outrage" what a load of crap.

[VeronicaFox]

Kinda funny that there’re still questions about a REVOKED security:

https://www.sec.gov/litigation/opinions/2022/34-94815.pdf

The answer is still ZERO. A revoked security is dead money, it’s no different than a long position, there isnt any electronic trading in a public market and it is lost money.

Yes, i know, it blows a hole in the conspiracy theories of "free" money.

EVTI IS REVOKED, PERIOD.

[VeronicaFox]

The words "counterfeit shares" is a false statement, there is no such thing as a counterfeit share in the electronic sense. In the OTC that physical certificate must be deposited into an account at a brokerage through significant due diligence as to its issuance and verification from the Transfer Agent. Also the TA would have to issue a new physical cert to the DTCC. So there is no such thing as counterfeit shares in the electronic CNS system.

EVTI = REVOKED

[noradio]

I wonder how much the naked shorts walked away with? How many shares they counterfeited?

[VeronicaFox]

I love reading those letters F/K/A EVTI, it’s now Suspended AND Revoked. I wonder how much did GG and the insiders walk away with?

[noradio]

How much $$ did the naked shorts walk away with here?

[DJ Ponder]

Isn't that just WONDERFUL!

EVTI SEC registration revoked:

https://www.sec.gov/litigation/opinions/2022/34-94815.pdf

Thank you for informing us.

[VeronicaFox]

Thank you, Renee, it’s good to see the EVTI revocation. It appears traders will no longer be deceived by EVTI and their incessant bag of tricks.

EVTI SEC registration revoked:

https://www.sec.gov/litigation/opinions/2022/34-94815.pdf

[Renee]

EVTI SEC registration revoked:

https://www.sec.gov/litigation/opinions/2022/34-94815.pdf

[VeronicaFox]

lol! That’s a lot for a stock like EVTI.

[DJ Ponder]

That much?

Wait! A penny of EVTI traded today :)

Lol

[VeronicaFox]

Wait! A penny of EVTI traded today :)

[DJ Ponder]

Dead on arrival.

[VeronicaFox]

Still No FTDs.

[VeronicaFox]

Absolutely.

[DJ Ponder]

Not exclusive to otc Ceo's

That’s something CEO Giguiere never was able to do.

For sure.

[VeronicaFox]

That’s something CEO Giguiere was never able to do.

[DJ Ponder]

So deliver .
Proof please.

Lots of failure to delivers here...

[VeronicaFox]

Nope. Please provide SEC verified / documented proof of FTDs, not merely baseless claims. I’ve asked before, yet proof was not forthcoming.

Lots of failure to delivers here

[noradio]

Lots of failure to delivers here...

[DJ Ponder]

Eventure Interactive (EVTI)
0.000001 0.0 (0.00%)
Volume: 0 @-

EOM

[VeronicaFox]

It’s ridiculous. Something good came out of it though, I read a super article on the Suspended scams. Kudos to the author! Hope you enjoy it!


“History has shown us that if defunct shells are allowed to continue to trade, it only leads to future market manipulation and securities fraud. Some eventually find new ownership through corporate hijacking then get used for new scams. Others remain dark and become victims of fake press releases and false information being spread on social media. The bottom line is: if they aren’t dealt with now, we will only see a repeat of the same type of activity in the future.

The fact is that no other developed country in the world allows trading of defunct companies or even allows a market for unregulated stocks, free to trade without disclosures to the public.
As a society, we should never accept laws being broken as okay and normal, even if we benefit from the illegal activity somehow.

So, the SEC doing their job (protecting the integrity of the marketplace) should be applauded. It is long overdue.

If the goal of the SEC was just to send a message, they accomplished their mission. But if their goal is actually to clean up the market to prevent similar fraud in the future, they have a lot more work to do.

Even with 71 down, there are still over 2700 no information penny stocks, hundreds of which are completely defunct and unable to be contacted. If the SEC were to stop now, their efforts will be forgotten within months, and, in the whole scheme of things, they will have accomplished very little to clean up the market.

It will also be interesting to see if the SEC starts taking action against some of the social media pumpers involved in the stock manipulation. The SEC has on more than one occasion referred to “certain social media accounts” being engaged in “a coordinated attempt” to artificially influence the share prices, so they obviously have their eye on specific groups involved in the manipulation.”

https://www.securitieslawyer101.com/2021/sec-cleans-up-otc-market-sec-trading-suspension-of-71-penny-stocks/