RedHawk Holdings Corp (fka SNDD)

[Diamond_Dog]

Schribercup apparently was a fraudulent lender.

Hey nobody's perfect....LOL

https://investorshub.advfn.com/uimage/uploads/2020/8/25/oconi20200825_101709.jpg

“Negligent Securities Fraud” Under Sections 17(a)(2) and (3)
Congress enacted the Securities Act of 1933 to protect investors from fraud in the
offer or sale of securities. To that end, Section 17(a)(2) establishes ‘‘misstatement
liability,” making it unlawful to obtain money or property by means of any untrue
statement or omission of a material fact.6 Sections 17(a)(1) and (3) each articulate
forms of ‘‘scheme liability’’ by prohibiting, respectively, “any device, scheme, or
artifice to defraud” and “any transaction, practice, or course of business which
operates or would operate as a fraud or deceit upon the purchaser.”7 Rule 10b-5,8
adopted by the SEC pursuant to Section 10(b) of the Exchange Act,9 makes similar
prohibitions as those contained in Section 17(a) applicable to “purchasers” of
securities as well; Rule 10b-5(b), like Section 17(a)(2), establishes “misstatement
liability” and Rules 10b-5(a) and (c), like Sections 17(a)(1) and (3), establish
“scheme liability.”
Over three decades ago, the Supreme Court established that Section 10(b), Rule
10b-5, and Section 17(a)(1) require the SEC to prove that the defendant acted with
an intent to “deceive, manipulate or defraud.”10 No such specific intent is required
to establish a claim under Sections 17(a)(2) or (3). Rather, Sections 17(a)(2) and
(3) only require proof of negligence and, in that regard, focus “upon the effect
of particular conduct on members of the investing public, rather than upon the
culpability of the person responsible.”11

D_DOG