GreenBox POS (GBOX)

[lone-wolf]

Bear Cave is at it Again!!

Mostly Borrowed Short Ideas, a new anonymous short activist (@borrowed_shorts) published a follow-up report on Greenbox POS (NASDAQ: GBOX — $473 million), a high-risk payments processor that is up roughly 4,000% over the last twelve months. The author wrote,
“Greenbox POS directly violates the terms of service of its card network partners by operating unverified adult content websites.”
The report also presents evidence that “entertainers” on a website maintained by GreenBox are using stock image photos, and the report questions the company’s anti-money laundering compliance. The Bear Cave previously highlighted problems at GreenBox and wrote,
“GreenBox’s audit chairman was the CEO of a company that had its registration revoked by the SEC, and GreenBox’s co-founder and chairman filed for bankruptcy and paid a multi-million-dollar arbitration settlement amidst allegations of fraud… One of the CEO’s brothers, Liron Nusinovich, took over as head of Know Your Customer compliance in February according to his LinkedIn. Prior to that, Rachel Etessami was GreenBox’s head of underwriting and KYC compliance. Her previous work experience was as the general manager at Palm Beach Tan according to her LinkedIn.”