The SEC has been taking action against these toxic note holders for failure to register as deals for some time. This hasn't discouraged the obscene conversions for this stock. It would appear that these note holders have not been observing the Rule 144, 180 day holding period for unregistered shares. The SEC has been working on Rule 144 holding period amendments for some time. These amendments were to be formalized first in April 2022, then April 2024 and are now scheduled for October 2024. This rule 144 holding period amendment will codify what the SEC has been enforcing since 2022 charging toxic lenders with failing to register as dealers. I however wouldn't hold my breath because these predatory lenders have plenty of money to fund the lobbyists.
1800 Diagonal Lending got out in front of the patent acceptance news receiving 591,386,247 of the 698 million shares issued in the first nine months of 2023 priced at an average of only $0.00017 a share. 698 million shares only bought Blackstar $116,725 in debt relief. All but 104 million of the nearly 600 million came during Q2 and Q3 2023.
Adar Alef executed a partial conversion of $13,455 principal into 62,100,00 shares of the Company’s common stock at a price of $0.0002167 per share back in November when the stock was on its way to a penny. At only $0.005 they could have banked more than $300K off that $13K conversion. Adar Alef still has $364,079 left on that note.
Looks like G.S. Capital received a partial conversion of 257,704,832 shares priced at $0.00006 a share that became available after the stay expired on February 15th. G.S. Capital likely made more than $500K on that $15,462 worth of debt relief. The company in their lawsuit counter claim states $600K made from those conversions. SEC Publishes Fall 2023 Regulatory Agenda Posted on December 7, 2023 https://www.knowntrends.com/2023/12/sec-publishes-fall-2023-regulatory-agenda/
Selected Proposed Rules. In this Regulatory Agenda, the SEC has moved the target date for proposing rules for Corporate Board Diversity and the Rule 144 Holding Period, from April 2024 to October 2024,...
Since early 2020, the SEC has been investigating purchasers of convertible notes of issuers trading on OTC Markets Group and has initiated several enforcement actions against these noteholders for violations of federal securities laws, particularly failure to register as a “dealer,” as is required by the Securities and Exchange Act of 1934, as amended.
Page 10 NOTE 5 – STOCKHOLDERS’ DEFICIT Common Stock During the nine months ended September 30, 2023, the Company issued shares of its common stock as follows:
698,077,221 shares for conversion of $116,725 principal and interest on convertible notes payable.