My bad. I see now that SFIO is also named in those charges, which is rather erroneous if you ask me, since SFIO theoretically, is the investors, and investors had absolutely nothing to do with the actions of the CEO. That's like guilt by association. Total BS, and further proof of the SEC's ineptitude.
Sure, the greys suck, but that doesn't give the MMs the right to criminal activity, and in my book, selling something you don't have is fraud. SEC, technically, are guilty of fraud themselves, with their tacit consent of NSS.