Former boxing champ Floyd Mayweather Jr. drew the attention of the SEC, and they’re coming for his pockets.
Controversy continues to hound Floyd Mayweather Jr., this time in the form of a heavy set of penalties that were handed down by the Securities and Exchange Commission.
Mayweather had failed to disclose the fact that he was advertising cryptocurrencies while receiving undisclosed payments. Mayweather had allegedly received $100,000.00 from a company named Centra Tech, Inc., which also paid out $50,000.00 to music producer DJ Khaled (another one). Mayweather also failed to disclose another payment from two other companies involved in cryptocurrencies for a total of $200,000.00.
The advertising took place in the form of social media posts, such as this one:
Ever the pioneer, the agency notes that this is the first set of cases they’ve handled regarding ICO violations. The SEC has made an agreement with the boxer to have him cooperate as they investigate this matter further. The SEC’s official press release details the financial penalties that are to be paid by Mayweather and Khaled:
Without admitting or denying the findings, Mayweather and Khaled agreed to pay disgorgement, penalties and interest. Mayweather agreed to pay $300,000 in disgorgement, a $300,000 penalty, and $14,775 in prejudgment interest. Khaled agreed to pay $50,000 in disgorgement, a $100,000 penalty, and $2,725 in prejudgment interest. In addition, Mayweather agreed not to promote any securities, digital or otherwise, for three years, and Khaled agreed to a similar ban for two years. Mayweather also agreed to continue to cooperate with the investigation.
For those keeping count, this misadventure will cost him over $600,000.00. Fancy that.
None of this leads to any jail time, with only the financial penalties that shall be levied against both parties.
However costly this may be, none of this should deter Mayweather in the slightest when embarking on his new adventure - an exhibition match in Japan against kickboxing sensation Tenshin Nakamura for Rizin’s upcoming New Year’s Eve show. He’s likely to make a sizable payday to offset the losses from this situation.Full article