SEC v. CKB168 Holdings Ltd., et al.
Case No. 13-cv-05584-RRM-RLM (E.D.N.Y.)
On October 9, 2013, the Commission filed a complaint against CKB168 Holdings Ltd.(“CKB”), WIN168 Biz Solutions Ltd. (“WIN”), CKB168 Ltd. (“CKB168”), CKB168 Biz Solution, Inc. (“Biz Solution”), Cyber Kids Best Education Ltd.(“Cyber Kids”), Rayla Melcher Santos (“Santos”), Hung Wai Shern (“Shern”), Rui Ling Leung (“Leung”), Daliang Guo (“Guo”), Yao Lin (“Lin”), Chih Hsuan Lin (“Kiki Lin”), Wen Chen Hwang (a/k/a "Wendy Lee") (“Wendy Lee”), Toni Tong Chen (“Chen”), Cheongwha Chang (“Chang”), Joan Congyi Ma (Ma”), and Heidi Mao Liu (“Liu”) (collectively, “Defendants”), and Rosanna LS Inc. (“Rosanna”), USA Trade Group, Inc. (“USA Trade”), Ouni International Trading, Inc. (“Ouni”), E Stock Club Corp. (“E Stock”), EZ Stock Club Corp. (“EZ Stock”), HTC Consulting LLC (“HTC”), and Arcadia Business Consulting, Inc. (“Arcadia”) (collectively, “Relief Defendants”). The complaint alleged that, from 2012 to 2013, the Defendants violated antifraud and registration provisions of the federal securities laws by orchestrating and promoting a pyramid scheme and offering fraud. See Complaint.
On June 29, 2016, Chen, Chang, HTC, and Arcadia were ordered to pay a total of $2,101,949.81 in disgorgement and prejudgment interest. The Commission was ordered to hold all funds, together with interest and income earned thereon (collectively, the “Fund”), pending further order of the Court. See Chang, HTC, and Arcadia’s Final Judgment and Chen’s Final Judgment.
As of March 13, 2017, Chen, Chang, HTC, and Arcadia have paid a total of $751,670.65 into the Fund for distribution to harmed investors, any additional monies collected from Chen, Chang, HTC, and Arcadia will be added to the Fund for distribution.
Litigation is pending for the remaining parties.
For more information, please contact the Commission:
Office of Distributions