In the Matter of EZTD Inc.
Admin. Proc. File No. 3-17673
On November 10, 2016, the Commission instituted and simultaneously settled cease-and-desist proceedings (the "Order") against EZTD Inc. ("Respondent"). In the Order, the Commission found that, from June 2011 to August 2014, the Respondent made offers and sales of binary options to U.S. customers, through two of its online trading platforms, eztrader.com and globaloption.com. These binary options constituted securities under the federal securities laws. The Respondent, however, failed to register any of its offers and sales of binary options to U.S. customers and it failed to register with the Commission as a broker-dealer. The Commission ordered the Respondent to pay a total of $1,773,549.00 in disgorgement, prejudgment interest, and civil money penalties. The Commission also created a Fair Fund ("Fair Fund"), pursuant to Section 308(a) of the Sarbanes-Oxley Act of 2002, as amended, so the penalty, along with the disgorgement and prejudgment interest, collected can be distributed to those harmed by the Respondent's misconduct. See the Commission's order: Release No. 33-10251.
As of November 8, 2017, the Respondent has paid a total of $738,980 into the Fair Fund, and any future funds paid by the Respondent will be added to the Fair Fund for distribution to harmed investors.
For more information, please contact the Commission:
Office of Distributions