April 2, 2019
Former CEO of Jumio, Daniel Mattes, will pay more than $17 million to settle SEC charges of defrauding investors in the Silicon Valley based private mobile payments company. The SEC complaint alleges that Mattes exaggerated Jumio’s 2013 and 2014 revenues while selling his personal shares to investors in the private, secondary market. When Jumio filed for bankruptcy in 2016, the shares became worthless and investors lost everything. Mattes is barred from being an officer or director of a publicly traded company in the U.S. Further, he must pay more than $16 million in disgorgement and prejudgment interest plus a $640,000 penalty. The SEC also settled separate proceedings against Jumio’s former CFO, Chad Starkey, for failing to exercise reasonable care concerning the financial statements and signing stock transfer agreements that falsely implied that the board of directors had approved Mattes’ sales. SEC
Tagged in: Financial and Investment Fraud, Misrepresentations, Securities Fraud,