The Securities and Exchange Commission (“SEC”) has charged Charlie Abujudeh relating to allegations he manipulated penny stock prices and targeted retail investors in his $9 million fraudulent scheme.
According to an SEC news release regarding the Charlie Abujudeh indictment:
“Abujudeh worked with others from August 2019 to at least September 2020 to fraudulently sell several microcap companies’ stock to investors by making misleading statements during high pressure sales calls and/or email promotions. The SEC alleges that, as part of the scheme, Abujudeh and his associates convinced investors to invest in the stock of Odyssey Group International, Inc., as well as other microcap companies, including Scepter Holdings, Inc., and CannaPharmaRx, Inc. Abujudeh paid stock promoters to tout Odyssey stock over the phone to unsuspecting retail investors who were recruited through false and misleading representations. Abujudeh also allegedly paid for email promotional campaigns and schemed to hide his control over and simultaneous sale of Odyssey, Scepter, and CannaPharmaRx stock into the increased demand that the promotions he paid for had generated. According to the complaint, Abujudeh generated over $9 million in illicit proceeds by selling Odyssey, Scepter, and CannaPharmaRx stock to investors during the promotions he funded. The SEC alleges that Abujudeh funneled hundreds of thousands of dollars of the illegal Odyssey stock sale proceeds to an Odyssey insider with whom he had been coordinating.”
The SEC is seeking an order freezing the defendant’s assets, permanent injunctions, the return of ill-gotten gains, civil penalties, and a bar on future penny stock trading, among other penalties.
Fishman Haygood’s Investment Fraud Division has experience bringing claims on behalf of investors who were duped in fraudulent schemes. Please contact us to discuss your possible claim.