Popular actor Steven Seagal is facing charges with the United States Securities and Exchange Commission (SEC) over a 2018 initial coin offering (ICO). According to the commission, Seagal did not disclose his earnings from dealings with the ICO operators.
The Bitcoiin2Gen (B2G) project chose Seagal back in March 2018, to help promote their ICO on his social media platforms. The contract also required the actor to be a brand ambassador for marketing the sale, across several channels.
Seagal’s contract specified that his payments would be $750,000 in B2G tokens and $250,000 in cash. However, the SEC maintains in a publication released yesterday, that the B2G project only paid Seagal $157,000. Regardless, the SEC says the actor should have reported his earnings.
“Seagal’s failure to disclose this compensation violated Section 17(b) of the Securities Act, which makes it unlawful for any person to promote a security without fully disclosing the receipt and amount of such consideration.”
Seagal, who currently lives in Russia’s capital city of Moscow has agreed to pay over $330,000 to the SEC. This is twice the amount he received and another $16,000 in interest.
The SEC has also brought charges against other projects for similar offences.
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