SEC v. Calvin Guess

Calvin Guess, Marcus Ligon, and 5 Fruits Enterprises LLC allegedly defrauded investors through false claims about 5 Fruits’ use of automated “bots” in trading securities. According to the SEC’s complaint, from 2021 through 2023, Guess, Ligon, and 5 Fruits raised over $4.7 million from more than 140 investors by claiming that they would profitably invest their money using automated trading bots to execute options trading algorithms. The SEC’s complaint alleges, Guess and Ligon misappropriated most of the money to pay their personal expenses and used about $1 million of investor funds to make Ponzi-like payments to other investors.

Summary generated from official Securities and Exchange Commission press release