The biotech RenovaCare (OTCMKTS: RCAR) announced that it has received a civil complaint from the Securities and Exchange Commission (SEC).
The SEC accuses Harmel S. Rayat, a controlling shareholder and chair of RenovaCare, of orchestrating a secret promotional campaign to elevate the company’s stock price. The agency claimed that Rayat and RenovaCare worked with the financial publishing firm StreetAuthority to release a press release and Form 8-K with inaccuracies and omissions in 2017 and 2018. SEC concluded Rayat tried to hide his involvement in the campaign by channeling payments to StreetAuthority through a third party.
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