TI accused of promoting fraudulent cryptocurrency by SEC, which agrees to settle


The Securities and Exchange Commission has accused TI of promoting fraudulent initial coin offerings (ICO) with a company called Flick. The Atlanta rapper and actor “did not participate in the offering or sale of digital-asset securities for $ 75,000 civil penalties and for at least five years,” according to a press release from the SEC.

The SEC accused TI of offering and selling FLIK “tokens” on its social media accounts and encouraged its followers to invest in FLIK ICO, while also falsely claiming to be a co-owner of the company. The commission has also claimed that TI has recruited “a celebrity friend”, who is providing a copy for posts, to promote the FLIK ICO on social media. TI’s social media manager was also accused of offering and selling FLKK tokens through TI’s social media accounts.

The SEC brought charges against four other Atlanta residents, with filmmaker Ryan Felton and three others accused of promoting Felton’s fraudulent ICO. Two companies involved in this, FLiK and CoinSpark, were also charged. All but Felton has agreed to a compromise.

In February, TI was dropped as a defendant in a 2018 civil suit filed by investors. According to court documents, Felton and comedian Kevin Hart are under trial, currently delayed by the COVID-19 pandemic.

Pitchfork contacted TI representatives for comment and further information.

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