GSPartners’ latest ploy to disable investor accounts is KYC.

Despite not caring about KYC since it launched in 2020, GSPartners has advised investors they have until December 15th to comply.

Investors to who fail to provide GSPartners with photo ID and other personal documents, run the risk of their accounts being “temporarily suspended”.

As per the KYC notice shown to investors in their backoffice, US states that have taken regulatory action against GSPartners receive “priority on KYC”.

Thus far eleven US states have taken action against GSPartners; MississippiFloridaArizonaNew Hampshire, Arkansas, Wisconsin, Kentucky, CaliforniaWashingtonAlabama and Texas.

We’re not sure what the point of collecting KYC from these investors is, seeing as GSPartners is certified to be operating illegally in these states.

One possibility is GSPartners could be gearing up to disable investor accounts in US states that have taken securities fraud related enforcement actions.

Supporting this is GSPartners referring to these states as “closed territories”.

It should be noted that securities fraud is a federal crime in the US. Individual states taking GSPartners to task over securities fraud is reflective of violations of the Securities and Exchange Act at the federal level.

In other words if GSPartners is committing securities fraud in one US state, it’s committing securities fraud across all US states.

BehindMLM has previously confirmed ongoing CFTC and SEC investigations into GSPartners.

With GSPartners unlikely to register itself with the SEC and CFTC (doing so would require it to file periodic audited financial reports), it’s looking like GSPartners will likely disable US investor accounts at some point.

What that looks like on the money side of things remains to be seen. To date GSPartners has failed to address any of the securities fraud warnings it has received.