OnPassive’s SEC fraud trial scheduled for June 2025
As per an October 11th, Case Management and Scheduling Order, the SEC’s OnPassive fraud trial will kick off on June 2nd, 2025.
While that’s almost two years away, in the meantime the parties will head to mediation.
Another October 11th order directs the SEC and OnPassive to elect a mediator and mediation commencement date, within fourteen days of the order.
Mediation between the parties must take place prior to December 16th, 2024.
The SEC filed suit against OnPassive and owner Ashraf Mufareh back in August. In its Complaint, the SEC accuses OnPassive of over $108 million in securities fraud.
The majority of OnPassive investors are based out of the US and India.
In response to the SEC’s filing, Mufareh declared “only God can stop OnPassive“. He then began diverting investments to Dubai.
Mufareh, a resident of Florida, splits his time between the US, India and UAE.
Due to artificial manipulation of social media engagement and website traffic, it’s difficult to suss out how OnPassive is doing since August.
Recruitment is believed to have plateaued, with how long Mufareh can keep the scheme going determined by how long existing affiliates continue to send him money.
I’ll leave an update below to confirm mediation proceedings once the required filing has been made.