Joseph Craft banned from appearing before SEC as an accountant
Continuing their pursuit of professionals who enabled the $3 billion dollar Ponzi scheme TelexFree, the SEC today announced it has banned Joseph Craft from appearing before them as an accountant.
Craft (right) was hired as TelexFree’s accountant in 2012 and served as Chief Financial Officer.
Earlier this month Final Judgment was entered against Craft in the SEC’s civil case. The judgment sees Craft return $298,708 in disgorgement (including interest) and pay a $50,000 civil fine.
On top of that the SEC has gone after Craft for breaching the Commission’s Rules of Practice.
Rule 102(e)(3)(i) of the Commission’s Rules of Practice allow the SEC to go after accountants who are found to have engaged in misconduct in an SEC court action.
The SEC’s findings concluded Craft ‘assisted TelexFree in engaging in a multi-million fraudulent Ponzi and pyramid scheme‘.
Within the context of breaching the Commission’s Rules of Practice, the SEC has suspended Craft ‘from appearing or practicing before the Commission as an accountant‘.
The ban is in place for five years, after which Craft can request a review.
Not sure if there’s much of a market for accountants who assist billion dollar Ponzi schemes, but I digress.
Meanwhile there’s little doubt choosing to attach himself to TelexFree will go down as the greatest professional blunder of Craft’s career. #RIP