Highjump.com, the popular online gaming company, is being investigated by the Securities and Exchange Commission for its alleged role in a $200 million Ponzi scheme that saw thousands of people lose money.
The SEC’s investigation comes amid concerns over online gaming and fraud.
In May, the SEC launched an investigation into the company’s business practices and practices for its games.
In July, the company agreed to pay $250 million to settle charges that it made misleading statements to investors about its online gaming operations.
The company said in a court filing that the investigation was triggered by a consumer complaint filed in October 2016 about the company.
On Monday, the Federal Trade Commission (FTC) said it was reviewing the company and its responses to the SEC’s inquiries.
The FTC, in a letter dated March 30, said the company should have notified investors and made a public statement about the Ponzicagate investigation in August 2016.
The letter also said the FTC has “serious concerns” about Highjump’s business strategy, and it wants to see more information about the operation Highjump has in mind.
On Tuesday, the FTC issued a subpoena to Highjump seeking documents and information about how the company made a $500 million profit in the last 12 months.
The agency said in the letter that it was concerned that Highjump is using its own website to advertise games, and that it is “fraudulently advertising” games on the site.
“The company is not disclosing its operations to investors or other users,” the FTC wrote.
“Instead, the firm is making misleading statements about its games and its games’ performance.
The firm has also misled investors by concealing its business strategy.”
According to the FTC’s letter, Highjump also failed to tell investors about a scheme in which its games were purchased on sites like eBay and Craigslist.
Highjump said in its SEC filing that it has since changed its business practices.
“Since the inception of this initiative, Highjumps public disclosure of its current and planned business strategy has increased, and its public disclosure regarding its current games has decreased. “
“Additionally, Highjinks leadership team has implemented several measures to strengthen its controls and to ensure it is in compliance with the SEC rules regarding deceptive advertising.” “
In June, the federal government sued Highjump for misleading investors and investors’ information in its online games. “
Additionally, Highjinks leadership team has implemented several measures to strengthen its controls and to ensure it is in compliance with the SEC rules regarding deceptive advertising.”
In June, the federal government sued Highjump for misleading investors and investors’ information in its online games.
The government alleged that Highjiers games sold through websites like Craigslist, eBay, and on its own websites were not legitimate.
In August, the government filed a complaint against Highjump and Highjump Games, alleging that the company misled investors about the effectiveness of its online services and also that the games did not perform as advertised.
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