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Random freezes, missing sound and display glitches usually trace back to one bad driver. Find and replace yours safely.Free scan · under a minuteThe SEC accused NovaTech Ltd., its founders Cynthia and Eddy Petion, and six promoters of running a crypto investment and multilevel-marketing program that allegedly raised more than $650 million from over 200,000 investors worldwide. Those claims come from a civil complaint filed in August 2024; they are allegations, not findings that a court has established.
What did the SEC accuse NovaTech of?
In its August 12, 2024 announcement, the U.S. Securities and Exchange Commission said the Petions operated NovaTech from 2019 through 2023 as a multilevel-marketing program that solicited crypto assets for purported trading in cryptocurrency and foreign-exchange markets. The SEC alleged the company and its promoters made misleading claims about returns and the safety of customers’ funds. SEC announcement
The SEC-filed complaint says NovaTech reported average returns of 2–3% per week and did not report a losing trading week. Those were figures NovaTech allegedly reported to investors, not independently verified investment performance. The complaint further alleges that the company traded only a small fraction of the assets it received. SEC complaint
The SEC quoted Cynthia Petion telling investors: “In this program, you are in profit from day one, because again you have access to that capital.” The agency presented the statement as part of its allegations about how the program was promoted, not as proof of a guaranteed or actual return.
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How much money and how many investors were involved?
The SEC’s 2024 release alleges that NovaTech raised more than $650 million in crypto assets from more than 200,000 investors around the world. The $650 million figure is the amount allegedly raised, not a confirmed estimate of total investor losses. The materials cited here do not quantify total realized losses.
What does the complaint allege happened to investor funds?
According to the SEC, most investor funds were used for payments to existing investors and commissions to promoters rather than being traded as represented. The complaint also alleges the Petions diverted millions of dollars for themselves. These are allegations in the SEC’s civil case.
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The SEC says the program began to collapse around May 2023 after investors encountered withdrawal delays and regulatory actions or warnings. The agency alleges that most investors could not withdraw their investments. The complaint does not make the amount allegedly raised interchangeable with the amount investors ultimately lost.
Who was charged, and what claims did the SEC bring?
The SEC’s August 2024 case named NovaTech Ltd., Cynthia Petion, Eddy Petion, and six promoters: Martin Zizi, Dapilinu Dunbar, James Corbett, Corrie Sampson, John Garofano, and Marsha Hadley.
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The agency said it brought the following claims:
- NovaTech, the Petions, Zizi, Dunbar, Corbett, and Sampson were charged with antifraud violations of the Securities Act.
- NovaTech, the Petions, Dunbar, and Sampson were also charged under antifraud provisions of the Exchange Act.
- All defendants were charged with Securities Act registration violations.
- The six promoters were charged with broker-registration violations.
The SEC sought permanent injunctions, disgorgement and civil penalties. A charge is not a court finding, and the requested remedies are not the same as an award a court has ordered. The case was filed in the U.S. District Court for the Southern District of Florida as SEC v. Nova Tech Ltd., et al., No. 1:24-cv-23058. SEC announcement
Independent reader supportYour contribution helps us test, update, and keep practical guides available for everyone.What happened to the promoter defendants and the case?
Martin Zizi’s partial settlement
The SEC’s August 2024 release said Martin Zizi had agreed to a partial settlement without admitting or denying the allegations. It included a $100,000 civil penalty and a permanent injunction, with other monetary remedies to be determined later. The release said the settlement was subject to court approval; it did not describe this resolution as applying to the other defendants. SEC announcement
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Later procedural updates
A January 30, 2026 court order addressed the SEC’s request to serve NovaTech and the Petions by WhatsApp, email and electronic publication. Court order
A secondary legal update published September 21, 2026 reported clerk’s defaults against NovaTech and the Petions, but said no default judgment had been entered as of that date. A clerk’s default is a procedural step, not a default judgment establishing liability or awarding relief. That report is time-bounded; it does not establish what happened after September 21, 2026. September 21, 2026 case update
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