Vincent Mehdizadeh agrees to a ban, and a $12 million fine to settle SEC charges related to Medbox.
In March, 2017 entrepreneur Vincent Mehdizadeh agreed to settle charges brought by the SEC against him and his company Medbox, a legal Marijuana consulting company (now known as Notis Global- ticker symbol NGBL).
According to the complaint filed by the SEC, Mehdizadeh mistated Medbox’s revenues and used sham transactions to give the appearance that the company was profitable. According to the complaint 90% of Medbox’s revenues came from transactions in a company created by Mehdizadeh, and not from legitimate business generated by Medbox. Instead of record revenue, as was claimed, Medbox used a shell company formed by Mehdizadeh to sell company stock, then claimed the proceeds as revenue for Medbox.