The US Securities and Exchange Commission filed two civil complaints in the Southern District of New York on September 29, 2026, targeting four overseas-linked entities for operating overlapping investment confidence schemes that extracted more than $15 million from retail investors through encrypted messaging apps and fabricated regulatory credentials.
Cryptoaiml Scheme Deployment and SEC Allegations
The first complaint targets Cryptoaiml Ltd. and Cryptoaiml Capital Foundation, alleging they ran a fraudulent operation from at least August 2024 through March 2025. Operators established WhatsApp group chats where individuals posed as experienced advisers sharing artificial intelligence trading signals to build credibility among targets. Victims were directed toward a purported trading platform where some signed agreements resembling legitimate investment management contracts. The platform displayed a screenshot of a Form D that Cryptoaiml Ltd. had filed with the SEC, presenting it as official oversight proof, though the filing contained false information. Deposited funds did not go toward actual trading; instead, the platform showed invented profits. When investors attempted withdrawals, operators demanded advance fees to unfreeze accounts. The SEC estimates this scheme took more than $12.5 million.
TSAI Pro Automated Trading Bot Fraud
The second complaint outlines parallel tactics used by TSAI Pro Ltd. and TSAI Capital Foundation between September 2024 and March 2025. Operating through a website, WhatsApp chats, and public Facebook posts, the entities promised guaranteed profits if investors deposited money to rent AI-programmed bots that would trade on their behalf. Recruits received promises of extra income for bringing in new participants. Operators posted a fabricated agency certificate tied to a falsified Form D, claiming full SEC regulation. According to the Commission, no bots existed, deposited funds never generated returns, and approximately $2.8 million was misappropriated.
Enforcement Actions and Investor Guidance
Enforcement Director David Woodcock stated that while the tactics differed, the objective remained the same: promise outsized gains, claim SEC legitimacy, and steal the money. The Commission removed the related Form D filings from its website and directed the public to existing alerts concerning group-chat pitches and false registration claims. Officials urged investors to check anyone offering investments via Investor.gov and to submit tips through the agency’s online portal. Because the alleged operators appear to reside abroad, recovering funds remains difficult despite court-granted injunctions, penalties, and disgorgement.
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