Paul Pierce‘s bank account is about to take a huge hit … the ex-NBA star has agreed to pay $1.4 MILLION after authorities accused him of improperly promoting crypto on his social media page.
The Securities and Exchange Commission announced the settlement on Friday … after it charged the former Celtics forward over the way he promoted and spoke about EMAX tokens on his Twitter account.
According to the SEC, Pierce touted the EthereumMax products “without disclosing the payment he received for the promotion.” It also said Peirce made “false and misleading promotional statements” about the product as well.
Specifically, the SEC said Pierce was paid more than $244K to promote the items … while claiming he tweeted an image of a bank account with large figures, despite his account having a significantly lower total.
The SEC said Pierce ultimately agreed to fork over $1.409 million “in penalties, disgorgement and interest” to settle the charges.
“This case is yet another reminder to celebrities: The law requires you to disclose to the public from whom and how much you are getting paid to promote investment in securities, and you can’t lie to investors when you tout a security,” SEC Chair Gary Gensler said in a statement.
“When celebrities endorse investment opportunities, including crypto asset securities, investors should be careful to research if the investments are right for them, and they should know why celebrities are making those endorsements.”
Pierce has yet to publicly comment on the case.
Image & Source Credit: tmz.com