SEC CHARGES SOUTH FLORIDA COMPANY AND PRINCIPAL IN FRAUD SCHEME

The Securities and Exchange Commission announced today it filed an action against BorrowMoney.com, Inc. and its sole officer and majority shareholder, Florida resident Aldo Piscitello.

According to the SEC’s complaint, BorrowMoney.com purports to provide an internet-based platform to match mortgage and loan providers with prospective borrowers, earning revenue by supplying leads of prospective customers to those lenders. As alleged in the complaint, in Forms 10-Q filed with the Commission, for each of its first three reporting periods for its fiscal year ending on August 31, 2019, BorrowMoney.com represented that its revenue was related to lead generation. According to the complaint, however, the majority of the revenue reported was fictitious and, for the remainder, BorrowMoney.com did not have contracts or events that met the criteria for revenue recognition required by U.S. generally accepted accounting principles. The complaint also alleges Piscitello failed to make required disclosures related to his beneficial ownership of BorrowMoney.com securities. The complaint further alleges BorrowMoney.com did not report Piscitello’s failure to file beneficial ownership filings.

Source: SEC CHARGES SOUTH FLORIDA COMPANY AND PRINCIPAL IN FRAUD SCHEME