
Two ICO Issuers Settle SEC Charges, Agree to Register Tokens as Securities - troydavis
https://www.sec.gov/news/press-release/2018-264
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troydavis
> Both companies have agreed to return funds to harmed investors, register the
> tokens as securities, file periodic reports with the Commission, and pay
> penalties.

Paragon Coin:
[https://www.sec.gov/litigation/admin/2018/33-10574.pdf](https://www.sec.gov/litigation/admin/2018/33-10574.pdf)

CarrierEQ:
[https://www.sec.gov/litigation/admin/2018/33-10575.pdf](https://www.sec.gov/litigation/admin/2018/33-10575.pdf)

The refund clause:

> Respondent will … distribute by electronic means reasonably designed to
> notify each potential claimant (“Distribute”), a notice and a claim form
> (the “Claim Form”), both of which shall be in a form not objected to by
> Commission staff, informing all persons and entities that purchased
> AirTokens from Respondent before and including October 5, 2017 of their
> potential claims under Section 12(a) of the Securities Act, including the
> right to sue “to recover the consideration paid for such security with
> interest thereon, less the amount of any income received thereon, upon the
> tender of such security, or for damages if [the purchaser] no longer owns
> the security” and informing purchasers that they may submit a written claim
> on the Claim Form directly to Respondent

