In a complaint filed in Brooklyn federal court, the SEC said Heart, also known as Richard Schueler, touted his Hex token, PulseX asset trading platform and PulseChain asset network on YouTube and other websites as pathways to "grandiose wealth."
The SEC accused Heart of spending investor funds on McLaren and Ferrari sports cars, four Rolex watches and "The Enigma," which cost 3.16 million British pounds (then $4.28 million) at auction and was purportedly the world's largest black diamond.
Heart, 43, is a U.S. citizen believed to live in Helsinki, Finland, the SEC said.
He did not immediately respond to a request for comment through LinkedIn.
Hex, PulseX and PulseChain are also defendants.
Persons:
Richard Heart, Richard Schueler, Jonathan Stempel, Chris Prentice, Katharine Jackson, Ismail Shakil, Will Dunham, Mark Porter
Organizations:
YORK, U.S . Securities, Exchange Commission, SEC, YouTube, McLaren, Ferrari, Rolex, Thomson
Locations:
Brooklyn, U.S, Helsinki, Finland, New York