Over $4 Million in Sanctions Ordered for Charged Pump-and-Dump Scheme

According to the Complaint, Chicago biofuel company Zenergy was caused by owner Gasich to enter into a reverse merger with a publicly traded shell entity called Paradigm Tactical Products. Hundreds of millions of shares were then issued and distributed to friends, family and associates. Gasich, Wilding and others then began a generally illegal promotional campaign, touting the stock, while surreptitiously selling into the artificially generated interest. Estimated illicit profits of $4.4 million. The case against defendant Dalmy – an attorney who prepared opinion letters allowing the Paradigm shares to be sold – was still pending at the time of this writing/summary.