AlphanetWorld Corporation, which has been doing business under the name NWorld, has been ordered by the Securities and Exchange Commission to stop soliciting investments from the public without the necessary license.
The SEC likewise barred the company from transacting any business involving funds in its depository banks and from transferring, disposing, or conveying any related assets to ensure the preservation of the assets for the benefit of affected investors. The scheme involves the sale and offer of securities to the public in the form of investment contracts, whereby a person invests his money in a common enterprise and is led to expect profits primarily from the efforts of others, according to the SEC.
“NWorld is unlawfully engaged in the sale and/or offer of unregistered securities in the form of investment contract, because it has no license to carry out the same,” the Commission En Banc held.