YouPlus founder and CEO Shaukat Shamim has been accused of fraudulently raising over $17 Mn for an artificial intelligence company by making false and misleading statements about the company’s technology and its revenue. According to US Attorney David L. Anderson and FBI Special Agent John L. Bennett., Shamim is charged with securities and wire fraud in the complaint filed with the SEC.
If convicted of wire fraud under 18 U.S.C. § 1343 (wire fraud), Shamim will face a maximum sentence of 20 years’ imprisonment, a fine of $250K, and restitution if appropriate. If convicted of securities fraud under 15 U.S.C. § 78j(b) and 78ff, and 17 C.F.R. § 240.10b-5, Shamim will face a maximum sentence of 20 years’ imprisonment, a fine of $5 Mn and restitution if appropriate