Former Co-CEOs of Tech Start-Up Bitwise Industries Charged by SEC for Falsifying Documents in $70 Million Fundraising

The former co-CEOs of tech start-up Bitwise Industries, Jake Soberal and Irma Olguin, have been charged by the Securities and Exchange Commission (SEC) for misleading investors and falsifying documents while raising $70 million in funding. The SEC alleges that Soberal and Olguin provided investors with falsified bank records and a fake audit report, inflating cash balances and revenues to present Bitwise as a healthy and growing business. However, the company faced constant cash shortages and terminated all personnel in May 2023. Soberal and Olguin have agreed to resolve the charges, and criminal charges have also been filed by the U.S. Attorney's Office.