Defendant Name: Akazoo S.A.

Defendant Type: Public Company
SIC Code: 9999
CUSIP: L0164E10

Initial Case Details

Legal Case Name SEC v. Akazoo S.A.
First Document Date 30-Sep-2020
Initial Filing Format Civil Proceeding
Case Number 20-cv-08101
Allegation Type Issuer Reporting and Disclosure
Federal District Court New York, Southern District of New York

Violations Alleged

Exchange Act
• Sec 10(b) + Rule 10b-5
• Rule 12b-20
• Sec 13(a)
• Sec 13(b)(2)(A)
• Sec 13(b)(2)(B)
Securities Act
• Sec 17(a) (Not specified)
Other
• Rules 13a16, 13a-19 Exchange Act

Resolutions

First Resolution Date 02-Apr-2021
Headline Total Penalty and Disgorgement $38,800,000

Related Documents:

comp-pr2021-216 30-Sep-2020 Complaint
Complaint
The Commission stated: "Over a multi-year period spanning its existence as a private and then public entity, Akazoo defrauded multiple groups of investors out of millions of dollars. It claimed to be a rapidly growing music streaming company focused on emerging markets with millions of paying monthly subscribers and over €105 million (or $124 million) in annual revenue. In reality, as it recently admitted in a public filing with the SEC, the Nasdaq-listed company had no paying users and negligible, if any, revenue."
court_doc61_20-cv-08101 02-Apr-2021 Court Docket Document
Agreed Judgment
The Court stated: "Defendant Akazoo S.A. (“Defendant”) . . . consented to entry of this Judgment without admitting or denying the allegations of the Complaint (except as to jurisdiction and except as otherwise provided herein in paragraph V); waived findings of fact and conclusions of law; and waived any right to appeal from this Judgment."
court_doc78_20-cv-08101 27-Oct-2021 Court Docket Document
Agreed Final Judgment
On October 27, 2021, the Court issued a final judgment against Akazoo S.A. stating: "Akazoo S.A. ("Defendant") . . . consented to entry of an agreed judgment as to injunctive relief . . .; consented to entry of this Final Judgment without admitting or denying the allegations of the Complaint (except as to jurisdiction and except as otherwise provided in the Consent); waived findings of fact and conclusions of law; and waived any right to appeal from this Final Judgment."
2021-216 27-Oct-2021 Press Release--Civil Action
Post-SPAC Music Streaming Company Reaches $38.8 Million Settlement in Ongoing Fraud Action
The SEC stated: "announced a $38.8 million settlement of charges against Akazoo S.A., a purported music streaming business based in Greece, for allegedly defrauding investors out of tens of millions of dollars in connection with a 2019 special purpose acquisition company (SPAC) business combination. Akazoo's assets were previously frozen as the result of an emergency action filed by the SEC in September 2020."