The allegations read: The securities and exchange commission ("commission"), for its complaint against defendants anthony j. Mastroianni jr. ("mastroianni") and global business and development and consulting corp. ("global"), alleges that between at least february 2017 - may 2022 (the "relevant period"), mastroianni offered and sold securities in the form of promissory notes issued by global (the "global notes"), by making materially false and misleading statements and omitting material facts. During this period, defendants sold securities to at least eleven investors and raised at least $1.2 million from the sale of the global notes. Mastroianni falsely represented to at least certain of the investors that, among other things, the money they invested in the global notes would be used to make loans to other businesses, which would generate the profits used to repay the global notes. The global notes promised investors extraordinarily high interest rates, ranging from 50% to 175%. Contrary to defendants' representations, mastroianni used significant amounts of investor money raised through the sale of the global notes to fund his lifestyle and pay for various personal expenses. Defendants have defaulted on the global notes, and investors have not been repaid either the principal or the interest they are owed under the terms of the global notes. As a result of the conduct described in this complaint, mastroianni violated section 17(a) of the securities act, and section 10(b) of the exchange act and rule 10b-5 thereunder.
