Overview

• Minerco Inc. and its executives, Bobby Shumake and Julius Jenge, are charged with securities fraud by the SEC.
• The scheme involved promoting Minerco as a leading psilocybin mushroom company, resulting in $8 million in investor losses.
• Shumake allegedly concealed his control over Minerco by appointing Jenge as CEO to hide his involvement due to past legal issues.
• False claims included a $1 billion valuation and partnerships with a Jamaican firm, as well as endorsements from public figures.
• The SEC seeks permanent injunctions, financial penalties, and conduct-based restrictions against the accused.