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Santa Fe Springs TV studio with only 1 employee, no income targeted by SEC – Pasadena Star News


Santa Fe Springs TV studio with one employee and apparently no income is accused by the United States Securities and Exchange Commission of illegally raising more than $ 1.2 million from nearly 700 investors through the sale of unregistered ordinary shares.

An SEC civil complaint last week alleges that Punch TV and its chief executive, Joseph Collins, the only employee, violated federal registration provisions for stock offerings from January 2018 to June 2020.

“By failing to register Punch TV’s offerings, the defendants have deprived investors of significant information that would be found in a registration statement that investors could use to assess the company’s prospects,” the complaint states.

The SEC is asking for unspecified monetary penalties against Collins and a court order prohibiting him from offering penny stocks.

Collins did not respond to emails seeking comment. Phone calls Tuesday to Punch TV studios at 11705 Willake St. in Santa Fe Springs went unanswered.

Punch TV, which was founded in 2014, had not licensed any of its content or generated revenue and was not engaged in production or broadcast operations as of December 2020, according to the SEC.

The complaint alleges that Punch TV’s unregistered offerings followed the company’s 2018 settlement of an SEC administrative order that suspended another illegal stock offering. This stay order ended Punch TV’s offer for nine months after the SEC found that the company had failed to file audited financial statements and other reports required to offer and sell securities, according to the complaint.

“Despite the stay order, the defendants continued to offer and sell the $ 1 common stock of Punch TV in violation of the order and without satisfying any of the (federal) law enforcement exemptions. securities, ”the lawsuit said.

From January 2018 to June 2020, Collins raised $ 681,924 from more than 660 investors through the sale of the $ 1 common stock of Punch TV, according to the SEC.

Additionally, Collins embarked on a $ 5 unregistered share offering of Punch TV shares from March 2018 to April 2019 that would have generated $ 519,230 from 28 investors.

Collins touted the offerings on Punch TV’s website and various social media platforms, according to the SEC.

The complaint states that Collins appeared in a February 2018 YouTube video titled “Why Punch TV Studios Will Make a Billion Dollars”, which offered potential investors a chance “to invest in magic.”

“The reason I think you should invest in Punch TV studios… is because we have a phenomenal business plan,” says a narrator in the video. “When we meet our revenue targets, your stock price has a very good chance to rise.”

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