A federal judge in Manhattan ruled that the financial technology company Longfin must repay investors $223 million plus interest for suspected securities fraud. Longfin has now closed down. It had previously acquired a crypto company with a low valuation. The stock price soared by 1000% in 2017, and it underwent a $27 million IPO in 2017. According to a previous report from Chain Wen, the US SEC had filed charges against Longfin and its CEO Venkata Meenavalli, claiming that the company falsified its income and fraudulently included the company on the Nasdaq exchange. Longfin and Meenavalli falsely claimed in the documents submitted to the SEC that the company mainly manages and operates the company’s business in the United States, thus obtaining the qualification of the A+ rule, but in fact its assets and management are still offshore. The company and its CEO also distributed 400,000 shares to insiders and affiliates, but did not actually sell these shares, just to meet the Nasdaq listing standards.