The United States Securities and Exchange Commission (SEC) has secured an entry of default against Karina Chairez, a high-level promoter of the AirBit Club investment scheme.

The clerk’s certificate of default was issued on April 5, 2021. The SEC has applied for such a certificate after the defendant had failed to timely respond to the complaint in this matter.

Let’s recall that the SEC has charged Karina Chairez, a high-level promoter of the AirBit Club investment scheme that targeted Latinx and Spanish-speaking communities, for acting as an unregistered broker. The SEC previously brought similar charges against two other high-level promoters of AirBit Club, which promised investors returns through a purported digital asset trading program and from the recruitment of others.

The SEC’s complaint, filed on December 15, 2021 with the New York Southern District Court, alleges that Chairez solicited investors for AirBit Club, including through social media platforms and in-person meetings, without registering with the Commission. According to the complaint, Chairez raised large sums from investors, positioned herself at the top of an extensive pyramid of AirBit investors, and received substantial compensation from AirBit for the sale of the securities.

The SEC’s complaint charges Chairez with violating the broker-dealer registration provision of Section 15(a) of the Securities Exchange Act of 1934 and seeks injunctive relief, disgorgement and prejudgment interest, and civil penalties.