This item is part of Stockwatch's value added news feed and is only available to Stockwatch subscribers.

Here is a sample of this item:

by Mike Caswell

Eric Watson, a New Zealand citizen charged alongside Vancouver's Oliver Lindsay for an insider trading scheme from 2017, denies that he did anything wrong. The U.S. Securities and Exchange Commission claims that Mr. Watson tipped Mr. Lindsay about a transaction with Nasdaq listing Long Island Iced Tea Corp., which was changing its business to the then-fashionable blockchain technology. The deal caused the stock to nearly double in price.

The denials from Mr. Watson are contained in a brief answer filed in federal court in New York on July 30, 2025. Mr. Watson, who filed the document without the benefit of a lawyer, "denies any unlawful insider trading or violation of the federal securities laws." He says that the SEC has misrepresented "lawful, arm's length business activity based on publicly available information and legitimate consulting relationships."

Mr. Watson further says that the SEC lacks jurisdiction and, in any event, any chances of collecting money from him are remote. He says that it is unlikely any judgment the SEC wins would be collectable in Spain, where he resides. On top of that, he has what he describes as minimal assets. As he sees things, the SEC's "disproportionate pursuit of a foreign citizen" amounts to an abuse of process, and he is asking that the case be dismissed.

The remainder is available to Stockwatch subscribers.
Sign-up for a FREE 30-day Stockwatch subscription and SEE NO ADS