The U.S. Securities and Exchange Commission (SEC) says it has revoked the registered securities of Long Blockchain Corp (LBCC) after the company failed to file annual reports since Dec. 31, 2017. In addition, the SEC says LBCC, which made the switch from soft drink production to activities related to blockchain technology in December 2017, is also “delinquent in filing quarterly reports.”
Non-Existent Blockchain Business
In a document that reveals the proceedings against LBCC, the SEC, which cites the Securities Exchange Act of 1934, says its decision (to revoke securities) is intended to protect investors. The SEC adds that an investigation had found that after the name change from Long Island Iced Tea Corp to LBCC, the listed company’s “blockchain business never became operational.”
Meanwhile, concerning the status of LBCC’s common stock, the SEC said the following:
The common stock of LBCC was registered under Section 12(b) of the Exchange Act and traded on Nasdaq until Nasdaq filed a Form 25 on June 6, 2018, to delist the securities. LBCC stock is currently quoted on OTC Link whose parent company is OTC Markets Group, Inc, having not filed “a form 10-Q” since the period ended September 30, 2018.
LBCC Agrees to Settle
In the meantime, the SEC says LBCC has since “submitted an Offer of Settlement which the Commission has determined to accept.” According to the SEC, this revocation became effective as of Feb. 22, 2021. The revocation of the registration of each class of LBCC’s securities by the SEC is the latest setback for the company.
As reported by news.Bitcoin.com, LBCC’s December 2017 plot to associate itself with the blockchain technology may have helped to trigger the 400% single-day price surge. However, this change in fortunes would prove to be short-lived as the Nasdaq Listing Qualifications Department would later institute delisting proceedings against LBCC’s common stock.
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