Neuromama Ltd NERO, a $35 billion company that operates a search engine and is shrouded in mystery, saw its shares halted by the Securities and Exchange Commission (SEC) on Monday.
Its stock has gained more than 300 percent on minimal volume since the start of 2016, which adds to regulator concerns.
Neuromama also relocated its headquarters from Siberia to a beach community near Tijuana, Mexico. Perhaps Mexico was better suited for its future ambitions, which include building 39 casinos in the country and a power plant to generate enough electricity and water to satisfy the needs of 10 million people. The company may need to secure financing, however, since its most recent financial report showed only $4,721 in assets.
Neuromama's stock is listed on the over-the-counter — or "pink sheet" — exchange, which is known for fraud and abuse. As noted by CNN Money, pink sheet companies have no requirement to follow the same level of reporting requirements as companies listed on the New York Stock Exchange or Nasdaq do.
Citing "people familiar with the matter," CNN Money reported that Neuromama also lied to investors by saying it is in the process of getting its stock listed on the Nasdaq exchange. In addition, a YouTube video claims its stock is indeed listed on the Nasdaq exchange.
One final sign that Neuromama is a fraud: Its investor relation website is quite unprofessional, amateurish and absolutely riddled with grammatical and spelling errors.
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