“There is an investigation going on, but I can’t comment beyond that,” said Brian McNiff, a spokesman for Galvin.
The brief statement to the PP Blog marks the first confirmation by a U.S. securities regulator that TelexFree is under investigation in the United States. TelexFree is under investigation in Brazil, amid pyramid-scheme allegations.
TelexFree is scheduled to hold its purported “international convention” beginning tomorrow in Spain.
A source outside of law enforcement told the Blog yesterday that Galvin’s office had issued subpoenas for certain people to appear before the Massachusetts Securities Division on March 5 at 10 a.m. and 2 p.m.
A federal agency also has interviewed a person who may have knowledge about TelexFree, the source said.
More . . .