Business ProfileforSky Group USA, LLC.

UPDATE As of June 28, 2022

A Final Judgment was consented to and issued against Sky Group USA LLC which ordered and adjudged:

Sky Group is permanently restrained and enjoined from violating Section 5 of the Securities Act, 15 U.S.C. § 77e.

Sky Group is permanently restrained and enjoined from violating Section 17(a) of the Securities Act, 15 U.S.C. §77q(a).

Sky Group is permanently restrained and enjoined from violating, directly or indirectly, Section 10(b) of the Exchange Act, 15 U.S.C. §78j(b), and Rule 10b-5 promulgated thereunder (17C.F.R. § 240.10b-5).

Sky Group is liable to the Commission for $30,267,152.00 in disgorgement, representing net profits gained as a result of the
conduct alleged in the Complaint. Sky Group shall be jointly and severally liable with Defendant Efrain Betancourt Jr. for $4,557,182.00 of the disgorgement total. Sky Group shall further be liable for prejudgment interest on disgorgement of $2,021,038.00, and a civil penalty of $7,000,000.00 pursuant to Section 20(d) of the Securities Act, 15 U.S.C. § 77t(d), and Section 21(d)(3) of the Exchange Act, 15 U.S.C. § 78u(d)(3).

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As of September 27, 2021:

The Securities and Exchange Commission announced charges against Sky Group USA LLC, a payday loan company based in Miami, and its CEO, Efrain Betancourt, Jr., for fraudulently raising at least $66 million through the sale of promissory notes to more than 500 retail investors, including members of the South Florida Venezuelan-American community.

According to the SEC's complaint, filed in the United States District Court for the Southern District of Florida, Sky Group and Betancourt falsely told investors that Sky Group would use investors' money solely to make payday loans and cover the costs of such loans, when, in reality, Betancourt misappropriated at least $2.9 million for personal use - including for his lavish wedding at a chateau on the French Riviera, vacations to Disney resorts and the Caribbean, costs associated with the purchase of a luxury Miami condominium, and service on his personal Piper airplane - and transferred at least another $3.6 million to friends and family, including his ex-wife, Angelica Betancourt, and to EEB Capital Group LLC, an entity whose bank accounts Betancourt and his current wife control. Sky Group and Betancourt also allegedly used at least $19.2 million of investors' money to make Ponzi-like payments to other investors. Finally, the SEC's complaint alleges that Sky Group and Betancourt misled investors by promising annual returns as high as 120% and representing that Sky Group's business was profitable, even though Sky Group did not generate sufficient revenue to cover principal and interest payments due to investors.

The SEC's complaint charges Sky Group and Betancourt with violations of the registration and antifraud provisions of the federal securities laws and additionally charges Betancourt with acting as an unregistered broker. The complaint also names as relief defendants Angelica Betancourt and EEB Capital Group LLC in connection with their illicit receipt of investor funds. The SEC seeks permanent injunctions, disgorgement with prejudgment interest, and civil penalties from each of the defendants; an officer and director bar against Betancourt; and disgorgement with prejudgment interest from the relief defendants.

For further information, please contact:
Securities and Exchange Commission
Miami Regional Office
801 Brickell Ave., Suite 1950
Miami, FL 33131
305-982-6300
Web: https://www.sec.gov/

LINK: https://www.sec.gov/news/press-release/2021-196