GSPartners has received a securities fraud desist and refrain order from California.

The Department of Financial Protection and Innovation’s November 16th order names GSPartners, owner Josip Heit and executives Bruce Innes Wylde Hughes and Dirc Zahlmann as respondents.

As per
DFPI’s order
;

Beginning at least as early as 2023, GSPartners offered and sold securities in the form of investment contracts in California through general solicitations on its website.

GSPartners referred to these investment contracts as “Certificates,” “MetaCertificates,” “Elemental Certificates,” and “Success Certificates” (collectively, Certificates).

Under
Swiss Valorem Bank
branding, BehindMLM reviewed the then latest iteration of GSPartners’ MetaCertificates back in May.

GSPartners held itself out as an investment platform.

The purported purpose of the securities offerings was for GSPartners to use investor funds to trade in the forex market and to invest in a diverse collection of real-world industry sectors, including real estate, fintech, payments systems, renewable energy, supplements, and gaming, which in turn would generate returns for investors who purchased Certificates.

As part of their investigation, DFPI honed in on GSPartners’ representation it had “partnered with a specific forex broker”. The unnamed broker is
believed to be BDSwiss
.

According to GSPartners, this broker would provide services to GSPartners’ investors, including trading and managing investor funds deposited into GSPartners via Certificates.

Investors were told that this broker was one of the largest in the world, was licensed, regulated, and had a trustworthy reputation, and that purchasing GSPartners’ Certificates would give investors exclusive access to this broker’s experience and knowledge.

GSPartners was purportedly able to pay such high returns on the Certificates in a sustainable manner because of the profitable

trades conducted by this broker’s expert traders. However, GSPartners’ representations were false.

In reality, no such partnership existed, and the purported returns were not being generated by the broker managing and trading GSPartners’ investors’ funds.

DFPI confirming GSPartners is not generating external revenue as represented, blows a wide open hole in its Ponzi ruse.

Also a violation of California law is GSPartners and Heit (right), representing it to be a bank.

GSPartners, through its website and marketing, represented that it was a regulated bank.

For example, in addition to using the term “bank” in the name Swiss Valorem Bank, GSPartners also represented that it was a “licensed bank with a solid balance sheet and digital custody insurance.”

GSPartners also represented that it was “revolutionising the banking industry,” that its “innovative approach to banking combines the best of both worlds, offering cutting-edge digital solutions alongside the stability and security of traditional banking,” and that it could be “trusted” because it was a “f

🤖 Quick Answer

What enforcement action did California's DFPI take against GSPartners?
The Department of Financial Protection and Innovation issued a November 16th desist and refrain order against GSPartners, naming owner Josip Heit and executives Bruce Innes Wylde Hughes and Dirc Zahlmann as respondents for securities fraud involving unauthorized investment contracts sold to California residents.

What types of securities did GSPartners offer in California?
GSPartners offered and sold investment contracts through general solicitations on its website, marketing them under various names including Certificates, MetaCertificates, Elemental Certificates, and Success Certificates, starting from at least 2023.

Under what banking entity did GSPartners conduct operations?
GSPartners operated under Swiss Valorem Bank branding while offering its MetaCertificates and other investment products to California investors, according to regulatory documentation and independent compliance

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