Following years of delays, there is finally some movement on the SEC’s BitConnect promoter case.

On July 8th the court ordered the parties in the SEC’s BitConnect promoter case to file a status update.

On July 15th the SEC filed a Status Report, providing insight into why proceedings against Trevon James (right) and Craig Brown had stalled.

The Commission served Defendant Brown with the Summons and Complaint on June 12, 2021.

The Commission served Defendant Grant by alternative service through a series of publications, March 29, 2022 through May 5, 2022.

Trevon James has failed to file an answer to the SEC’s Complaint. Grant’s time to answer the Complaint hasn’t started, owing to the proceedings ordered stayed in December 2021.

The DOJ’s granted stay pending the outcome of related criminal proceedings against BitConnect founder Satish Kumbhani and US BitConnect executive Glenn Arcaro (right).

Arcaro was
sentenced to 38 months in prison
in September 2022. Kumbhani, an Indian national, remains at large. Kumbhani is
believed to be hiding in India
or
Dubai
.

With the DOJ unable to bring Kumbhani to justice, the SEC’s Bitconnect promoter case has remained frozen since 2021.

After conferring with the DOJ, the SEC informed the court;

It is DOJ’s position that a stay should remain in place through the conclusion of the Kumbhani Case, but that DOJ has no objection to limiting the stay to apply to discovery only.

Restricting the SEC’s BitConnect promoter case stay to discover only allows proceedings against the remaining defendants to continue.

Writes the DOJ on what it intends to do if the stay is lifted;

The Commission intends to

(1) seek a default judgment as to Defendant Brown;

(2) litigate the claims against Defendant Grant, to the extent he timely files an Answer, or seek a default judgment as to Grant if he fails to respond to the Complaint; and

(3) move for monetary remedies against Defendant Noble, which the SEC understands Noble intends to oppose.

Michael Noble (right)
settled the SEC’s fraud allegations against him
in 2021.

While Noble’s settlement saw him agree to pay disgorgement of ill-gotten gains, interest and a civil penalty, it seems the amounts are in dispute.

Following the SEC’s filed Status Report, the court ordered to file an application to modify the stay to discovery only.

The SEC did so July 18th, and the court signed off on the application on July 19th.

As I understand it, this now means Craig Grant has until approximately August 18th (a Sunday) to file his answer.

Failing which, the SEC will request an Entry of Default from the Court Clerk. Sometime after that, motions for default judgment against James and Grant will be filed.

The SEC’s monetary remedies motion against Noble can be filed at any time.

Respectively the SEC
alleges
James, Grant and Noble stole at least $480,000, $1.3 million and $730,000 from BitConnect investors.

Following
BitConnect’s collapse
in 2018, Michael Noble went underg

🤖 Quick Answer

What is the current legal status of Trevon James and Craig Brown in the SEC's BitConnect promoter case?
As of July 2025, both Trevon James (also known as Trevon Grant) and Craig Brown face potential default judgments in the SEC's BitConnect promoter case. Brown was served with the summons and complaint on June 12, 2021, while James was served through alternative publication between March and May 2022. Neither defendant has filed an answer to the SEC's complaint, with proceedings having been stayed since December 2021 pending the outcome of related criminal proceedings brought by the Department of Justice.

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