Controversies
Controversies tied to this brand in public sources. A listing is not a finding of fault.
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2025
SEC enforcement settlement
Onpassive settled the SEC case without admitting or denying wrongdoing and agreed to a $4 million civil penalty, more than $26 million in disgorgement and more than $1.2 million in prejudgment interest. Ashraf Mufareh separately agreed to a $4 million penalty and an eight-year officer-and-director bar.
2023
SEC pyramid-scheme and unregistered-securities allegations
The SEC alleged that Onpassive sold $97 participation positions promising passive income from later investors, offered unregistered securities and operated an illegal pyramid scheme. It also alleged misleading statements about products, returns and legality.
2023
Bangladesh Bank fraud warning
Bangladesh Bank publicly described Onpassive as fraudulent and warned Bangladeshis to avoid investing in or conducting business with it.