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z`h Abctme mq m vhabvj bl ozq btzobe ivmezq% Fhzyhhe =??9 mej 644=+ Q`mem`methvqbemkk qoiehj mttvbpocmzhk 144 lmkqhk jmzhj mymvj khzzhvq mej z`h abvvhqtbejoeibtzobe mymvj ahvzoloamzhq% Abtohq bl z`hqh khzzhvq mej ahvzoloamzhq yhvh qxfqh}xhezktvb|ojhj zb z`h Abctme)q mxjozbvq+ y`b vhkohj xtbe z`hc mq h|ojheah bl hma` qzbanbtzobe mymvj jmzh%

6

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6?% BeMtvok ==+ 644=+ Q`mem`me Gv% qhez `oq lmz`hv me hcmok abezmoeoei a`meihqzb m koqz bl tbzhezomk btzobe vhaotohezq z mz yhvh cmjh f z`h Abctheqmzobe Abccozzhh mz meMtvok 8 chhzoei% Z`mz qmch jm+ Q`mem`me cmjh qh|hvmk a`meihq zb z`h AbctheqmzobeAbccozzhh)q koqz+ mej oeavhmqhj z`h excfhv bl btzobeq `h ymq zb vhaho|h lvbc

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tvblozhj f *19?+910 lvbc `oq vhahotz bl xemxz`bvowhj btzobeq (oeakxjoei z`h *=4:+4?6mzzvofxzmfkh zb fmanjmzoei/%

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qmch ymq zvxh oe 6446+ y`he Q`mem`me vhaho|hj btzobeq z`mz yhvh oe#z`h#cbeh f *1%?cokkobe+ mej oq zbzmk vhtbvzhj abctheqmzobe ymq *=%0 cokkobe%

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tkmeq z`mz thvcozzhj ivmezq bl oe#z`h#cbeh btzobeq+ mkkbyhj z`h vhtvoaoei bl qzbanbtzobeq+ bv mkkbyhj joqavhzobemv btzobe ivmezq zb ebe#hctkbhh jovhazbvq% Eb beh mzHeioehhvhj Qxttbvz oelbvchj z`mz q`mvh`bkjhv z`mz z`h Abctme ivmezhj oe#z`h#cbehbtzobeq+ vhtvoahj btzobeq+ mej cmjh joqavhzobemv ivmezq zb ebe#hctkbhh jovhazbvq%

Lmkqh mej C oqkhmjoei Meexmk Vhtbvzq:1% Q`mem`me mej Q`mem`me Gv% mkqb mttvb|hj mej qoiehj Heioehhvhj

Qxttbvz)q Lbvc =4#N meexmk vhtbvzq lokhj yoz` z`h Abccoqqobe lvbc =??0 z`vbxi` 6441%Heioehhvhj Qxttbvz)q Lbvcq =4#N mkqb yhvh oeabvtbvmzhj f vhlhvheah oe z`h Abctme)q

vhioqzvmzobe qzmzhchezq lokhj yoz` z`h Abccoqqobe% Z`hqh Lbvcq =4#N abezmoehj cmzhvomkcoqqzmzhchezq mej bcoqqobeq bl cmzhvomk lmaz vhimvjoei Heioehhvhj Qxttbvz qzbanbtzobeq+ oe z`mz Heioehhvhj Qxttbvz lmkqhk vhtvhqhezhj z`mz z`h Abctme)q qzban btzobeqmvh ivmezhj mz me btzobe tvoah h}xmk zb z`h cmvnhz |mkxh be z`h jmzh z`h btzobe oq ivmezhj%Heioehhvhj Qxttbvz lmokhj zb joqakbqh z`mz oz `mj ivmezhj oe#z`h#cbeh qzban btzobeq%Q`mem`me mej Q`mem`me Gv% nehy+ bv yhvh vhankhqq oe ebz nebyoei+ z`mz z`hqhvhtvhqhezmzobeq yhvh lmkqh mej coqkhmjoei%

::% Lbv z`h Lbvc =4#N lokhj oe kmzh 6446+ Q`mem`me qoiehj m ahvzoloamzobetxvqxmez zb Qhazobe 146 bl z`h Qmvfmehq#Bpkh Maz bl 6446+ y`hvhoe `h ahvzolohj z`mz `h`mj vh|ohyhj z`h vhtbvz mej z`mz+ fmqhj be `oq nebykhjih+ oz joj ebz abezmoe me xezvxhqzmzhchezq bl cmzhvomk lmaz bv bcoz zb qzmzh me cmzhvomk lmazq% Q`mem`me mkqb ahvzolohj

z`mz `h `mj joqakbqhj mkk oeqzmeahq bl lo#mxj oe|bk|oei cmemihchez zb z`h Abctme)qMxjoz Abccozzhh mej mxjozbvq% Q`mem`me nehy+ bv ymq vhankhqq oe ebz nebyoei+ z`mzz`hqh ahvzoloamzobeq yhvh lmkqh oe koi`z bl z`h vhtbvz)q coqvhtvhqhezmzobeq mfbxz btzobetvoaoei mej z`h xejoqakbqhj fmanjmzoei%

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Bz`hv Lmkqh mej C oqkhmjoei Lokoeiq yoz` z`h Abc coqqobe:8% Q`mem`me mej Q`mem`me Gv% mkqb mttvb|hj mej qoiehj Heioehhvhj

Qxttbvz)q Lbvc Q#0 vhioqzvmzobe qzmzhchezq lbv z`h Abctme)q qzban btzobe tkmeq% Z`hqhvhioqzvmzobe qzmzhchezq abezmoehj jhqavotzobeq bl z`h Abctme)q qzban btzobe tkmeq+ mqyhkk mq z`h tkmeq z`hcqhk|hq% Z`h jhqavotzobeq mej z`h kmeixmih bl z`h tkmeq hptvhqqkqzmzhj z`mz btzobeq xejhv hma` tkme yhvh zb fh ivmezhj mz z`h lmov cmvnhz |mkxh bl z`hAbctme)q qzban be z`h jmzh bl z`h mymvj% Oe koi`z bl z`hov thvqbemk oe|bk|hchez oe z`hAbctme)q fmanjmzoei tvmazoahq+ Q`mem`me mej Q`mem`me Gv% nehy+ bv yhvh vhankhqq oe

ebz nebyoei+ z`mz z`hqh qzmzhchezq yhvh lmkqh mej coqkhmjoei%:

8/14/2019 S.E.C.'s Complaint Against the Shanahans

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lbv ozq qzban btzobeq h}xmk zb z`h jollhvheah fhzyhhe z`h cmvnhz tvoah bl z`h Abctme)qqzban be z`h jmzh bl z`h mymvj mej z`h hphvaoqh tvoah bl z`bqh btzobeq%

:0% Oe mjjozobe+ Ihehvmkk Maahtzhj Maabxezoei Tvoeaotkhq vh}xovhjHeioehhvhj Qxttbvz zb vhabieowh mjjozobemk abctheqmzobe hptheqh jxh zb ozq vhtvoaoei bltvh|obxqk oqqxhj qzban btzobeq oe =??0 mej =???%

:?% Heioehhvhj Qxttbvz lmokhj zb vhabieowh me abctheqmzobe hptheqh lbv ozqivmezq bl oe#z`h#cbeh qzban btzobeq bv lbv ozq vhtvoaoei bl qzban btzobeq% F lmokoei zbvhabieowh abctheqmzobe hptheqh+ Heioehhvhj Qxttbvz lokhj abeqbkojmzhj loemeaomkqzmzhchezq abezmoehj oe ozq Lbvcq =4#N z`mz yhvh cmzhvomkk coqqzmzhj%

84% Oe Heioehhvhj Qxttbvz)q Lbvc =4#N lokhj lbv ozq 6446 loqamk hmv+ z`hAbctme lmokhj zb vhabieowh mttvbpocmzhk *?%0 cokkobe oe abctheqmzobe hptheqhmqqbaomzhj yoz` ozq qzban btzobe ivmezq oe ozq 6446 loemeaomk qzmzhchezq+ y`oa` amxqhjtvhzmp bthvmzoei oeabch lbv 6446 zb fh b|hvqzmzhj f mttvbpocmzhk 68(% Jxh zb z`oqcmzhvomk b|hvqzmzhchez bl oeabch+ Heioehhvhj Qxttbvz ymq vh}xovhj zb vhqzmzh ozq 6446loemeaomk qzmzhchezq abezmoehj oe z`h 6446 Lbvc =4#N% Z`h vh}xovhchez zb vhqzmzhvhqxkzhj lobc Q`mem`me)q mej bz`hvq) coqabejxaz oe abeehazobe yoz` z`h ivmezoei bl qzbanbtzobeq%

8=% Jxvoei z`h zyhk|h cbez`q lbkkbyoei z`h lokoei bl z`h coqqzmzhj 6446lcmeaomk qzmzhchezq oe ozq 6446 Lbvc =4#N+ Heioehhvhj Qxttbvz tmoj Q`mem`me fbexqabctheqmzobe bl mz khmqz *=%8 cokkobe% Jxvoei z`oq qmch thvobj bl zoch+ Q`mem`me mkqbtvblozhj lobc oq bye qmkhq bl Abctme qzban f ehmvk *19 cokkobe%

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8/14/2019 S.E.C.'s Complaint Against the Shanahans

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LOVQZ AKMOC LBV VHKOHL\obkmzobeq bl Qhazobe =9(m/ bl z`h Qhaxvozohq Maz86% Z`h Abccoqqobe vhmkkhihq mej oeabvtbvmzhq f vhlhvheah z`h mkkhimzobeq bl

tmvmivmt`q = z`vbxi` 8= mq ol lxkk qhz lbvz` hvhoe%81% Jhlhejmezq Q`mem`me mej Q`mem`me Gv%+ jovhazk bv oejovhazk+ nebyoeik+

vhankhqqk bv ehikoihezk+ oe z`h bllhv bv qmkh bl m qhaxvoz+ f z`h xqh bl chmeq bvoeqzvxchezq bl zvmeqtbvzmzobe bv abccxeoamzobe oe oezhvqzmzh abcchvah bv f xqh bl z`hcmokq7 (m/ hctkbhj jh|oahq+ qa`hchq bv mvzoloahq zb jhlvmxj> (f/ bfzmoehj cbeh bvtvbthvz f chmeq bl xezvxh qzmzhchezq bl m cmzhvomk lmaz bv z`h bcoqqobe bl m cmzhvomklmaz ehahqqmv oe bvjhv zb cmnh z`h qzmzhchezq+ oe koi`z bl z`h aovaxcqzmeahq xejhv y`oa`z`h yhvh cmjh+ ebz coqkhmjoei> bv (a/ heimihj oe zvmeqmazobeq+ tvmazoahq bv abxvqhq blfxqoehqq y`oa` bthvmzhj bv ybxkj bthvmzh mq m lvmxj bv jhahoz xtbe z`h txva`mqhvq blqhaxvozohq%

8:% F heimioei oe z`h abejxaz jhqavofhj mfb|h+ Q`mem`me mej Q`mem`me Gv%

|obkmzhj Qhazobe =9(m/ bl z`h Qhaxvozohq Maz ^=8X%Q%A% lg 99}(m/S%QHABEJ AKMOC LBV VHKOHL\obkmzobeq bl Qhazobe =4(f/ bl z`h Hpa`meih Mazmej Hpa`meih Maz Vxkh kbf#8

88% Z`h Abccoqqobe vhmkkhihq mej oeabvtbvmzhq f vhlhvheah z`h mkkhimzobeq bltmvmivmt`q = z`vbxi` 8: mq ol lxkk qhz lbvz` hvhoe%

8< % Jhlhejmezq Q`mem`me mej Q`mem`me Gv%+ nebyoeik bv vhankhqqk+ jovhazkbv oejovhazk+ f z`h xqh bl chmeq bv oeqzvxchezmkozohq bl oezhvqzmzh abcchvah bv bl z`hcmokq+ bv bl m lmaokoz bl m emzobemk qhaxvozohq hpa`meih+ oe abeehazobe yoz` z`h txva`mqh bvqmkh bl m qhaxvoz7 (m/ hctkbhj jh|oahq+ qa`hchq bv mvzoloahq zb jhlvmxj> (f/ cmjh xezvxhqzmzhchezq bl m cmzhvomk lmaz bv bcozzhj m cmzhvomk lmaz ehahqqmv oe bvjhv zb cmnh z`h

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qzmzhchezq+ oe koi`z bl z`h aovaxcqzmeahq xejhv y`oa` z`h yhvh cmjh+ ebz coqkhmjoei> bv(a/ heimihj oe mazq+ tvmazoahq bv abxvqh bl fxqoehqq y`oa` bthvmzhj bv ybxkj bthvmzh mq mlvmxj bv jhahoz xtbe bz`hv thvqbeq%

89% F heimioei oe z`h abejxaz jhqavofhj mfb|h+ Q`mem`me mej Q`mem`me Gv%|obkmzhj Qhazobe =4(f/ bl z`h Hpa`meih Maz ^=8 X%Q%A% 8 90g(f/S mej Hpa`meih Maz Vxkhkbf#8 ^=9 A%L%V% 8 6:4%=4f#8=%

Z@OVJ AKMOC LBV VHKOHL\obkmzobeq bl Qhazobe =:(m/ bl z`h Hpa`meih Mazmej Hpa`meih Maz Vxkh =:m#?80% Z`h Abccoqqobe vhmkkhihq mej oeabvtbvmzhq f vhlhvheah z`h mkkhimzobeq bl

tmvmivmt`q = z`vbxi` 89 mq ol lxkk qhz lbvz` hvhoe%8?% Jhlhejmezq Q`mem`me mej Q`mem`me Gv%+ jovhazk bv oejovhazk+ nebyoeik+

vhankhqqk bv ehikoihezk+ f z`h xqh bl chmeq bv oeqzvxchezmkozohq bl oezhvqzmzh abcchvahbv bl z`h cmokq+ bv bl m lmaokoz bl m emzobemk qhaxvozohq hpa meih bv bz`hvyoqh+ qbkoaozhj fchmeq bl m tvbp qzmzhchez+%lbvc bl tvbp+ ebzoah bl chhzoei bv bz`hv abccxeoamzobe+yvozzhe bv bvmk+ abezmoeoei qzmzhchezq y`oa`+ mz z`h zoch mej oe z`h koi`z bl z`haovaxcqzmeahq xejhv y`oa` z`h yhvh cmjh+ yhvh lmkqh mej coqkhmjoei yoz` vhqthaz zbcmzhvomk lmazq+ bv bcozzhj zb qzmzh cmzhvomk lmazq ehahqqmv oe bvjhv zb cmnh z`h qzmzhchezqz`hvhoe ebz lmkqh bv coqkhmjoei bv ehahqqmv zb abvvhaz qzmzhchezq oe hmvkohvabccxeoamzobeq yoz` vhqthaz zb z`h qbkoaozmzobe bl z`h tvbp lbv z`h qmch chhzoei bv

qxfghaz cmzzhv y`oa` yhvh lmkqh bv coqkhmjoei%

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LBXVZ@ AKMOC LBV VHKOHL\obkmzobeq bl Qhazobe =1(f/(8/ bl z`h Hpa`meih Maz

mej Hpa`meih Maz Vxkh =1f6#=

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QOPZ@ AKMOC LBV VHKOHLMojoei mej Mfhzzoei Heioehhvhj Qxttbvz)q \obkmzobeqbl Qhazobe =1(m/ bl z`h Hpa`meih Maz mejHpa`meih Maz Vxkhq =6f#64 mej =1m#=

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96% Qhazobe =1(f/(6/(M/ bl z`h Hpa`meih Maz ^=8 X%Q%A% 0 90c(f/(6/(M/Svh}xovhq oqqxhvq bl vhioqzhvhj qhaxvozohq zb cmnh mej nhht fbbnq+ vhabvjq mej maabxezqy`oa`+ oe vhmqbemfkh jhzmok+ maaxvmzhk mej lmovk vhlkhaz z`h zvmeqmazobeq mej joqtbqozobebl ozq mqqhzq%

91% Heioehhvhj Qxttbvz |obkmzhj Qhazobeq =1(f/(6/(M/ bl z`h Hpa`meih Maz^=8 X%Q%A% 0 90c(f/(6/(M/S%

9:% F heimioei oe z`h abejxaz jhqavofhj mfb|h+ Q`mem`me mej Q`mem`me Gv%nebyoeik tvb|ojhj qxfqzmezomk mqqoqzmeah zb Heioehhvhj Qxttbvz oe ozq |obkmzobeq bl z`hmlbvhchezobehj tvb|oqobeq+ z`hvhf mojoei mej mfhzzoei z`h Abctme)q |obkmzobeq blQhazobeq =1(f/(6/(M/ bl z`h Hpa`meih Maz ^=8 X%Q%A% 0 90c(f/(6/(M/#(F/S%

TVM_HV LBV VHKOHLY`hvhlbvh+ z`h Abccoqqobe vhqthazlxkk tvmq z`mz z`oq Abxvz7

O%Thvcmehezk hegboe jhlhejmez Q`mem`me lvbc |obkmzoei Qhazobe =9(m/ bl z`h

Qhaxvozohq Maz ^=8 X%Q%A% lg 99}(m/S+ Qhazobeq =4(f/+ =1(f/(8/+ mej =:(m/ bl z`h Hpa`meihMaz ^=8 X%Q%A% *0 90g(f/+ 90c(f/(8/+ 90e(m/S mej Hpa`meih Maz Vxkhq kbf#8+ =1m#=:+=1f6#=+ mej =:m#? ^=9 A%L%V% *0 6:4%=4f#8+ 6:4%=1m#=:+ 6:4%=1f6#=+ 6:4%=:m#?=+ mejlvbc mojoei mej mfhzzoei |obkmzobeq bl Qhazobeq =1(m/ mej =1(f/(6/(M/ bl z`h Hpa`meihMaz ^=8 X%Q%A% *0 90c(m/+ 90c(f/(6/(M/S mej Hpa`meih Maz Vxkhq =6f#64 mej =1m#= ^=9A%L%V% *0 6:4%=6f#64+6:4%=1m#==%

==%Thvcmehezk hegboe jhlhejmez Q`mem`me Gv% lvbc |obkmzoei Qhazobe =9(m/ bl z`h

Qhaxvozohq Maz ^=8 X%Q%A% 0 99}(m/S+ Qhazobeq =4(f/ mej =:(m/ bl z`h Hpa`meih Maz ^=8

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X%Q%A% *8 90g(f/+ 90e(m/S mej Hpa`meih Maz Vxkhq kbf#8 mej =:m#? ^=9 A%L%V% *86:4%=4f#8+ 6:4%=:m#?=+ mej lvbc mojoei mej mfhzzoei |obkmzobeq bl Qhazobeq =1(m/ mej=1(f/(6/(M/ bl z`h Hpa`meih Maz ^=8 X%Q%A% *8 90c(m/+ 90c(f/(6/(M/S mej Hpa`meih MazVxkhq =6f#64 mej =1m#= ^=9 A%L%V% *8 6:4%=6f#64+6:4%=1m#==%

===%Oqqxh me bvjhv jovhazoei jhlhejmezq Q`mem`me mej Q`mem`me Gv% zb joqibvih mkk okk#

ibzzhe imoeq+ abctheqmzobe mej fhehlozq (y`hz`hv vhmkowhj+ xevhmkowhj bv vhaho|hj/bfzmoehj z`vbxi` z`h abejxaz jhqavofhj hvhoe+ tkxq tvhgxjichez oezhvhqz z`hvhbe%

O\ %Oqqxh me bvjhv jovhazoei jhlhejmezq Q`mem`me mej Q`mem`me Gv% zb tm ao|ok cbeh

themkzohq txvqxmez zb Qhazobe 64(j/ bl z`h Qhaxvozohq Maz ^=8 X%Q%A% : 99z(j/S mej Qhazobe6=(j/(1/ bl z`h Hpa`meih Maz ^=8 X%Q%A% 8 90x(j/(1/S%

| %Oqqxh me bvjhv thvcmehezk fmcei jhlhejmezq Q`mem`me mej Q`mem`me Gv% lvbc

mazoei mq me blloahv bv jovhazbv bl me txfkoa abctme txvqxmez zb Qhazobe 64(h/ bl z`hQhaxvozohq Maz ^=8 X%Q%A% * 99z(h/S mej Qhazobe 6=(j/(6/ bl z`h Hpa`meih Maz ^=8 X%Q%A%

\O% #Oqqxh me bvjhv jovhazoei jhlhejmez Q`mem`me zb vhtm fbexqhq bv bz`hv oeahezo|h#fmqhj bv h}xoz#fmqhj abctheqmzobe+ mej tvblozq vhmkowhj lvbc z`h qmkh bl HeioehhvhjQxttbvz qhaxvozohq yoz`oe zyhk|h cbez`q bl z`h lokoei bl Heioehhvhj Qxttbvz)q 6446 Lbvc=4#N+ txvqxmez zb Qhazobe 14: bl z`h Qmvfmehq#Bpkh Maz bl 6446 =8 X%Q%A% * 96:1=%

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Vhzmoe gxvoqjoazobe b|hv z`oq mazobe oe maabvjmeah yoz` z`h tvoeaotkhq bl h}xoz mejz`h Lhjhvmk Vxkhq bl Ao|ok Tvbahjxvh oe bvjhv zb octkhchez mej amvv bxz z`h zhvcq bl mkkbvjhvq mej jhavhhq z`mz cm fh hezhvhj+ bv zb hezhvzmoe me qxozmfkh mttkoamzobe bv cbzobelbv mjjozobemk vhkohl yoz`oe z`h gxvoqjoazobe bl z`oq Abxvz%

\OOO%Ivmez qxa` bz`hv vhkohl mq z`h Abxvz cm jhhc gxqz mej mttvbtvomzh%

OP %

Txvqxmez zb Vxkh 1? bl z`h Lhjhvmk Vxkhq bl Ao|ok Tvbahjxvh+ Tkmoezoll jhcmejqz`mz z`oq amqh fh zvohj zb m gxv%Jmzhj7 Gxk =6+6449%

Vhqthazlxkk qxfcozzhj+

"q`Zbfhvz C% Cb|hVbfhvz C % Cbh (OKFmv !