Beverage Firm Executives Used Investor Cash on Gucci, SEC Says

The Securities and Exchange Commission sued southern California company that sells female customers a beer, wine and bottled water, which sell sexy and female consumers in ten states, for allegedly defrauding investors out of millions

In a complaint filed on Tuesday, the SEC said SHE Beverage Co raised over $15 million from more than 2,000 investors in unregistered stock sales from 2017 to 2019 by falsely touting its business plans and promoting its successes.

The SEC said the Lancaster, California-based company overstated revenue, spent only 2% of investor proceeds on beverage inventory instead of the promised 30% and made bogus claims it had received takeover bids as high as $500 million.

The SEC said the Lancaster, Calif., Based company overestimated its revenue, spent just 2% of investors’ income on beverage inventories instead of the promised 30%, and made false claims that it had received take-over bids of up to $ 500 million.