The U.S. Department of Justice (DOJ) and the Securities and Exchange Commission (SEC) have launched a significant enforcement action against former executives of the digital advertising technology firm Kubient. The regulatory bodies allege that top executives were deliberately misleading both investors and auditors regarding the company’s reported revenues, a misrepresentation that played a crucial role in the company’s ability to secure millions in funding.
Former CEO Paul Roberts is at the center of the allegations and could face a potential sentence of up to 20 years in prison for his role in orchestrating this fraudulent scheme. Kubient, which had its shares traded publicly on the Nasdaq under the ticker symbol KBNT from August 2020 to November 2023, is now under intense scrutiny for the deceptive practices that compromised its financial integrity.