Can't find this in PACER Was going to start pulling down the docket with RECAP.

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EDIT: tl;dr - Josh is fucked.

"the imposition of civil penalties due to the egregious nature of defendants’ violations."
 
...

27. In May 2014, Garza created a company named ZenMiner, which was formally
incorporated in July 2014. Though he persuaded other individuals to represent to customers and
the public that ZenMiner was an independent company, Garza owned and controlled ZenMiner
at all times. On information and belief, Garza perpetuated this deception because he believed
that GAW Miners could not offer cloud-based hosted mining services without alienating its
original hardware-purchasing customers.

...

34. This charade continued when, on or about August 24, 2014, GAW Miners issued
a press release announcing that its parent company (which was also owned and controlled by
Garza), had purchased a controlling stake in ZenMiner for $8 million, and that ZenMiner had
become a division of GAW Miners. This statement was false; no such transaction occurred
because Garza had always owned and controlled ZenMiner. Garza authorized and approved the
issuance of GAW Miners’ false press release. The purported ZenMiner transaction was
marketed as proof that GAW Miners was a leader in the virtual currency industry by bridging the
gap between hardware sellers and hosted mining services.

...

35. Second, contrary to its stated reason for existence, no mining actually occurred
through ZenMiner’s ZenCloud interface.

...

53. Garza was responsible for GAW Miners’ and ZenMiner’s decision to keep selling
Hashlets despite his knowledge (or reckless or negligent disregard) that the companies lacked the
computing power they purported to be selling to investors.

...

56. For example, on or about September 11, 2014, GAW Miners announced the
creation of the limited edition “Remember” Hashlet with the logo of “9/11” to commemorate
those whose lives were lost in the terrorist attacks of September 11, 2001. Garza announced that
GAW Miners would only sell 500 Remember Hashlets, and would donate all of the proceeds
(approximately $10,000) to “the 9/11 memorial fund.” He specified that “GAW will in no way
be profiting from any sales related to the cause.” After selling approximately 2,290 Remember
Hashlets for a total of approximately $48,000, GAW Miners donated only $10,000 to a 9/11
related charity. Garza knew or should have known that GAW Miners actually profited from the
sale of Remember Hashlets, contrary to his representations.

...

67. In order to conceal from investors that the mining activity associated with
Hashlets did not produce sufficient revenues to fund the payouts that had been promised to
investors, GAW Miners used revenues from ongoing Hashlet sales to fund payouts to investors.
Thus, Hashlets operated as a Ponzi scheme, in which investors’ returns were mostly paid by
using the money invested by others