Ashton Kutcher and Mila Kunis find themselves in hot water after issuing apologies for their support of convicted rapist Danny Masterson. The celebrity couple recently made headlines for writing character letters on Masterson’s behalf, who was subsequently sentenced to 30 years to life in prison. They’ve since expressed regret for their actions.
However, the trouble doesn’t end there. The animated series “Stoner Cats,” featuring Kunis and Kutcher, is now facing a hefty fine of $1 million from the Securities and Exchange Commission (SEC). The show, funded through the sale of over 10,000 non-fungible tokens (NFTs) valued at $8 million, has been penalized for conducting an unregistered offering of crypto asset securities.
The SEC found that “Stoner Cats” violated the Securities Act of 1993 by offering and selling these crypto asset securities without proper registration. The show’s marketing team had touted the benefits of NFT ownership, including the option to resell them on the secondary market for profit, leveraging the celebrity status of the actors involved.
As part of the settlement with the SEC, “Stoner Cats” agreed to a cease-and-desist order and a $1 million civil penalty. The order also establishes a Fair Fund to reimburse injured investors. Additionally, the show committed to destroying all NFTs in its possession and publishing notice of the order on its website and social media channels.
The SEC’s Associate Director, Carolyn Welshhans, emphasized the importance of registering securities, including crypto asset securities, to protect investors by providing them with necessary disclosures for informed investment decisions. In the case of “Stoner Cats,” the show aimed to enjoy the benefits of offering a security to the public while neglecting the associated legal responsibilities.
“Stoner Cats” features a star-studded cast and was created by Ash Brannon, Chris Cartagena, and Sarah Cole. The series counts Mila Kunis as one of its producers.
This recent NFT fine follows the controversy surrounding Kutcher and Kunis’s public apology for their support of Danny Masterson. The celebrity couple expressed their awareness of the pain their character letters caused and pledged to continue supporting victims through their work.