PHOENIX, AZ – A California man, Charles Hensley and his affiliated company, Migranade, has been ordered to pay $8,000 in restitution to Arizona investors. Hensley must also pay a $5,000 administrative penalty for committing securities fraud.
Hensley and Migranade, directly and through the other Respondents, solicited investors, including at least three Arizona investors, to purchase shares of stock in Neurocyte, Inc. (“Neurocyte”). Investors were told that Neurocyte was set to “go public” and represented Neurocyte owned the rights to an over-the-counter migraine pain reliever called Migranade, purported to be created by Hensley.
Investor funds were used by Hensley for his personal travel. Additionally, Hensley did not disclose a prior guilty plea in 201 1 related to his delivery of an unapproved drug called “Vira 38,” which was represented to treat influenza.