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Colorado AG cracks down on fraudulent business registrations linked to scam networks

Xinbi Co., Ltd.May 21, 2026Colorado Attorney General

Summary

The Colorado Attorney General announced a major enforcement sweep targeting thousands of fraudulently filed businesses that used false information in Colorado registrations to facilitate scams including cryptocurrency fraud, investment fraud, and romance scams. The lawsuits seek court orders to dissolve these entities and the AG's office worked to take down associated websites.

Remedy

The lawsuits seek court orders to dissolve thousands of allegedly fraudulent businesses and the Attorney General's Office worked with platform hosts to take down websites connected to 11 fraudulent businesses.

InjunctionData Deletion

Contract Impact

In-house legal teams should review vendor agreements and customer contracts for clauses related to business registration accuracy, registered agent authorization, and address usage. Specifically, contracts with registered agents and virtual mailbox providers should include representations and warranties that addresses are used with proper consent. Additionally, any agreements involving cryptocurrency platforms or investment services should include enhanced due diligence provisions and verification of business legitimacy. Teams should also review their own business formation documents to ensure all information is accurate and authorized.

Contract Search Terms

business registrationgood standing certificateregistered agentvirtual mailboxaddress authorizationfraudulent entitycryptocurrency platforminvestment scamromance scam

Laws Cited

Colorado Consumer Protection Act

Violation Types

Entity Details

Entity

Xinbi Co., Ltd.

Industry

Technology

Official Sources

Source Evidence

Entity Name
"Xinbi Co., Ltd., an alleged cryptocurrency marketplace tied to billions of dollars in transactions connected to fraud and money laundering activity."
Fine Amount
"The lawsuits seek court orders to dissolve thousands of allegedly fraudulent businesses registered in Colorado"
Violation Types
"businesses that were created using false information, including the unauthorized use of Colorado residents’ home addresses as purported business locations and the unlawful use of virtual mailboxes as registered agents without consent"
Laws Cited
"Colorado Consumer Protection Act"

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