Consumers Affected
74
The New Jersey Bureau of Securities issued a Summary Cease and Desist Order against Arya International Inc. (operating as Mystical Stars, LLC) and owner Rupal K. Patel for operating a nationwide investment fraud scheme involving unregistered securities. The scheme targeted friends and family of dance students, raising over $5.4 million from 74 investors, including 48 New Jersey residents, through false promises of guaranteed 10-20% returns. The order requires the entities to immediately halt sales of unregistered securities and cease misleading investors.
The Bureau issued a Summary Cease and Desist Order directing Arya International Inc. (Mystical Stars, LLC) and Rupal K. Patel to stop selling unregistered securities, cease making untrue statements to investors, and disclose all material facts in future investment solicitations. The order formally finds violations of the New Jersey Uniform Securities Law for unregistered securities sales, fraud, and omissions of material facts.
In-house legal teams at education or entertainment entities soliciting investments should review all investor agreements (including promissory notes) to ensure securities are properly registered with state regulators and include full disclosure of material facts such as outstanding debts, tax compliance status, and corporate good standing. Agreements with merchant cash advance or factoring providers must be reviewed for compliance with state lending laws. Entities should verify all personnel selling securities are registered as agents, and implement clauses prohibiting false investment return guarantees in customer-facing agreements. All marketing materials and investor solicitations should be audited to eliminate untrue statements of material fact, and vendor agreements should include representations of compliance with state securities registration requirements.
Entity
Arya International Inc. (Mystical Stars, LLC)
Industry
EducationOfficial Press Release
https://www.njoag.gov/nj-bureau-of-securities-takes-action-to-halt-nationwide-investment-fraud-scheme-by-nj-based-arya-international-dance-institute-and-its-owner/
2026 0225 Patel and Arya International Summary Cease and Des
http://www.njoag.gov/wp-content/uploads/2026/02/2026-0225_Patel-and-Arya-International-Summary-Cease-and-Desist-Order.pdf
New Jersey Attorney General Enforcement Page
https://www.njoag.gov/about/divisions-and-offices/division-of-consumer-affairs/
"Mystical Stars, LLC, formerly Arya International Inc. (collectively, with Mystical Stars, LLC, “Arya International”)"
"For Immediate Release: February 25, 2026"
"violated the New Jersey Uniform Securities Law"
"Patel and Arya International targeted friends and family of Arya International students across the U.S., raising $5,469,228 from 74 investors–including 48 New Jersey residents–through unregistered securities sales."
"Summary Cease and Desist Order directing Mystical Stars, LLC, formerly Arya International Inc. (collectively, with Mystical Stars, LLC, “Arya International”), and its owner, Rupal K. Patel, to stop selling unregistered securities and misleading investors."
"raising $5,469,228 from 74 investors–including 48 New Jersey residents"
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