Penalty Amount
$5,000,000
New York Attorney General Letitia James secured a $5 million settlement from cryptocurrency platform Uphold HQ, Inc. for promoting Cred’s fraudulent CredEarn investment product as safe and reliable, when Cred was making risky loans to uncreditworthy borrowers in China. Uphold also falsely claimed Cred had comprehensive insurance and promoted the product without registering as a broker or commodity broker-dealer under New York law. As part of the settlement, Uphold will pay $5 million to harmed investors, remit $545,189 from Cred’s bankruptcy to customers, improve due diligence policies for third-party products, and register as a broker with the OAG.
Uphold will pay $5 million to customers who suffered losses from investing in CredEarn, and will remit all $545,189 received from Cred’s bankruptcy proceedings to harmed customers. Uphold must maintain and improve due diligence policies for third-party investment products, register as a broker with the OAG, and notify investors via email about fund distributions.
In-house legal teams at financial services and cryptocurrency platforms should review third-party partnership agreements to incorporate mandatory due diligence requirements for any investment products promoted on their platforms, including verification of regulatory registration (e.g., broker-dealer status), validation of insurance coverage claims, and accurate risk disclosures to customers. Customer-facing agreements and marketing materials should be audited to eliminate misleading claims about product safety or insurance protections. Vendor agreements should include clauses requiring third parties to comply with all applicable broker registration laws, and customer agreements should clearly outline refund processes for losses stemming from third-party product failures. Internal compliance policies governing third-party product promotion should be formalized into enforceable contractual obligations across all partnership agreements.
Entity
Uphold HQ, Inc.
Industry
Financial ServicesOfficial Press Release
https://ag.ny.gov/press-release/2026/attorney-general-james-secures-over-5-million-crypto-platform-promoting
uphold hq inc assurance of discontinuance 2026
https://ag.ny.gov/sites/default/files/settlements-agreements/uphold-hq-inc-assurance-of-discontinuance-2026.pdf
New York Attorney General Enforcement Page
https://ag.ny.gov/press-releases
"Attorney General James Secures Over $5 Million from Crypto Platform for Promoting Fraudulent Investment Scheme"
"April 29, 2026"
"New York Attorney General Letitia James"
"As a result of today’s settlement"
"Uphold HQ, Inc. (Uphold)"
"Uphold will pay $5 million to harmed investors"
The New York Attorney General issued a consumer alert and online guide about scams targeting service members and veterans, including phishing and credit-monitoring scams that may misuse personal information. The release provides steps for protecting information and reporting suspected scams; it does not announce an enforcement action or monetary penalty.
$10.0M
A March 2023 breach exposed personal and protected health information associated with more than 13.3 million people after attackers accessed company systems using an employee’s credentials. The Perry Johnson companies agreed to pay at least $300,000, with an additional $9.7 million in penalties due if they fail to meet the agreement, and to implement security, incident response, and health-data handling reforms.
New York Attorney General James and Governor Hochul announced guidance advising county executives and sheriffs that they must end agreements to house or detain people for federal civil immigration violations by November 25, 2026. The Local Cops, Local Crimes Act makes those agreements void and unenforceable after the deadline; no monetary penalty or specific enforcement order is announced.
New York Attorney General Letitia James issued a consumer alert warning federal student loan borrowers that consolidating loans after changes under the One Big Beautiful Bill Act may limit repayment options and forgiveness eligibility. This is consumer guidance, not a privacy enforcement action; the release announces no fine or enforcement remedy.
$500K
New York Attorney General Letitia James secured a settlement with Bloomberg L.P. after finding that Bloomberg News failed to clearly disclose subscription price increases and automatic renewals, provide required acknowledgments and renewal notices, and make cancellation sufficiently easy. Bloomberg must pay $500,000 in penalties, provide refunds to eligible subscribers, and improve its subscription disclosures and practices.
$220.0M
New York Attorney General Letitia James and a bipartisan coalition secured a $220 million settlement from General Motors LLC for selling drivers’ personal driving and location data to data brokers without adequate disclosure or consent. GM must limit the driving data it collects and implement privacy assessments and dealership oversight and training.