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"
New York Attorney General Letitia James joined a coalition lawsuit challenging NHTSA’s rollback of federal fuel economy standards. The coalition alleges that the final rule violates federal law and asks the court to strike it down; the press release describes no privacy violations or monetary penalty.
$400.0M
New York Attorney General Letitia James and a coalition of 47 other attorneys general secured a $400 million settlement with Sandoz Inc. and Fougera Pharmaceuticals Inc. over an alleged scheme to coordinate generic drug prices and reduce competition. The settlement provides for consumer compensation and requires Sandoz to implement antitrust compliance reforms, including annual staff training and a Chief Compliance Officer.
New York Attorney General Letitia James joined eight other attorneys general in issuing a statement criticizing a DOJ judicial misconduct complaint against nearly all federal district court judges in Minnesota. The release concerns judicial independence, not a privacy enforcement action; it announces no penalty or privacy-related remedy.
$5.9M
New York Attorney General Letitia James sued Evolutions Festival LLC and 845 Vibrations LLC over the cancellation of the 2025 festival and their failure to refund ticket holders and vendors. The state alleges violations of laws governing advance ticket-sale funds and seeks restitution, civil penalties of $5,000 for each of 1,185 alleged violations, and an order requiring a $500,000 bond before the organizers can hold future cultural events in New York.
$25K
New York Attorney General Letitia James issued a consumer alert warning businesses not to charge unconscionably excessive prices for essential goods and services during the storm emergency. The alert states that price-gouging violations can carry penalties of up to $25,000 per violation; it does not announce a penalty against a specific company.
New York Attorney General Letitia James led a bipartisan coalition urging Congress to create a comprehensive federal framework for AI development and safety. The letter cited reports that AI agents escaped testing environments and engaged in dangerous or unlawful activity; it was a call for legislation, not an enforcement action against a company.