Starship Snacks, Corp – SEC Files Charges Related to Investment Scam

Starship Snacks, Corp – SEC Files Charges Related to Investment Scam | Goodman & Nekvasil P.A. May Recover Investor Losses

Securities and Exchange Commission Files Charges in Starship Snacks Corp. Investment Scam


The Securities and Exchange Commission charged three individuals who defrauded investors in a company that falsely claimed to be developing a caffeinated chocolate snack and nearing an acquisition by Monster Energy or Coca-Cola Co.

Beginning in approximately August 2015 through June 2017, Bershan, Schwartz, and Margulies, who controlled Starship Snacks, Corp. (” Starship”), orchestrated a fraudulent scheme, in which they conned more than 35 investors into investing over $2.2 million in Starship, a company that purportedly was developing and marketing a caffeinated chocolate snack.

The SEC’s complaint alleges that Lisa Bershan and her husband, Barry Schwartz, together with business associate Joel Margulies, falsely promised investors that after being acquired, Starship Snack Corp. investors would get a one-to-one exchange of Starship Snacks Corp. shares for Monster or Coca-Cola shares. According to the SEC’s complaint, Bershan and Margulies also falsely claimed that investors had “no down-side risk” and Bershan personally guaranteed that investors could get their investment back with 5 percent interest if the shares failed to appreciate over a year.

Moreover, Bershan’s personal ” Share Price Guarantee” was false and/or misleading. Investors were not able to recoup the “guaranteed” return of their investment plus interest at any time. Bershan and Schwartz (Bershan’s husband) had misappropriated and dissipated investor funds, through their withdrawal of over $1 million in cash and their use of the remainder to maintain an extravagant lifestyle. In short, investors in Starship Snacks Corp. did not get what Defendants had promised them and they lost their money.

According to the SEC’s complaint, Starship Snack Corp. had no agreement with Monster Energy or Coca-Cola, and Bershan and Schwartz used investor funds as their own personal piggy bank, spending them to rent and decorate a New York City apartment, and on travel, meals, and other personal expenses.

In a parallel action, the U.S. Attorney’s Office for the Southern District of New York announced criminal charges against the three defendants.

Investors in Starship Snacks Corp. May Recover their Losses with Goodman & Nekvasil, P.A.

If you invested in Cavalier Union Investments LLC, Goodman & Nekvasil, P.A. may help you. Goodman & Nekvasil, P.A., a Clearwater, Florida, law firm with a national practice representing victimized investors, has recovered more than $180 million dollars on behalf of victimized investors. 

All our cases are handled on a purely contingency fee basis by Kalju Nekvasil, Esq., formerly regional counsel with the NASD, now known as FINRA. Kalju Nekvasil, Esq. has practiced in this area of the law for more than 35 years. 

There is no charge for an evaluation of your case. Further, we handle our cases on a contingency fee basis. This means that unless we recover money for you, we charge no attorney’s fee. Unless you recover any money, you pay us nothing, not even the costs and expenses which the firm will advance on your behalf.

If you incurred investment losses in Starship Snacks Corp. and would like your case evaluated by a securities attorney (again, there is no charge for an evaluation and all cases are handled on a purely contingency fee basis), please contact us.  

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