Colorado targets thousands of fraudulent business filings tied to scams

The Colorado Attorney General’s Office is pursuing legal action against thousands of allegedly fraudulent businesses registered in the state that authorities say were used to support cryptocurrency scams, investment fraud, romance scams and other online schemes.

The lawsuits seek to dissolve businesses allegedly created using false information, including unauthorized use of Colorado home addresses and virtual mailbox locations. State officials said some Colorado residents discovered businesses had been registered to their homes without their knowledge, leading to unwanted mail and consumer complaints.

According to the complaints, some entities were connected to fraud networks operating across the United States and internationally, including in China and Southeast Asia. Victims allegedly lost tens of thousands of dollars, and in some cases more than $100,000, after relying on Colorado business registrations and certificates of good standing before sending money to fraudulent operations.

“These scams succeed because they manufacture trust,” Colorado Attorney General Phil Weiser said in a statement. “Consumers should be especially cautious when approached online with investment opportunities, cryptocurrency trading platforms, or requests to move money quickly.”

The lawsuits target several businesses, including Xinbi Co., Ltd., described as a cryptocurrency marketplace allegedly tied to fraud and money laundering activity, and Neex LLC, which authorities said impersonated a legitimate investment website.

One complaint alleges a Teller County family discovered 370 businesses registered to its home address without permission. Another case involved a Colorado senior who allegedly lost more than $100,000 in a cryptocurrency investment scam linked to Neex LLC.

State officials said many of the businesses followed a similar pattern by registering in Colorado using false addresses, obtaining good standing status through the Colorado Secretary of State and then using that status to appear legitimate to consumers.

The Colorado Attorney General’s Office also worked with website hosting platforms to remove websites connected to 11 allegedly fraudulent businesses, including cryptocurrency investment platforms and websites impersonating legitimate companies.

Officials urged consumers to be cautious of unsolicited investment offers promoted through social media, messaging apps and dating platforms, and warned that artificial intelligence tools have made scams more convincing through fake videos, cloned websites and impersonated voices.