SEC v. Joecool.com, LLC, Joseph Ariel Haber, Robert Tye Cournoyer — U.S. Securities and Exchange Commission Litigation Release No. 26216, dated January 14, 2025.
The SEC charged Joecool.com, its CEO Joseph Haber, and broker Robert Cournoyer for defrauding investors out of approximately $2 million. The defendants allegedly misrepresented Joecool's business prospects and used investor funds for personal expenses, including gambling, instead of developing CBD coffee products. Cournoyer also acted as an unregistered broker.
In Plain English
Imagine you give money to a company that promises to make fancy coffee. Instead of making coffee, the boss spends most of the money on casinos and fancy dinners. They also lied about big deals they supposedly had with stores. The company that helps people invest is now suing them to stop the lies and get the money back.
Disclaimer: all facts are drawn from the SEC's own filings; the claims described are allegations unless and until a court rules or the parties settle, and some cases end in dismissal.
How the Alleged Scheme Worked
- The Pitch: CBD Coffee Dreams Joecool.com, LLC, led by CEO Joseph Ariel Haber, claimed to be developing and selling CBD-infused coffee products. Between November 2019 and February 2024, they solicited investors, promising to use the funds for production, packaging, promotion, and sales.
- Raising Funds Joecool successfully raised approximately $2 million from at least 18 investors. These investors believed their money would be used to build the CBD coffee business.
- Misappropriation of Funds Instead of using the money as promised, CEO Joseph Haber allegedly misappropriated a significant portion. He spent about $731,000 on personal expenses, including casinos, pawn shops, restaurants, and cigar lounges. He also made approximately $151,000 in net cash withdrawals.
- Paying the Broker Haber allegedly paid over $980,000 to Robert Tye Cournoyer. Cournoyer's role was to find investors, persuade them to invest in Joecool, and negotiate the terms of their investments.
- Fabricated Business Deals To further entice investors, Haber and Cournoyer falsely claimed that Joecool was negotiating or had secured lucrative sales contracts with well-known wholesaler businesses. In reality, these businesses had never heard of Joecool, Haber, or Cournoyer.
- False Claims About Business Model Haber also told investors that Joecool was transitioning to a multi-level marketing (MLM) company. He falsely claimed his wife, who was the company's President, had 40 years of MLM experience, despite her being only 49 and never having worked in the MLM industry.
- No Returns for Investors As a result of these alleged deceptions, Joecool investors never received any profit distributions and did not recoup their initial investments.
The Enforcement Action
The SEC filed a complaint in federal district court in Nevada on January 13, 2025, charging Joecool.com, LLC, its CEO Joseph Ariel Haber, and broker Robert Tye Cournoyer with fraud and unregistered broker activity. The SEC seeks injunctions, disgorgement with prejudgment interest, and civil penalties against all defendants, as well as officer and director bars and conduct-based injunctions against Haber and Cournoyer.
Named in this action: Joecool.com, LLC, Joseph Ariel Haber, Robert Tye Cournoyer.