Luxury Car Export Scam: NO CARS, Just $30 MILLION GONE!

SEC v. Faraz Dar and Horizon Platinum LLC — U.S. Securities and Exchange Commission Litigation Release No. 26386, dated August 29, 2025.

The SEC charged Faraz Dar and his company, Horizon Platinum LLC, with a multimillion-dollar securities offering fraud. Dar allegedly raised up to $30 million from over 30 investors by falsely claiming their money would fund a luxury car export business. Instead, he used most of the funds for personal expenses and stopped making payments when investments matured.

In Plain English

Imagine someone told you they had a great idea to buy fancy cars here and sell them overseas for a lot of profit. They asked for money to start this business, promising to pay you back quickly with huge earnings. But instead of buying cars, they spent most of the money on themselves, like buying nice clothes and going on trips. When it was time to pay people back, they stopped, and it turned out the car business wasn't real.

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

1. The Setup Between July 2019 and May 2023, Faraz Dar and his company, Horizon Platinum LLC, began soliciting investments. They claimed the money would be used to operate a business exporting luxury cars from the U.S. to the UAE and then to other countries like China and Russia.
2. The Promises Dar promised investors exceptionally high returns, sometimes over 100%, within just a few months. These promises were detailed in 'Investment Certificates' signed by Dar, which also showed the investment amount and projected value upon maturity.
3. The 'Business' The core of the scheme was a purported business of exporting luxury vehicles. However, the SEC's complaint states that this business simply did not exist, and Horizon or Dar never filed the required export disclosures for such transactions.
4. Misuse of Funds Instead of using the investors' money to fund the supposed car export business, Dar allegedly spent the majority of the funds on his personal lifestyle. This included expenses for luxury clothing, jewelry, travel, and golf supplies.
5. Matured Investments Ignored When investment certificates began to mature, starting around May 2023, Dar and Horizon allegedly stopped making payments to investors. As of the complaint date, at least $2.5 million in principal had not been repaid to investors with matured certificates.
6. Lulling and Rollovers To keep the scheme going, Dar allegedly made false statements to investors inquiring about missed payments. He also convinced some investors to 'roll over' their principal and promised interest into new investment certificates, effectively delaying repayment.

The Enforcement Action

On August 28, 2025, the SEC filed fraud charges against Horizon Platinum LLC and its owner Faraz Dar. The SEC's complaint, filed in the U.S. District Court for the District of Massachusetts, charges Dar and Horizon with violating Section 17(a) of the Securities Act of 1933, and Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder. The SEC seeks injunctive relief, disgorgement plus prejudgment interest, and civil penalties against both defendants, as well as an officer and director bar against Dar.

Named in this action: Faraz Dar and Horizon Platinum LLC.

Original SEC litigation release ↗ · Browse all cases