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Divorce proceedings between Alima Beg Babikian and John Babikian revealed that Mr. Babikian was behind AwesomePennyStocks.com, an online newsletter that promoted worthless penny stocks to greedy investors wishing to make a killing in the stock market. In a typical “pump and dump” scheme, penny stock promoters such as Mr. Babikian buy large stakes in worthless penny stocks and then begin to hype them all over the internet including to their subscribers and once the price rises to certain level, the promoters dump their shares into the open market and make a killing. Mrs. Babikian claimed in divorce proceedings that the 26 year-old Mr. Babikian made around $100 million as a penny stock promoter. It was not long before the SEC caught wind of Mr. Babikian who owned homes in Los Angeles, a collection of cars including a $1 million Bugatti sports cars, and even spent some time living in Monaco. Now, the SEC has stepped in and slapped Mr. Babikian with a $3.6 million fine without him admitting any wrongdoing which is a nominal sum compared to the amount he made from his dubious venture.