North Dakota Stopped Unregistered Investment Solicitations

The state order affects businesses soliciting capital without proper registration in North Dakota.

Updated on Sept. 28, 2026 in Healthcare

Isometric editorial illustration of a brass security seal placed atop a thick, blank paper bond document. — The North Dakota Insurance Commissioner issued a stop order against Shayan Mashatian, Silverberry Group, LLC, and WoundScribe AI Corp. for soliciting unregistered investments. AI Illustration. Upload story photo >

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The North Dakota Insurance Commissioner issued a stop order against Shayan Mashatian, Silverberry Group, LLC, and WoundScribe AI Corp. for allegedly soliciting investments without required state registration.

Why it matters

Compliance with state registration laws is mandatory for all businesses raising capital from residents, as oversight departments enforce these rules to protect the integrity of the local investment market.

The order allows recipients 15 days to request a formal hearing before the North Dakota Insurance Commissioner. This action follows the company's registration history starting in Grand Forks in 2022 and its subsequent conversion to a Delaware entity in 2025.

The players

Shayan Mashatian

An individual targeted by the North Dakota Insurance Commissioner for alleged unregistered investment solicitations.

Silverberry Group, LLC

A business initially registered in Grand Forks in 2022 that was the subject of a state stop order.

WoundScribe AI Corp.

A Delaware corporation that succeeded Silverberry Group, LLC in 2025.

North Dakota Insurance & Securities Department

The state regulatory agency responsible for enforcing securities compliance and protecting local investors.

The details

The state action stems from allegations that the entities violated North Dakota Century Code by seeking capital without obtaining the necessary state registration. Under these regulations, companies must register securities or qualify for exemptions before soliciting funds from the public. Operators must verify their registration status with the state Insurance & Securities Department whenever fundraising to ensure ongoing compliance with local financial statutes.

2022: Silverberry Group was registered in Grand Forks.
2025: Silverberry Group converted into the Delaware corporation WoundScribe AI.
September 25, 2026: The North Dakota Insurance Commissioner issued the stop order.

Market Landscape

State-level securities regulation serves as a critical barrier to entry for businesses seeking capital, acting as a primary check against unauthorized financial activity. This action follows the standard pattern of state regulators enforcing the registration provisions within the North Dakota Century Code.

Operators must review their state-level fundraising activities to confirm they meet all applicable registration requirements before soliciting capital. Failing to verify compliance with local securities laws can result in immediate regulatory stop orders that halt operations.

The takeaway

Investment solicitation rules are strict, and operators should verify their registration status with state authorities to avoid enforcement actions. Businesses named in this order have 15 days to request a hearing to challenge the commissioner's decision.