Category Archives: Stockbroker Fraud
SEC Charges Fort Lauderdale Broker With Running Ponzi Scheme
On January 15th, the U.S. Securities and Exchange Commission filed a civil lawsuit against a Fort Lauderdale man and various entities under his control. The SEC accuses Frederic Elm of running a Ponzi scheme, defrauding dozens of investors out of more than $17 million. A federal judge has already agreed to freeze Elm’s assets… Read More »
Precious Metals Just as Risky as Other Investments
Gold, silver and other precious metals are often considered “safe” investments relative to stocks and securities. But there is no such thing as a no-risk investment. Precious metals are subject to price fluctuations like any other investment. More importantly, not all precious metal investments are the same. Often, people purchase gold and silver through… Read More »
How Do I Get My Money Back?
Investment fraud is sadly commonplace. Every year people fall victim to Ponzi schemes, insider trading, corporate misconduct, “boiler rooms,” and other types of securities fraud. If you are the customer at the losing end of such scams, your first question will be, “Can I get my money back?” The answer is often not so… Read More »
SEC Charges Broker with Making False Sales of Facebook, Twitter Shares
Many investors hope to strike it big by investing in a hot initial public offering (IPO). But high demand for an IPO can also open the door for unscrupulous brokers to take advantage of investors. Recently the U.S. Securities and Exchange Commission filed a civil lawsuit against a California stockbroker accused of falsely promising… Read More »
Prosecutors Extradite Accused Ponzi Scheme Operator from Brazil to Florida
On Dec. 8, former Miami Beach concert promoter Jack Utsick made his first appearance in federal court on eight counts of mail fraud related to a Ponzi scheme he ran for nearly 10 years. Utsick previously settled civil charges with the U.S. Securities and Exchange Commission related to the scheme. But four years ago,… Read More »
SEC Charges Ex-CEO With Leaking Confidential Information to Restaurant Manager
On Nov. 21, the U.S. Securities and Exchange Commission announced two men had agreed to settle insider trading charges related to the buying and selling of shares of GenTek, Inc., a company that produces chemical products and engine components. Prior to its 2009 acquisition by a private equity form, GenTek was publicly traded on… Read More »
Top Firms Settle with SEC over Puerto Rican Junk Bonds
The U.S. Securities and Exchange Commission announced this week that 13 top financial firms have settled charges against them alleging that they inappropriately sold Puerto Rican junk bonds to retail investors. The firms, including Charles Schwab, JP Morgan, and UBS, have all agreed to pay penalties ranging between $54,000 and $130,000, without admitting any… Read More »
Arrest Made in $1.2 Million Retirement Fraud Against Florida Seniors
CBS Miami is reporting this week that 4 arrests have been made in a $1.2 million money laundering scheme that left at least 17 elderly people from all over the country with significantly less in their retirement accounts. Working together, the Florida Attorney General Pam Bondi’s Office, the Florida Office of Financial Regulation and… Read More »
SEC Provides Hedge Fund Data to Congress
In 2010, in response to the 2007–2008 financial crisis, the federal government passed the Dodd-Frank Wall Street Reform and Consumer Protection Act. Dodd-Frank made a number of important changes to financial regulation in the United States, including to reporting requirements of private funds like private equity funds or hedge funds. Private equity typically involves… Read More »
FINRA Urges Focus on “Concentration Risk”
No two investors are the same. They have different income goals, different risk tolerances, and different time horizons—among other differentiating factors. Indeed, one of the most common ways in which investors and brokers get into disputes with each other is through complaints of “unsuitability.” This is an argument by the investor that his or… Read More »
