FRAUD / INVESTOR RIGHTS –Financial Fraud, Asset Misappropriation and the Disgorgement of Ill Gotten Gains
July 08, 2019
US Securities and Exchange Commission (SEC) monitors investment advisors and investment advisory firms, specifically those focused on providing investment services to elderly investors. Most recently SEC has entered a judgment against an unregistered advisory firm that allegedly misappropriated assets of elderly clients and fraudulently provided clients with false account statements so they could not accurately track their investment portfolio. In addition to criminal charges, the fraudulent advisor must disgorge the ill-gotten gains acquired through the underlying asset misappropriation and other investment fraud activities.
“On June 20, 2019, the United States District Court for the Northern District of Illinois entered a final judgment by consent against relief defendant David B. Slagter in an SEC enforcement action. In March 2017, the Commission charged Daniel H. Glick, a Chicago-based investment adviser, and his unregistered investment advisory firm, Financial Management Strategies Inc. (FMS), with misappropriating millions from elderly investors. The complaint named Slagter as a relief defendant, alleging that he received hundreds of thousands of dollars from Glick that had been misappropriated from investors.
According to the SEC’s complaint, Glick and FMS provided clients with false account statements that hid Glick’s improper use of client funds to pay personal expenses and his improper transfers of funds to Slagter and another individual, Edward Forte.”
This is the link to the US Securities and Exchange Commission fully explaining the fraud and asset misappropriation against the investment advisor and the disgorgement of ill gotten gains: https://www.sec.gov/litigation/litreleases/2019/lr24527.htm
If you or someone you know have fallen victim to asset misappropriation, investment fraud or have any questions as to investor rights, we encourage you to call our offices today at 619-432-5145 for a free consultation with one of our Fraud Attorneys and Investment Lawyers.