SEC closes book on Brian Block, former Schorsch associate, with $160,000 fine

The former CFO at American Realty Capital Properties Inc. was previously sentenced to 18 months in prison for securities fraud

Feb 14, 2018 @ 5:02 pm

By Greg Iacurci

Brian Block, a former associate of one-time real estate czar Nicholas Schorsch, has agreed to a $160,000 civil penalty and a permanent ban from serving as a director and officer for violating securities rules, the Securities and Exchange Commission said Wednesday.

In November, a federal judge sentenced Mr. Block, formerly the chief financial officer of American Realty Capital Properties Inc., a publicly traded real estate investment trust founded by Mr. Schorsch, to 18 months of prison and a $100,000 fine after he was convicted of six counts of fraud.

(More: How Nick Schorsch lost his mojo)

The U.S. Attorney's Office for the Southern District of New York charged Mr. Block in September 2016 with conspiracy, securities fraud and other charges stemming from falsified accounting at the REIT, known by its former ticker symbol ARCP.

The federal government claimed Mr. Block inflated an important REIT accounting metric — adjusted funds from operation, or AFFO — in the company's financial statements for the second quarter of 2014.

Mr. Block also consented on Wednesday to an order suspending him from appearing or practicing before the SEC as an accountant.

0
Comments

What do you think?

View comments

Recommended for you

Featured video

Events

4 secrets to adviser growth: Client experience

The client experience is critical for firms to thrive today. This is especially true for your wealthiest clients. SEI's John Anderson and Allie Carey offer some strategies for success.

Latest news & opinion

Midwestern magic? RIA assets soared nearly 30% there last year

Theories for what's driving the growth spurt abound, but it surpassed all other regions of the country.

8 apps advisers love for getting stuff done

We reached out to advisers to find out which apps they are using to run their business more efficiently.

10 tax moves to squeeze in before the year ends

Here are some tax moves clients can still make before year-end.

Richard Neal: the new face driving retirement policy in Washington

As he becomes head of the House Ways and Means Committee, Rep. Richard Neal (D-Mass.) is poised to make some big changes.

X

Hi! Glad you're here and we hope you like all the great work we do here at InvestmentNews. But what we do is expensive and is funded in part by our sponsors. So won't you show our sponsors a little love by whitelisting investmentnews.com? It'll help us continue to serve you.

Yes, show me how to whitelist investmentnews.com

Ad blocker detected. Please whitelist us or give premium a try.

X

Subscribe and Save 60%

Premium Access
Print + Digital

Learn more
Subscribe to Print