Alaska securities officials have ordered Anchorage resident Garrett Elder and his Tycoon Trading firm to pay a civil penalty of $7.43 million and restitution of an identical amount, plus interest, for issuing and selling unregistered securities and for acting as an investment adviser without being registered.
State regulators said Elder sold securities in the form of participation in profit-sharing agreements, investment contracts, and speculative trading in foreign currencies to Alaska residents through his business, Tycoon Trading. This took place between February 2017 and this past September. Neither Elder, Tycoon Trading nor the securities offered were ever registered with the state, however, according to a cease-and-desist order filed by the state.
The order also stated that Tycoon issued statements to investors reflecting positive earnings on investments.
“Those statements were falsified,” the order stated. “All or substantially all of the investors’ assets have been dissipated. Despite repeated attempts, investors have been unable to access their funds.”
“This scheme appears to have targeted Elder’s friends, family, and social networks. We take this extremely seriously,” said Robert Schmidt, director of the Alaska Division of Banking and Securities, said in a statement.
Rajesh Markan earlier this year pleaded guilty to one count of criminal fraud related to his sale of fake investments to 10 clients totaling $2.9 million.
From building trust to steering through emotions and responding to client challenges, new advisors need human skills to shape the future of the advice industry.
"The outcome is correct, but it's disappointing that FINRA had ample opportunity to investigate the merits of clients' allegations in these claims, including the testimony in the three investor arbitrations with hearings," Jeff Erez, a plaintiff's attorney representing a large portion of the Stifel clients, said.
Chair also praised the passage of stablecoin legislation this week.
Maridea Wealth Management's deal in Chicago, Illinois is its first after securing a strategic investment in April.
Orion's Tom Wilson on delivering coordinated, high-touch service in a world where returns alone no longer set you apart.
Barely a decade old, registered index-linked annuities have quickly surged in popularity, thanks to their unique blend of protection and growth potential—an appealing option for investors looking to chart a steadier course through today's choppy market waters, says Myles Lambert, Brighthouse Financial.
