The New Jersey Bureau of Securities said it revoked the registration of an investment adviser representative for selling more than $12 million of unregistered securities, including investments tied to a Ponzi scheme and other investment scams.
Gary Scheer, managing member and sole investment adviser representative of Retirement Financial Advisors, in Morristown, N.J., was also assessed $750,000 in civil penalties, according to a release from state regulators.
Mr. Scheer recommended and sold unregistered securities in seven investments to at least 50 investors from 2010 through 2018, the regulator said. Six of the seven investments ultimately were determined by either federal and/or state authorities to be fraudulent generating more than $600,000 in commissions for Mr. Scheer, regulators said.
[More: Alaska slaps ‘adviser’ with $7.4 million in penalty for issuing and selling unregistered securities]
“Investment advisers are expected to serve the interests of their customers with undivided loyalty, and not exploit them for financial gain,” New Jersey Attorney General Gurbir S. Grewal said in the release. “We will not allow unscrupulous professionals to undermine the integrity of New Jersey’s financial industry by enriching themselves at the financial expense of their customers.”
The investments included the unregistered Woodbridge securities, an alleged $1.2 billion Ponzi scheme that defrauded 8,400 real estate investors nationwide, and the unregistered Northridge securities, an alleged fraudulent real estate investment, which was recently tied to charges by the Securities and Exchange Commission, regulators said in the release.
From outstanding individuals to innovative organizations, find out who made the final shortlist for top honors at the IN awards, now in its second year.
Cresset's Susie Cranston is expecting an economic recession, but says her $65 billion RIA sees "great opportunity" to keep investing in a down market.
“There’s a big pull to alternative investments right now because of volatility of the stock market,” Kevin Gannon, CEO of Robert A. Stanger & Co., said.
Sellers shift focus: It's not about succession anymore.
Platform being adopted by independent-minded advisors who see insurance as a core pillar of their business.
RIAs face rising regulatory pressure in 2025. Forward-looking firms are responding with embedded technology, not more paperwork.
As inheritances are set to reshape client portfolios and next-gen heirs demand digital-first experiences, firms are retooling their wealth tech stacks and succession models in real time.
