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The U.S. Securities and Exchange Commission (SEC) announced today that it has filed a lawsuit against former investment adviser Andrew H. Jacobus and his two Florida-based companies, Finser International Corp. and Kronus Financial Corp., alleging a $17.3 million fraud scheme that targeted dozens of investors, including elderly individuals and Catholic dioceses in Venezuela.

According to the SEC’s complaint filed in the U.S. District Court for the Southern District of Florida, Jacobus deceived approximately 40 investors by falsely promising that their funds would be invested in securities linked to the Corfiser Simi Fund, which was purportedly managed by Finser. The agency alleges that the defendants’ misconduct began as early as May 2015 and continued until April 2024.

During this period, Jacobus and his companies allegedly misappropriated around $3.2 million from Venezuelan Catholic clergymen alone. The complaint further claims that Jacobus used part of the misappropriated funds for personal expenses and to invest in securities for the benefit of his firms.

The SEC also states that investor materials sent to clients falsely showed monthly returns of up to 4.13%, while at least two clients were misled to believe the Corfiser Simi Fund would generate annual returns of 12%. Beginning in 2021, Jacobus reportedly stopped making promised payments and ignored redemption requests, instead making excuses and partial payments to conceal the fraud.

Jacobus was previously sanctioned by the SEC in 2020 for fraud-related violations of the Investment Advisers Act. Additionally, the state of Florida charged him in June 2024 with first-degree grand theft; he pleaded not guilty, and the case remains ongoing.

The SEC is seeking injunctive relief, disgorgement with prejudgment interest, civil penalties, and a permanent injunction against Jacobus, Finser, and Kronus.

The case is Securities and Exchange Commission v. Kronus Financial Corp. et al., case number 1:25-cv-22411.