SEC orders three investment advisory firms to return money to investors

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The Commission ordered Merrill Lynch to pay a total of $325,376 in disgorgement and prejudgment interest to affected investors.

On the other hand, the SEC directed Eagle Strategies to pay a total of   $101,090.46 in disgorgement and prejudgment interest to affected investors.

Meanwhile, the Commission required Cozad to pay a total of $416,870.10 in disgorgement and prejudgment interest to affected investors.

It also required the three investment advisory firms to stop from committing or causing any violations and any future violations of the Advisers Act.

SEC is aggressive in pursuing disclosure failures

In a statement, Dabney O’Riordan, Co-Chief, Asset Management Unit of the Enforcement Division said the SCSD Initiative is “incredibly successful.”

She noted that the SCSD Initiative “led to the returns of almost $140 million to harmed investors” since its launch in 2018. It also “stopped wrongful conduct by investment advisory firms” and highlighted the importance of their obligations to provide full and fair disclosures to clients.