Tr?id=566623520170033&ev=PageView&noscript=1

Allianz Pleads Guilty to Fraud and Agrees to Pay $5.8 Billion

Posted on May 25th, 2022 at 10:41 AM
Allianz Pleads Guilty to Fraud and Agrees to Pay $5.8 Billion

From the Desk of Jim Eccleston at Eccleston Law:

A unit of Allianz SE has agreed to plead guilty to securities fraud and pay $5.8 billion in fines and restitution following the collapse of a relatively low-risk pool of investment funds amidst pandemic volatility. 

The firm has agreed to pay $3.2 billion in restitution to investors in its Structured Alpha Funds as well as a $1 billion fine to the Securities and Exchange Commission (SEC). A former executive at Allianz, Gregoire Tournant, has been separately charged for his role in the alleged securities fraud, according to Manhattan U.S. Attorney Damian Williams. Tournant, who served as the former chief investment officer, assisted in overstating the degree of independent supervision that AGI was providing, misrepresented several risk mitigation strategies and altered documents to conceal the volatility of the funds, according to prosecutors. 

Despite being created to protect investors from a market downtown, the Structured Alpha hedge funds suffered substantial hits amidst volatility during the pandemic. During the first quarter of 2020, the Structured Alpha hedge funds lost between 49% and 97% of their value. Allianz subsequently liquidated two of the funds in March 2020, and has proceeded to liquidate others. 

Eccleston Law LLC represents investors and financial advisors nationwide in securities, employment, regulatory, arbitration and disciplinary matters. Those investors who lost money in Structured Alpha Funds should contact us.

 
 

Tags:

Return to Archive

TESTIMONIALS

Previous
Next
Quotes Bigger

The work that you and your team have performed on my behalf is exemplary.

JT

LATEST NEWS AND ARTICLES

1776182162 Law
April 14, 2026
FINRA Seeks Public Comment on Potential Overhaul of Arbitration Rules

The Financial Industry Regulatory Authority (FINRA) has issued Regulatory Notice 26-06, requesting public comments on proposed changes to its arbitration framework.

1776094855 Law
April 13, 2026
SEC Issues Long-Awaited Guidance on Digital Assets

The U.S.

1775837448 Law
April 10, 2026
FINRA Charges Former Pruco Securities Broker With Forging Annuity Applications to Generate Commissions

The Financial Industry Regulatory Authority (FINRA) has filed a complaint against former Pruco Securities broker Avinesh Shankar, accusing him of forging customer signatures on dozens of annuity applications in order to collect advance commissions.