Former Morgan Stanley Advisor Sentenced To 7.25 Years For Fraud

Posted on June 2nd, 2023 at 1:26 PM
Former Morgan Stanley Advisor Sentenced To 7.25 Years For Fraud

From the desk of Jim Eccleston at Eccleston Law 

Shawn E. Good pleaded guilty in September to wire fraud and money laundering charges based on allegations that he had operated a decade-long Ponzi scheme from 2012 to 2022. 

Good raised money by encouraging clients to take out loans against their portfolio to invest in tax-free municipal bonds but instead had them wire the money to their personal bank and then to his bank accounts. Additionally, Good used new investor funds to pay old investors.

Good has been sentenced to seven years and three months in prison for stealing almost $7.25 million from around a dozen former customers, according to an announcement from the U.S. Attorney's Office for the Eastern District of North Carolina. Good also was ordered to pay $3.6 million in restitution as part of his guilty plea.

According to AdvisorHub, Good was discharged in February 2022 for declining to cooperate with Morgan Stanley’s review following client complaints. The Securities and Exchange Commission (SEC) and the Financial Industry Regulatory Authority (FINRA) have barred Good from the securities industry.

 

Eccleston Law LLC represents investors and financial advisors nationwide in securities, employment, transition, regulatory and disciplinary matters.

 

Tags: eccleston, eccleston law

Return to Archive

TESTIMONIALS

Previous
Next

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

JT

LATEST NEWS AND ARTICLES

October 11, 2024
Macquarie Investment Management to Pay $79.8 Million for Overvalued CMOs and Unlawful Cross Trades

The U.S. Securities and Exchange Commission (SEC) has charged Macquarie Investment Management Business Trust (MIMBT) with overvaluing collateralized mortgage obligations (CMOs) and executing unlawful cross-trades that favored certain clients. 

October 10, 2024
Merrill Lynch and Harvest Volatility Management Fined $9.3 Million for Exceeding Client Investment Limits

According to SEC.gov, the Securities and Exchange Commission (SEC) has charged Merrill Lynch, Pierce, Fenner & Smith Inc., and Harvest Volatility Management LLC for exceeding clients’ designated investment limits, resulting in higher fees, increased market exposure, and financial losses. 

October 9, 2024
Charles Schwab Faces Lawsuit Over Failure to Prevent Elder Fraud in Computer Hack

A new lawsuit claims that Charles Schwab failed to protect an elderly client from a fraudulent scheme that drained her retirement savings.