SEC Bars Advisor for Fraudulent Taylor Swift Charity Investment

Posted on July 10th, 2020 at 3:45 PM
SEC Bars Advisor for Fraudulent Taylor Swift Charity Investment

From the Desk of Jim Eccleston at Eccleston Law LLC:

Dain F. Stokes, a former advisor at LPL Financial, has been barred by the U.S. Securities and Exchange Commission (“SEC”) for allegedly soliciting investments in a fraudulent charity which Stokes claimed was associated with popular musician Taylor Swift. The SEC said it also plans to order Stokes to pay restitution and a fine of $20,000. Stokes was also barred by FINRA in September 2019 for allegedly failing to respond to FINRA’s request for information. 

According to the SEC, Stokes received $576,000 from three clients as part of this fraudulent scheme.  Stokes allegedly told investors that he was seeking investments in a charity project in Africa that was associated with Taylor Swift.  According to the SEC, Stokes represented to the clients that they would receive a 20% return on their investment within 90 days. Instead of investing the clients’ money, Stokes allegedly spent the money received from investors on personal expenses, as well as sending the money to “various people and entities all over the United States.” 

The attorneys of Eccleston Law LLC represent investors and advisors nationwide in securities and employment matters. The securities lawyers at Eccleston Law also practice a variety of other areas of practice for financial investors and advisors including Securities FraudCompliance ProtectionBreach of Fiduciary DutyFINRA Matters, and much more. Our attorneys draw on a combined experience of nearly 65 years in delivering the highest quality legal services. If you are in need of legal services, contact us to schedule a one-on-one consultation today.

Related Attorneys: James J. Eccleston

Tags: james eccleston, eccleston law, sec, taylor swift, finra

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