SEC Bars California Advisor For Fraud

Posted on November 3rd, 2022 at 3:22 PM
SEC Bars California Advisor For Fraud

From the Desk of Jim Eccleston at Eccleston Law.

The Securities and Exchange Commission (SEC) has barred a California-based financial advisor and his firm for engaging in fraud.

The advisor, Keith Springer, and his firm, Springer Financial, agreed to the bar to settle charges filed by the SEC, which accused Springer of defrauding hundreds of retail investors, including several elderly clients. Springer, who was initially charged by the SEC in December 2019, additionally agreed to pay at least $400,000 in penalties. According to the SEC, Springer improperly solicited investors via deceptive marketing practices, such as ads misstating his expertise as well as whether he garnered any financial incentives to make recommendations.

For instance, Springer claimed that his expertise led to his selection as the host of his radio show, “Smart Money with Keith Springer”, while failing to disclose that he paid for the time. Springer additionally advertised himself as a “Qualified Retirement Advisor”, while no such title exists, according to the SEC. Further, Springer advised clients to purchase certain annuities between July 2014 and 2019 while failing to disclose that he would receive increased commissions due to those purchases, according to the SEC. The SEC alleged that Springer collected nearly $6 million from compensation and bonuses from annuity sales. Springer did not admit or deny any of the SEC’s investigatory findings while agreeing to the settlement.

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

Tags: eccleston, eccleston law, advisors, law, sec

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I just received this letter from the CFP Board. Thank you, Thank you, THANK YOU!

David Y


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