SEC Charges Adviser with Fraud

Posted on September 9th, 2020 at 11:32 AM
SEC Charges Adviser with Fraud

From the Desk of Jim Eccleston at Eccleston Law LLC:

The U.S. Securities and Exchange Commission (“SEC”) charged Sperry and Sons Capital Investments, LLC, and its principal, Kirk Sperry, with defrauding investors relating to a real estate investment project.

According to the SEC, between September and December 2015, Sperry raised $125,000 from two investors for a real estate project in Williston, North Dakota. The SEC alleged that Sperry used false and misleading statements when soliciting the investments. Specifically, Sperry misrepresented that the investment was secured by a first position mortgage on the property and also misrepresented that purchase agreements were already in place for certain lots, when neither of those were true, according to the SEC. The SEC alleged that Sperry and Sons used investor funds to make payments to investors in other, unrelated projects.

The SEC is seeking a permanent injunction, disgorgement, prejudgment interest and civil penalties. The firm is charged with violations of the antifraud provisions of Section 17(a) of the Securities Act of 1933 and Section 10(b) of the Securities Exchange Act of 1934. Sperry is charged with violations of Sections 17(a)(1) and 17(a)(3) of the Securities Act of 1933, Section 10(b) of the Securities Exchange Act of 1934, and aiding and abetting the firm’s violation of Section 17(a)(2) of the Securities Act of 1933.

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.

Tags: sec, fraud, eccleston law, Sperry and Sons Capital Investments, Kirk Sperry

Return to Archive

TESTIMONIALS

Previous
Next

Thank you so very much for your guidance, patience, and expertise.

Beth and Steve K.

LATEST NEWS AND ARTICLES

May 17, 2024
Fidelity Advisor Files Lawsuit Alleging Wrongful Termination Over Whistleblowing

A former Fidelity Investments advisor, Michael Maeker, has initiated legal action against his former firm, alleging wrongful termination in response to his reporting of anti-investor sales tactics.

May 16, 2024
CFTC Investigates Banks for Potential Whistleblower Suppression

The Commodity Futures Trading Commission (CFTC) has initiated inquiries into several banks, including JPMorgan Chase, Bank of America, and Citigroup, regarding potentially hindering whistleblowers from disclosing information, as reported by Bloomberg News.

 

May 15, 2024
NFA Issues Order Against 50.ai Investments LLC

The National Futures Association's (NFA) Business Conduct Committee (BCC) has taken action against 50.ai Investments LLC, a former NFA Member commodity pool operator and forex firm, for violating multiple NFA compliance rules.