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

SEC Charges Infinity Q Founder Over Valuation Fraud

Posted on February 28th, 2022 at 1:42 PM
SEC Charges Infinity Q Founder Over Valuation Fraud

From the Desk of Jim Eccleston at Eccleston Law:

The Securities and Exchange Commission (SEC) has charged former Chief Investment Officer and founder of Infinity Q Capital, James Velissaris, for allegedly overvaluing assets by more than $1 billion while collecting million of dollars in ill-gained fees. 

The SEC alleges that Velissaris conducted a scheme to fraudulently inflate assets held by the Infinity Q Diversified Alpha mutual fund and the Infinity Q Volatility Alpha private fund between 2017 and February 2021. The SEC’s complaint alleges that Velissaris engaged in the overvaluation scheme by manipulating inputs and the code of a third-party pricing service utilized to value assets held by the fund. Velissaris allegedly generated at least $26 million in profit distributions via his fraudulent scheme and failed to disclose his conduct to investors, according to the SEC. 

The SEC further alleges that Velissaris attempted to halt redemptions by investors. According to the SEC, the funds’ actual values were half of what investors were informed at times during the pandemic. The SEC filed its complaint in the U.S. District Court for the Southern District of New York, charging Velissaris with violating antifraud and other provisions of the federal securities laws.  

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

Tags: eccleston, eccleston law, sec, fraud

Return to Archive

TESTIMONIALS

Previous
Next
Quotes Bigger

You were most helpful with my FINRA deposition. You are a good lawyer and a good person.

Dan B.

LATEST NEWS AND ARTICLES

1793645928 Law
November 2, 2026
FINRA Finds Florida Broker Violated Regulation Best Interest in Variable Annuity Exchanges

The Financial Industry Regulatory Authority (FINRA) has found that a Florida-based registered representative violated Regulation Best Interest (Reg BI) by recommending that eight retired clients exchange their variable annuities.

1793380402 Law
October 30, 2026
Former LPL Broker Faces Federal Charges in Alleged $11 Million Ponzi Scheme

Federal prosecutors accuse former LPL Financial broker William B.

1793294906 Law
October 29, 2026
FINRA Bars Former LPL Financial Broker for Refusing to Cooperate With Investigation

?The Financial Industry Regulatory Authority (FINRA?) barred Buddy Dean Mason, a former LPL Financial broker in Lakeland, Florida, after he refused to provide documents and information during an investigation into a customer complaint involving an alleged outside investment.