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

I want to thank you for your excellent professional representation. It was greatly appreciated.

Michael M.

LATEST NEWS AND ARTICLES

1777309136 Law
April 27, 2026
Blackstone's Private Credit Fund (BCRED) Meets Record Redemption Demand

Blackstone Inc.

1777047237 Law
April 24, 2026
Geopolitical Tensions Prompt Wealth Advisors to Rethink Dubai Strategies

Recent geopolitical developments have forced wealth advisors to reassess client exposure to Dubai, a jurisdiction that has attracted significant ultra-high-net-worth capital over the past decade.

1776963542 Law
April 23, 2026
Advisor Recruiting Surges in 2025 as Industry Movement Reaches New Highs

Advisor movement across the wealth management industry accelerated sharply in 2025, with 11,172 experienced financial advisors changing firms, according to reporting by Wealth Management citing the latest Advisor Transition Report from Diamond Consultants.