SEC Charges Radio Show Host with Inflating Assets and Exaggerating Returns

Posted on October 1st, 2015 at 4:57 PM
SEC Charges Radio Show Host with Inflating Assets and Exaggerating Returns

From the Desk of Jim Eccleston at Eccleston Law LLC:

The radio show “Financial Myth Busting” had its host and adviser, Dawn Bennett, ousted by the Securities and Exchange Commission (SEC)’s allegations of Bennett inflating her firm's assets and exaggerating her firm’s investment returns. Bennett, who is the founder of Bennett Group Financial Services in Washington, boasted at least $2 billion in assets, yet the highest amount managed by Bennett Group was $407 million. Ms. Bennett also claimed that the firm's returns placed it in "the top 1%" in the world; however, according to the SEC, none of those claims characterize actual customer returns.

The SEC claims that Ms. Bennett and her firm made numerous misstatements from 2009 to 2011, during their emerging investment advisory business, to lure new clients with proclamations of highly successful investment returns. She also provided additional misstatements to the SEC to conceal her firm's previous fraudulent claims. The misstatements and omissions provided by Bennett Group landed Ms. Bennett fifth place on Barron's "Top 100 Women Financial Advisors" and second in D.C.'s list of "2011 Top Advisors". Those false rankings subsequently were used to lure in customers. In its latest Form ADV, the firm touted $1.16 billion in assets. Bennett Group currently is registered with Western International Securities.

Sharon Binger, director of SEC's Philadelphia Regional Office, stated that Bennett Group used calculated efforts to inflate their public image. Binger notes that in the case of Bennett Group, the public must be aware of advertisers under the guise of "financial experts"

The attorneys of Eccleston Law LLC represent investors and advisers nationwide in securities and employment matters. Our attorneys draw on a combined experience of nearly 65 years in delivering the highest quality legal services..

Related Attorneys: James J. Eccleston

Tags: Eccleston Law LLC, James Eccleston, eccleston, Eccleston Law, SEC, Financial Myth Busting

Return to Archive



If you are being bothered by the Regulators, call Eccleston Law, you won't regret it.

Rick R.


August 15, 2022
FINRA Proposal Would Permit Private Homes to Serve as Non-Branch Offices

The Financial Industry Regulatory Authority (FINRA) has filed proposed changes to FINRA Rule 3110 with the Securities and Exchange Commission (SEC).

August 12, 2022
SEC Charges J.P. Morgan, UBS, and TradeStation for Deficiencies Pertaining to the Prevention of Customer Identify Theft

The Securities and Exchange Commission (SEC) has charged J.P. Morgan Securities, UBS Financial Services, and TradeStation Securities over deficiencies in their programs designed to prevent client identify theft, which violates the SEC’s Identity Theft Red Flags Rule, or Regulation S-ID.

August 11, 2022
FINRA Suspends Former Schwab Advisor for Failing to Disclose Felony Charges

The Financial Industry Regulatory Authority (FINRA) has suspended a former Charles Schwab advisor who allegedly failed to disclose multiple felony charges.