SEC: N.Y. investment firm misled S. Fla. seniors - Silicon Valley / San Jose Business Journal:

callahamirykaan1884.blogspot.com
"They used free lunchez as the low-tech bait for thei high-scale scheme," said Robert Khuzami, director of the SEC'sd Division of Enforcement. The SEC alleges elderlh and retired investors were lured into purchasing highly unsuitablr variable annuities with lucrative sales commissions while ignoring the financial goals of The SEC alleges thatEric J. Brownn of Highland Beach, Matthew J. Collins of Boynton Kevin J. Walsh of Viera, and Mark W. Welle of Boca Raton, were amonhg those offering and sellingthe annuities.
It’s alleges that the firm and its representativeds earned millions of dollars in sales PCS is aregistered broker-dealer and wholly-owned subsidiary of Gilma n Ciocia, an income tax preparation busines s headquartered in Poughkeepsie that offers financial services in New New Jersey, Pennsylvania and Florida. Robert Heim, a NewYork attorneh who representsPrime Capital, Gilmahn Ciocia, and several of the individuals, includinhg Collins and Wells, said the conduct at issud in the complaint is "very old" and occurred in the late 1990ss and early 2000. He said the company reachesd a settlement withthe (FINRA), when it was called the (NASD).
As part of that agreement, the company implemented some wide-ranging updates to its supervisory and compliancse systemsin 2005, Heim said. He addedf that he didn't know why the SEC was goinvg over thesame ground. "All of theswe issues were addressed years ago and we feelthe company'w response has been appropriate," he said. While Brown and Walsh have since Collins and Wells are still with the he said.
An administrative law judge will determine whethert the allegations against the respondents aretrue and, if so, whetherd they should be ordered to ceases and desist from future