A Greenwood Village fund manager has run afoul of the SEC for what the regulator calls exaggerated marketing claims and strategies that lost clients almost 100 percent of their principal.
The SEC last week sued Centennial investor Michael S. Moses and his MIC fund in U.S. District Court for fraud – accusing him of embellishing his resume and telling investors there was no downside risk because of protections he employed.
The SEC is asking for a court injunction and financial penalties, claiming Moses turned $974,741 obtained from nine investors into $8,868.
BusinessDen was unable to reach Moses for comment.
The lawsuit claims Moses exaggerated his experience and acumen, saying he was not a skilled trader, as he told clients, but instead a marketer. And he was once terminated from positions for poor financial strategies.
The SEC says that when Moses told investors he was a portfolio manager for a hedge fund, he was just trading for his own account. He claimed to manage a $750 million global fund, but was only a contractor for six months and then fired, according to the lawsuit.
“The Atlanta-based adviser briefly tested Moses’ strategies in certain foreign markets, before terminating its contract with Moses because the strategies didn’t work,” the lawsuit states.
Additionally, the SEC claims Moses told investors he was personally invested in the fund, but invested nothing.
The SEC’s investigation was managed by David A. DeMarco and supervised by Denver Regional Office members Kurt L. Gottschall and Jason J. Burt. Litigation for the regulator will be done by Gregory A. Kasper and Polly A. Atkinson.
The SEC did not respond to requests for comment.
A Greenwood Village fund manager has run afoul of the SEC for what the regulator calls exaggerated marketing claims and strategies that lost clients almost 100 percent of their principal.
The SEC last week sued Centennial investor Michael S. Moses and his MIC fund in U.S. District Court for fraud – accusing him of embellishing his resume and telling investors there was no downside risk because of protections he employed.
The SEC is asking for a court injunction and financial penalties, claiming Moses turned $974,741 obtained from nine investors into $8,868.
BusinessDen was unable to reach Moses for comment.
The lawsuit claims Moses exaggerated his experience and acumen, saying he was not a skilled trader, as he told clients, but instead a marketer. And he was once terminated from positions for poor financial strategies.
The SEC says that when Moses told investors he was a portfolio manager for a hedge fund, he was just trading for his own account. He claimed to manage a $750 million global fund, but was only a contractor for six months and then fired, according to the lawsuit.
“The Atlanta-based adviser briefly tested Moses’ strategies in certain foreign markets, before terminating its contract with Moses because the strategies didn’t work,” the lawsuit states.
Additionally, the SEC claims Moses told investors he was personally invested in the fund, but invested nothing.
The SEC’s investigation was managed by David A. DeMarco and supervised by Denver Regional Office members Kurt L. Gottschall and Jason J. Burt. Litigation for the regulator will be done by Gregory A. Kasper and Polly A. Atkinson.
The SEC did not respond to requests for comment.
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