Notable Litigation – August 2023

Notable litigation filed during August 2023 includes: (1) SEC v. Rocha; (2) Legum v. Garfinkel, et al.; and (3) SEC v. Conn. Jr.

SEC v. Rocha, No. 1:23-cv-11779-LTS (D. Mass.)

The SEC filed suit against the schemer defendant for losses arising from an alleged Ponzi wherein the defendant promised to invest the victims' money in securities that would provide 12% monthly investment returns, only to then use the victims' money to fuel his gambling habit and luxurious lifestyle. After the defendant lost the remainder of the victims' money through personal investment losses, he started using later investor funds to make Ponzi payments to earlier investors. The SEC alleges violations of the Securities Act of 1933, the Securities Exchange Act of 1934 and Rule 10b-5 thereunder, and the Investment Advisers Act of 1940.