SEC Charges Financial Advisor in $5.8 Million Fraud

The Securities and Exchange Exchange An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv Read this Term Commission in the US (SEC) announced that it has charged German Nino, a former securities broker and investment adviser representative for UBS Financial Services, with financial fraud worth $5.8 million, today.

Based in Florida, Nino stole funds from the accounts of his client over the period of 6 years. During the mentioned time, he spent almost $4.2 million on his luxurious lifestyle and created fake account statements to cover his illegal activities.

Moreover, Nino forged signatures and altered the records of UBS. He used the remaining $1.6 million to repay funds he had taken from another client. Also, he deceived the client through fake claims.

"As a financial advisor, Nino was entrusted with millions of dollars belonging to his client," said Eric I. Bustillo, the Director of the SEC's Miami Regional Office. "As alleged in our complaint, Nino took advantage of that trust by abusing his access to his client’s accounts for personal gain."

SEC’s Complaint

The authority filed the complaint in the District Court for the Southern District of Florida and charged Nino with violations of antifraud provisions. Since the start of 2021, the SEC has accelerated its efforts against illegal financial activities under its jurisdiction. Furthermore, the Commission has announced record rewards under its whistleblower Whistleblower A whistleblower is an individual who manages to provide information or activity within a private or public organization that is deemed illegal, unethical, or not correct. In many countries, including the United States, whistleblowers are protected by law and in some cases can even recoup rewards if their information leads to successful prosecution.In the context of the financial services industry, whistleblowers play a large role in oversight, helping unmask several episodes of illicit behavior A whistleblower is an individual who manages to provide information or activity within a private or public organization that is deemed illegal, unethical, or not correct. In many countries, including the United States, whistleblowers are protected by law and in some cases can even recoup rewards if their information leads to successful prosecution.In the context of the financial services industry, whistleblowers play a large role in oversight, helping unmask several episodes of illicit behavior Read this Term program during the last 12 months.

Providing details about the German Nino fraud case, the SEC said: “In a parallel action, the U.S. Attorney's Office for the Southern District of Florida today announced criminal charges against Nino. The SEC’s continuing investigation is being conducted by Sagiv Edelman and supervised by Jessica M. Weissman and Glenn S. Gordon, all of the Miami Regional Office. The litigation is being conducted by Andrew O. Schiff. The SEC appreciates the assistance of the U.S. Attorney’s Office for the Southern District of Florida and the Federal Bureau of Investigation.”