SEC Charges Investment Adviser in Social Media Scam, Issues Two Alerts
The Metropolitan Corporate Counsel
February 1, 2012
This article discusses a recent SEC case against an Illinois-based investment adviser, accused of trying to sell fictitious securities, offering more than $500 billion of bogus investments on social media websites. In response to increasing social media scams, the SEC issued two alerts to highlight risks that investors and advisory firms face when using social media. This article explains the information in those alerts and provides FINRA considerations.