SEC Charges Investment Adviser in Social Media Scam - Issues Two Alerts Regarding Risks to Adviser Firms and Investors

Kelley Drye Client Advisory

Kelley Drye’s Broker-Dealer Practice Group has prepared a client advisory which provides guidance on a National Examination Risk Alert recently published by the SEC concerning investment adviser use of social media. The advisory also discusses recent charges brought by the SEC against an Illinois-based investment adviser for the alleged sale of more than $500 billion in fictitious securities through various social media web sites such as LinkedIn.