The U.S. Securities and Exchange Commission (SEC) has barred New York-based Hyaline Capital Management advisor Justin D. Meadlin from the securities industry. The SEC alleges that Meadlin used false and misleading information to solicit investments for Hyaline Capital Management.
Advisor Uses False Information to Solicit Investors
According to the SEC, Meadlin claimed that Hyaline had $25 million under management and consistently touted positive performance to prospective investors and clients. The claims, delivered in emails and in subscription hedge fund databases, materially inflated the fund’s assets under management and cited favorable returns dating back to 2009 generated by a “proprietary” algorithm.
In a complaint filed in April, the SEC says that none of Meadlin’s statements were true and those who invested with the advisor did so based on fraudulent misrepresentations and omissions. There was no Hyaline fund and Meadlin had not acquired or created a “proprietary” algorithm.
Meadlin Ordered to Pay Penalty
The U.S. District Court for the Southern District of New York has ordered Meadlin to pay a civil penalty of $150,000 and disgorge $150,645.66 plus interest, totaling just over $300,000.
Are You a Victim of Securities Fraud?
If you lost money as a result of stockbroker misconduct or securities fraud, contact a qualified securities fraud attorney today.
Call a Securities Fraud Attorney Today
If you are looking for an attorney to review your rights and options, the securities fraud lawyers at Dimond Kaplan & Rothstein, P.A. have recovered more than $100 million from banks and brokerage firms for their wrongful actions.
With offices in Los Angeles, New York, West Palm Beach and Miami, our securities fraud attorneys represent clients nationwide and can help you recover your investment losses.
Contact a securities fraud attorney at Dimond Kaplan & Rothstein, P.A. today to schedule an appointment or consultation to review your rights and options.