8.20.2009 The SEC barred Knox H. Fuqua from association with any investment adviser based upon a District Court’s order enjoining him from violating the antifraud and other provisions of the federal securities laws. The SEC alleged, among other things, that Fuqua and his company breached their fiduciary duties to their investment advisory clients. According to the SEC, Fuqua and his company misappropriated their clients’ funds, ignored their clients’ instructions not to put their funds in high-risk investments, and materially misrepresented the nature and risk of the investments they made with their clients’ money. Fuqua allegedly used his clients’ money to pay his personal and business expenses and to repay other clients whose money he had wrongfully taken.
Click http://www.sec.gov/litigation/admin/2009/ia-2920.pdf to access the order.