Securities Lawyers Blog
The attorneys at Gana Weinstein LLP are reviewing court documents and complaints related to The Securities and Exchange Commission’s (SEC) charge a Connecticut investment advisory firm Temenos Advisory, Inc. (Temenos) and its principal, George L. Taylor (Taylor) put $19 million of investor money, including elderly investors’ retirement savings and pension plans, in risky investments and all the while secretly pocketing large commissions.
The SEC alleged that from 2014 through 2017, Temenos and Taylor defrauded their advisory clients and by steering the clients into unsuitable investments and by hiding commissions and other financial incentives that Temenos and Taylor were pocketing on top of the advisory fees clients paid. In addition, the SEC found that Temenos and Taylor repeatedly downplayed and concealed risks, and overstated potential gains with the illiquid private placements
The SEC accused Temenos and Taylor of violating their fiduciary duty that every investment adviser owes to its clients that requires firms to put client interests first, to deal with clients with the utmost honesty, to disclose all conflicts or potential conflicts of interest, and to use reasonable care in providing investment advice.