Knightsbridge Capital Partners Operator Charged by SEC | Goodman & Nekvasil P.A. May Recover Investor Losses
According to the SEC:
The SEC today charged New York resident Mark Alan Lisser with fraud for operating at least two boiler rooms, on Long Island, New York and in Boca Raton, Florida, through which he raised approximately $2.1 million from at least 71 retail investors and misappropriated more than $900,000 of their funds.
According to the SEC’s complaint, from approximately October 2018 to March 2019, Lisser, and salespeople that he directed in the boiler rooms, solicited investors for Knightsbridge Capital Partners, an unregistered fund manager he operated, by misrepresenting that the Knightsbridge-managed funds had purchased “pre-IPO” shares in three well-known companies directly from employees of the companies. As the complaint alleges, Knightsbridge did not own any shares at the time it solicited investors and subsequently purchased shares or interests in shares of the companies from third parties, not employees. Additionally, as alleged in the complaint, Knightsbridge never owned enough shares to cover the sales it had made to investors.
The complaint further alleges that Lisser and his salespeople falsely claimed to investors that Knightsbridge only charged investors a fee based on the profits after the pre-IPO companies went public, such that Knightsbridge and the investors were on the “same side of the trade,” despite significantly marking up sales and charging commissions. According to the complaint, Lisser misappropriated over $900,000 of investor funds, including by transferring some of the funds to his personal bank account and using investor funds to pay credit card bills.
“As alleged in the complaint, Lisser victimized dozens of retail investors through high pressure sales tactics, misrepresentations and misappropriation of their funds,” said Richard R. Best, Director of the SEC’s New York Regional Office. “This case demonstrates our continuing commitment to hold accountable those who operate old-fashioned boiler rooms to solicit investors’ hard-earned savings.”
The SEC’s complaint, filed in federal court for the Eastern District of New York, charges Lisser with violations of the antifraud provisions of the Securities Act of 1933 and the Securities Exchange Act of 1934, and seeks injunctive relief, disgorgement plus prejudgment interest, and civil penalties.
In a parallel action, the U.S. Attorney’s Office for the Eastern District of New York earlier today filed criminal charges against Lisser.
Investors in Knightsbridge Capital Partners May Recover their Losses with Goodman & Nekvasil, P.A.
If you invested in Knightsbridge Capital Partners, Goodman & Nekvasil, P.A. may help you. Goodman & Nekvasil, P.A., a Clearwater, Florida, law firm with a national practice representing victimized investors, has recovered more than $200 million dollars on behalf of victimized investors.
All our cases are handled on a purely contingency fee basis by Kalju Nekvasil, Esq., formerly regional counsel with the NASD, now known as FINRA. Kalju Nekvasil, Esq. has practiced in this area of the law for more than 35 years.
There is no charge for an evaluation of your case. Further, we handle our cases on a contingency fee basis. This means that unless we recover money for you, we charge no attorney’s fee. Unless you recover any money, you pay us nothing, not even the costs and expenses which the firm will advance on your behalf.
If you incurred investment losses in Knightsbridge Capital Partners and would like your case evaluated by a securities attorney (again, there is no charge for an evaluation and all cases are handled on a purely contingency fee basis), please contact us.