SEC Charges Ex-UBS Broker With Bilking 15 Clients: Enforcement

The Securities and Exchange Commission charged a former registered representative with defrauding his brokerage customers out of nearly $4 million in a long-running investment scam.

John Maccoll, who was affiliated with the Birmingham, Michigan, branch office of UBS, used high-pressure sales tactics to solicit at least 15 of his retail brokerage customers to invest in what he described as a highly sought-after private fund investment, according to an SEC complaint. The fraud lasted from approximately 2008 to March 2018.

Most of the injured customers were elderly and retired and invested through their retirement accounts. According to the SEC, “Maccoll had long-standing relationships with these customers, who trusted him completely to manage their investments.”

The customers Maccoll targeted held tax-advantaged retirement accounts at UBS, including IRA accounts, a pension fund conversion, and a federal government Thrift Savings Plan account rollover. One account included the customer’s life savings and money from her deceased husband’s life insurance payout, which she intended to use to pay for college expenses for her three children, according to the SEC.

 

Source: ThinkAdvisor

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