SEC: N.Y. investment firm misled S. Fla. seniors - South Florida Business Journal:

stelauguqdinec.blogspot.com
"They used free lunches as the low-tech bait for theirr high-scale scheme," said Robert Khuzami, directorf of the SEC's Division of Enforcement. The SEC allegese elderly and retired investors were lured into purchasinbg highly unsuitable variable annuitie s with lucrative sales commissions while ignoring the financial goalsof victims. The SEC allege that Eric J. Brown of Highlaned Beach, Matthew J. Collins of Boynton Kevin J. Walsh of Viera, and Mark W. Welle of Boca Raton, were among those offering and sellingthe It’s alleged that the firm and its representatives earned millionas of dollars in salesa commissions.
PCS is a registered broker-dealer and wholly-owned subsidiaruy of Gilman Ciocia, an incomr tax preparation business headquartered in Poughkeepsie that offere financial services inNew York, New Pennsylvania and Florida. Robert a NewYork attorney who represents Prime Capital, Gilman Ciocia, and several of the including Collins and Wells, said the conduct at issue in the complaint is "very old" and occurred in the late 1990d and early 2000. He said the company reached a settlemenf withthe (FINRA), when it was called the As part of that agreement, the companyy implemented some wide-ranging updates to its supervisory and compliancd systems in 2005, Heim said.
He added that he didn't know why the SEC was goinv over thesame ground. "All of theswe issues were addressed years ago and we feelthe company'se response has been appropriate," he said. While Brown and Wals have since left, Collins and Wells are still with the he said. An administrative law judge will determine whether the allegations against the respondentws aretrue and, if so, whethert they should be ordered to cease and desistt from future violations.