{"id":4269,"date":"2017-04-06T19:23:15","date_gmt":"2017-04-07T00:23:15","guid":{"rendered":"https:\/\/www.investorlawyers.com\/blog\/?p=4269"},"modified":"2022-03-22T14:29:22","modified_gmt":"2022-03-22T19:29:22","slug":"securities-cases-sec-fines-credit-suisse-8m-improper-investments-5m-investment-fraud-case-leads-guilty-plea-florida-man-ordered-pay-back-investors-2-9m","status":"publish","type":"post","link":"https:\/\/www.investorlawyers.com\/blog\/securities-cases-sec-fines-credit-suisse-8m-improper-investments-5m-investment-fraud-case-leads-guilty-plea-florida-man-ordered-pay-back-investors-2-9m\/","title":{"rendered":"Securities Cases: SEC Fines Credit Suisse $8M Over Improper Investments, $5M Investment Fraud Case Leads to Guilty Plea, and Florida Man is Ordered to Pay Back Investors $2.9M"},"content":{"rendered":"<p>\t\t\t\t<strong>Credit Suisse Unit and Ex-Investment Adviser Settle SEC Charges, Pay $8M Fine<\/strong><br \/>\nCredit Suisse AG (CS) unit Credit Suisse Securities and Ex-investment adviser Sanford Michael Katz have settled SEC charges accusing them of<a href=\"https:\/\/www.stockbroker-fraud.com\"> improperly investing the funds<\/a> of clients in \u201cClass A\u201d mutual fund shares instead of \u201cinstitutional\u201d shares that were less costly. According to the regulator, the firm and Katz did not adequately disclose the conflict of interest presented by choosing the Class A investment, which allowed them to profit more at investors\u2019 expense. They are accused of breaching their fiduciary duties.<\/p>\n<p>The SEC\u2019s orders state that Credit Suisse made about $3.2M in 12b-1 fees that could have been avoided. According to the Commission, about $2.5M of those fees came from Katz\u2019s clients. The regulator said that the firm did not put into place policies and procedures to prevent fiduciary breaches.<\/p>\n<p>Both Credit Suisse and Katz settled the SEC charges without denying or admitting to the regulator\u2019s findings. Together, they have to pay over $3.2M of disgorgement, over $577K of prejudgment interest, and an over $4.1M penalty. A fair fund has been set up to compensate clients.<\/p>\n<p> <a href=\"https:\/\/www.investorlawyers.com\/blog\/securities-cases-sec-fines-credit-suisse-8m-improper-investments-5m-investment-fraud-case-leads-guilty-plea-florida-man-ordered-pay-back-investors-2-9m\/#more-4269\" class=\"more-link\">Continue Reading \u203a<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Credit Suisse Unit and Ex-Investment Adviser Settle SEC Charges, Pay $8M Fine Credit Suisse AG (CS) unit Credit Suisse Securities and Ex-investment adviser Sanford Michael Katz have settled SEC charges accusing them of improperly investing the funds of clients in \u201cClass A\u201d mutual fund shares instead of \u201cinstitutional\u201d shares that were less costly. According to [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"categories":[3817,3752,3760,3741],"tags":[],"class_list":["post-4269","post","type-post","status-publish","format-standard","hentry","category-credit-suisse","category-financial-firms","category-sec-enforcement","category-securities-fraud"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Securities Cases: SEC Fines Credit Suisse $8M Over Improper Investments, $5M Investment Fraud Case Leads to Guilty Plea, and Florida Man is Ordered to Pay Back Investors $2.9M &#8212; Investor Lawyers Blog &#8212; April 6, 2017<\/title>\n<meta name=\"description\" content=\"Credit Suisse Unit and Ex-Investment Adviser Settle SEC Charges, Pay $8M Fine Credit Suisse AG (CS) unit Credit Suisse Securities and Ex-investment &#8212; April 6, 2017\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.investorlawyers.com\/blog\/securities-cases-sec-fines-credit-suisse-8m-improper-investments-5m-investment-fraud-case-leads-guilty-plea-florida-man-ordered-pay-back-investors-2-9m\/\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:title\" content=\"Securities Cases: SEC Fines Credit Suisse $8M Over Improper Investments, $5M Investment Fraud Case Leads to Guilty Plea, and Florida Man is Ordered to Pay Back Investors $2.9M &#8212; Investor Lawyers Blog &#8212; April 6, 2017\" \/>\n<meta name=\"twitter:description\" content=\"Credit Suisse Unit and Ex-Investment Adviser Settle SEC Charges, Pay $8M Fine Credit Suisse AG (CS) unit Credit Suisse Securities and Ex-investment &#8212; April 6, 2017\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Shepherd Smith Edwards &amp; Kantas, LLP\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"Securities Cases: SEC Fines Credit Suisse $8M Over Improper Investments, $5M Investment Fraud Case Leads to Guilty Plea, and Florida Man is Ordered to Pay Back Investors $2.9M &#8212; Investor Lawyers Blog &#8212; April 6, 2017","description":"Credit Suisse Unit and Ex-Investment Adviser Settle SEC Charges, Pay $8M Fine Credit Suisse AG (CS) unit Credit Suisse Securities and Ex-investment &#8212; April 6, 2017","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/www.investorlawyers.com\/blog\/securities-cases-sec-fines-credit-suisse-8m-improper-investments-5m-investment-fraud-case-leads-guilty-plea-florida-man-ordered-pay-back-investors-2-9m\/","twitter_card":"summary_large_image","twitter_title":"Securities Cases: SEC Fines Credit Suisse $8M Over Improper Investments, $5M Investment Fraud Case Leads to Guilty Plea, and Florida Man is Ordered to Pay Back Investors $2.9M &#8212; Investor Lawyers Blog &#8212; April 6, 2017","twitter_description":"Credit Suisse Unit and Ex-Investment Adviser Settle SEC Charges, Pay $8M Fine Credit Suisse AG (CS) unit Credit Suisse Securities and Ex-investment &#8212; April 6, 2017","twitter_misc":{"Written by":"Shepherd Smith Edwards &amp; Kantas, LLP","Est. reading time":"3 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/www.investorlawyers.com\/blog\/securities-cases-sec-fines-credit-suisse-8m-improper-investments-5m-investment-fraud-case-leads-guilty-plea-florida-man-ordered-pay-back-investors-2-9m\/#article","isPartOf":{"@id":"https:\/\/www.investorlawyers.com\/blog\/securities-cases-sec-fines-credit-suisse-8m-improper-investments-5m-investment-fraud-case-leads-guilty-plea-florida-man-ordered-pay-back-investors-2-9m\/"},"author":{"name":"Shepherd Smith Edwards &amp; Kantas, LLP","@id":"https:\/\/www.investorlawyers.com\/blog\/#\/schema\/person\/e0240e0754684b69f7d6a7de1b9f1431"},"headline":"Securities Cases: SEC Fines Credit Suisse $8M Over Improper Investments, $5M Investment Fraud Case Leads to Guilty Plea, and Florida Man is Ordered to Pay Back Investors $2.9M","datePublished":"2017-04-07T00:23:15+00:00","dateModified":"2022-03-22T19:29:22+00:00","mainEntityOfPage":{"@id":"https:\/\/www.investorlawyers.com\/blog\/securities-cases-sec-fines-credit-suisse-8m-improper-investments-5m-investment-fraud-case-leads-guilty-plea-florida-man-ordered-pay-back-investors-2-9m\/"},"wordCount":606,"articleSection":["Credit Suisse","Financial Firms","SEC Enforcement","Securities Fraud"],"inLanguage":"en-US"},{"@type":"WebPage","@id":"https:\/\/www.investorlawyers.com\/blog\/securities-cases-sec-fines-credit-suisse-8m-improper-investments-5m-investment-fraud-case-leads-guilty-plea-florida-man-ordered-pay-back-investors-2-9m\/","url":"https:\/\/www.investorlawyers.com\/blog\/securities-cases-sec-fines-credit-suisse-8m-improper-investments-5m-investment-fraud-case-leads-guilty-plea-florida-man-ordered-pay-back-investors-2-9m\/","name":"Securities Cases: SEC Fines Credit Suisse $8M Over Improper Investments, $5M Investment Fraud Case Leads to Guilty Plea, and Florida Man is Ordered to Pay Back Investors $2.9M &#8212; Investor Lawyers Blog &#8212; April 6, 2017","isPartOf":{"@id":"https:\/\/www.investorlawyers.com\/blog\/#website"},"datePublished":"2017-04-07T00:23:15+00:00","dateModified":"2022-03-22T19:29:22+00:00","author":{"@id":"https:\/\/www.investorlawyers.com\/blog\/#\/schema\/person\/e0240e0754684b69f7d6a7de1b9f1431"},"description":"Credit Suisse Unit and Ex-Investment Adviser Settle SEC Charges, Pay $8M Fine Credit Suisse AG (CS) unit Credit Suisse Securities and Ex-investment &#8212; April 6, 2017","breadcrumb":{"@id":"https:\/\/www.investorlawyers.com\/blog\/securities-cases-sec-fines-credit-suisse-8m-improper-investments-5m-investment-fraud-case-leads-guilty-plea-florida-man-ordered-pay-back-investors-2-9m\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/www.investorlawyers.com\/blog\/securities-cases-sec-fines-credit-suisse-8m-improper-investments-5m-investment-fraud-case-leads-guilty-plea-florida-man-ordered-pay-back-investors-2-9m\/"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/www.investorlawyers.com\/blog\/securities-cases-sec-fines-credit-suisse-8m-improper-investments-5m-investment-fraud-case-leads-guilty-plea-florida-man-ordered-pay-back-investors-2-9m\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/www.investorlawyers.com\/blog\/"},{"@type":"ListItem","position":2,"name":"Securities Cases: SEC Fines Credit Suisse $8M Over Improper Investments, $5M Investment Fraud Case Leads to Guilty Plea, and Florida Man is Ordered to Pay Back Investors $2.9M"}]},{"@type":"WebSite","@id":"https:\/\/www.investorlawyers.com\/blog\/#website","url":"https:\/\/www.investorlawyers.com\/blog\/","name":"Investor Lawyers Blog","description":"Published By Investment Fraud Attorneys \u2014 Shepherd Smith Edwards &amp; Kantas, LLP","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/www.investorlawyers.com\/blog\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Person","@id":"https:\/\/www.investorlawyers.com\/blog\/#\/schema\/person\/e0240e0754684b69f7d6a7de1b9f1431","name":"Shepherd Smith Edwards &amp; Kantas, LLP","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/secure.gravatar.com\/avatar\/c7f8f04990816cd4044977eb59908da8c8d1ae487cc919cebd7027b74a0740a3?s=96&d=mm&r=g","url":"https:\/\/secure.gravatar.com\/avatar\/c7f8f04990816cd4044977eb59908da8c8d1ae487cc919cebd7027b74a0740a3?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/c7f8f04990816cd4044977eb59908da8c8d1ae487cc919cebd7027b74a0740a3?s=96&d=mm&r=g","caption":"Shepherd Smith Edwards &amp; Kantas, LLP"},"sameAs":["https:\/\/www.investorlawyers.com\/"]}]}},"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/pedX9K-16R","_links":{"self":[{"href":"https:\/\/www.investorlawyers.com\/blog\/wp-json\/wp\/v2\/posts\/4269","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investorlawyers.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investorlawyers.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investorlawyers.com\/blog\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investorlawyers.com\/blog\/wp-json\/wp\/v2\/comments?post=4269"}],"version-history":[{"count":1,"href":"https:\/\/www.investorlawyers.com\/blog\/wp-json\/wp\/v2\/posts\/4269\/revisions"}],"predecessor-version":[{"id":25010,"href":"https:\/\/www.investorlawyers.com\/blog\/wp-json\/wp\/v2\/posts\/4269\/revisions\/25010"}],"wp:attachment":[{"href":"https:\/\/www.investorlawyers.com\/blog\/wp-json\/wp\/v2\/media?parent=4269"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investorlawyers.com\/blog\/wp-json\/wp\/v2\/categories?post=4269"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investorlawyers.com\/blog\/wp-json\/wp\/v2\/tags?post=4269"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}