{"id":635,"date":"2010-01-26T22:58:02","date_gmt":"2010-01-26T22:58:02","guid":{"rendered":"https:\/\/www.stockbrokerfraudblog.com\/2010\/01\/former_southwest_securities_br"},"modified":"2010-01-26T22:58:02","modified_gmt":"2010-01-26T22:58:02","slug":"former-southwest-securities-br","status":"publish","type":"post","link":"https:\/\/www.investorlawyers.com\/blog\/former-southwest-securities-br\/","title":{"rendered":"Former Southwest Securities Broker\u2019s Lifetime Industry Bar for Texas Securities Fraud is Affirmed, Says Appeals Court"},"content":{"rendered":"

\t\t\t\tThe U.S. Court of Appeals for the Fifth Circuit has affirmed the Securities and Exchange Commission’s lifetime bar against a former Southwest Securities Inc. stockbroker. Scott Gann, who allegedly committed Texas securities fraud<\/a>, is no longer allowed to associate with dealers, investment advisers, and brokers.<\/p>\n

The SEC imposed the permanent bar against Gann because of his alleged involvement in a mutual fund market timing scheme. The appeals court says that the SEC’s ruling is not an abuse of discretion and is supported by the record.<\/p>\n

Gann and George Fasciano, also a former Southwest Securities broker, are accused of engaging in market timing trades for Haidar Capital Management and Capital Advisor. They allegedly got around the rules of some of the mutual funds that prohibit market timing by using multiple representatives and account numbers. Despite receiving 69 block notices from 34 mutual funds, their strategy allowed them to continue executing market timing trades.<\/p>\n

The SEC filed an enforcement action in federal district court accusing the two men of violating the 1934 Securities Exchange Act Section 10(b). Fasciano settled before the case went to trial.<\/p>\n

The district court held that Gann was in violation of Section 10(b). An SEC administrative law judge then entered a permanent associational bar against the ex-Southwest Securities broker. The SEC affirmed the bar, as did the appeals court.<\/p>\n

The appeals court also noted that as Gann is convinced he did not engage in any wrongdoing even though the SEC and two courts found that Gann acted wrongfully-there is no guarantee he won’t commit future violations.<\/p>\n

Related Web Resources: <\/strong>
\nGann v. SEC<\/a>, SEC.gov (PDF)<\/p>\n

1934 Securities Exchange Act<\/a>, Cornell University Law School Continue Reading \u203a<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

The U.S. Court of Appeals for the Fifth Circuit has affirmed the Securities and Exchange Commission’s lifetime bar against a former Southwest Securities Inc. stockbroker. Scott Gann, who allegedly committed Texas securities fraud, is no longer allowed to associate with dealers, investment advisers, and brokers. The SEC imposed the permanent bar against Gann because of […]<\/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":[3752,3749,3760,3842,3750],"tags":[],"class_list":["post-635","post","type-post","status-publish","format-standard","hentry","category-financial-firms","category-market-timing","category-sec-enforcement","category-southwest-securities","category-texas-securities-fraud"],"yoast_head":"\nFormer Southwest Securities Broker\u2019s Lifetime Industry Bar for Texas Securities Fraud is Affirmed, Says Appeals Court — Investor Lawyers Blog — January 26, 2010<\/title>\n<meta name=\"description\" content=\"The U.S. Court of Appeals for the Fifth Circuit has affirmed the SEC's lifetime bar against a former Southwest Securities Inc. stockbroker.\" \/>\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\/former-southwest-securities-br\/\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:title\" content=\"Former Southwest Securities Broker\u2019s Lifetime Industry Bar for Texas Securities Fraud is Affirmed, Says Appeals Court — Investor Lawyers Blog — January 26, 2010\" \/>\n<meta name=\"twitter:description\" content=\"The U.S. Court of Appeals for the Fifth Circuit has affirmed the SEC's lifetime bar against a former Southwest Securities Inc. stockbroker.\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Shepherd Smith Edwards & Kantas, LLP\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"2 minutes\" \/>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"Former Southwest Securities Broker\u2019s Lifetime Industry Bar for Texas Securities Fraud is Affirmed, Says Appeals Court — Investor Lawyers Blog — January 26, 2010","description":"The U.S. Court of Appeals for the Fifth Circuit has affirmed the SEC's lifetime bar against a former Southwest Securities Inc. stockbroker.","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\/former-southwest-securities-br\/","twitter_card":"summary_large_image","twitter_title":"Former Southwest Securities Broker\u2019s Lifetime Industry Bar for Texas Securities Fraud is Affirmed, Says Appeals Court — Investor Lawyers Blog — January 26, 2010","twitter_description":"The U.S. Court of Appeals for the Fifth Circuit has affirmed the SEC's lifetime bar against a former Southwest Securities Inc. stockbroker.","twitter_misc":{"Written by":"Shepherd Smith Edwards & Kantas, LLP","Est. reading time":"2 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/www.investorlawyers.com\/blog\/former-southwest-securities-br\/#article","isPartOf":{"@id":"https:\/\/www.investorlawyers.com\/blog\/former-southwest-securities-br\/"},"author":{"name":"Shepherd Smith Edwards & Kantas, LLP","@id":"https:\/\/www.investorlawyers.com\/blog\/#\/schema\/person\/e0240e0754684b69f7d6a7de1b9f1431"},"headline":"Former Southwest Securities Broker\u2019s Lifetime Industry Bar for Texas Securities Fraud is Affirmed, Says Appeals Court","datePublished":"2010-01-26T22:58:02+00:00","mainEntityOfPage":{"@id":"https:\/\/www.investorlawyers.com\/blog\/former-southwest-securities-br\/"},"wordCount":322,"articleSection":["Financial Firms","Market Timing","SEC Enforcement","Southwest Securities","Texas Securities Fraud"],"inLanguage":"en-US"},{"@type":"WebPage","@id":"https:\/\/www.investorlawyers.com\/blog\/former-southwest-securities-br\/","url":"https:\/\/www.investorlawyers.com\/blog\/former-southwest-securities-br\/","name":"Former Southwest Securities Broker\u2019s Lifetime Industry Bar for Texas Securities Fraud is Affirmed, Says Appeals Court — Investor Lawyers Blog — January 26, 2010","isPartOf":{"@id":"https:\/\/www.investorlawyers.com\/blog\/#website"},"datePublished":"2010-01-26T22:58:02+00:00","author":{"@id":"https:\/\/www.investorlawyers.com\/blog\/#\/schema\/person\/e0240e0754684b69f7d6a7de1b9f1431"},"description":"The U.S. Court of Appeals for the Fifth Circuit has affirmed the SEC's lifetime bar against a former Southwest Securities Inc. stockbroker.","breadcrumb":{"@id":"https:\/\/www.investorlawyers.com\/blog\/former-southwest-securities-br\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/www.investorlawyers.com\/blog\/former-southwest-securities-br\/"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/www.investorlawyers.com\/blog\/former-southwest-securities-br\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/www.investorlawyers.com\/blog\/"},{"@type":"ListItem","position":2,"name":"Former Southwest Securities Broker\u2019s Lifetime Industry Bar for Texas Securities Fraud is Affirmed, Says Appeals Court"}]},{"@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 & 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 & 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 & Kantas, LLP"},"sameAs":["https:\/\/www.investorlawyers.com\/"]}]}},"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/pedX9K-af","_links":{"self":[{"href":"https:\/\/www.investorlawyers.com\/blog\/wp-json\/wp\/v2\/posts\/635","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=635"}],"version-history":[{"count":0,"href":"https:\/\/www.investorlawyers.com\/blog\/wp-json\/wp\/v2\/posts\/635\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.investorlawyers.com\/blog\/wp-json\/wp\/v2\/media?parent=635"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investorlawyers.com\/blog\/wp-json\/wp\/v2\/categories?post=635"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investorlawyers.com\/blog\/wp-json\/wp\/v2\/tags?post=635"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}