A Wisconsin investment advisor is facing charges that he defrauded more than 100 advisory clients, many of them elderly.
The Securities and Exchange Commission filed a complaint in the Western District of Wisconsin on Thursday against Michael F. Shillin, alleging that he fabricated documents and lied to his clients about the true value of their investments. He falsely told them they had successfully subscribed for IPO or pre-IPO shares in high-profile companies, the commission said.
According to the complaint, several clients were also encouraged by Shillin to shift existing life insurance policies into new policies. As a result, they had to sell securities to pay premiums for non-existent policies or ones that had far fewer benefits than Shillin claimed, the SEC said. He allegedly gained hundreds of thousands of dollars as the result of his actions.
Shillin was charged by the SEC with three counts: violating the antifraud provisions of Section 17(a) of the Securities Act of 1933, Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder, and Sections 206(1) and (2) of the Investment Advisers Act of 1940. The commission is seeking to have Shillin disgorge his ill-gotten gains with interest along with paying a civil penalty, and also seeks to bar him from him serving as an officer or director of a public company.
If you believe you have been the victim of financial advisor fraud, contact Lewitas Hyman immediately. Our experienced Chicago-based financial advisor fraud attorneys can aggressively fight for your rights. Schedule a free consultation with us today, online or by calling (888) 655 6002.