Atlanta-Based Adviser Charged with Misappropriating Client Funds

September 11, 2013

The SEC charged Paul Marshall, a state-registered investment adviser representative, and three Atlanta-based companies that he owned and controlled, Bridge Securities, LLC, Bridge Equity, Inc. and FOGFuels, Inc. with misappropriating client funds. According to SEC, since at least 2011, Marshall, an investment adviser representative of the Bridge entities, misappropriated at least $2 million from advisory clients.  The SEC further alleges that Marshall instructed clients, some of whom were elderly, to transfer funds to bank accounts under his control for purported investment in various securities, including mutual funds. Instead, the SEC found that Marshall used those client funds to pay personal expenses, including luxury vacations and private school tuition for his children. The SEC also alleges that Marshall concealed his fraud by providing advisory clients with fabricated account statements.
Click here to access the administrative action.


Investment Advisers, Investment Companies