Mark Joseph Boucher and his firm, Strategic Wealth Advisor Group Services Inc. (SWAG), faced serious fraud charges from the Securities and Exchange Commission (SEC). On February 8, 2022, the U.S. District Court for the Southern District of California ruled against Boucher and SWAG.
The SEC accused them of misusing over $2.2 million from client accounts for personal expenses, including buying a Chevrolet Camaro. This case broke several laws, such as parts of the Securities Act of 1933, the Securities Exchange Act of 1934, and the Investment Advisers Act of 1940.
Boucher and SWAG failed to defend themselves well against the SEC’s claims. As a result, the SEC wants to stop them from working in finance, make them pay back the money with interest, and fine them.
The Financial Industry Regulatory Authority (FINRA) also stepped in, banning Boucher from working as a broker on December 13, 2022. This case shows how financial advisors can abuse their power.
The next sections will explore the details of Boucher’s actions and the consequences he faces.
Key Takeaways
Table of Contents
- Mark Joseph Boucher, a former investment advisor, stole over $2.2 million from clients’ accounts between 2010-2020 for personal use.
- The SEC filed charges against Boucher on August 25, 2020, for violating antifraud rules and the Investment Advisers Act.
- On February 8, 2022, the court found Boucher liable for the alleged violations in a summary judgment.
- Boucher pleaded guilty to one count of wire fraud in a related criminal case.
- FINRA suspended Boucher from associating with any member firm for two years on December 13, 2022.
Overview of Allegations Against Mark Joseph Boucher
Mark Joseph Boucher faced serious claims about his financial practices. The SEC accused him of taking client money and making unapproved money moves.
Misappropriation of Client Funds
Mark Joseph Boucher stole over $2.2 million from his clients’ accounts. He moved money without permission to his own accounts and used it for personal stuff. Boucher paid his credit card bills and bought things like vacations with the stolen cash.
He even forged client signatures on checks to take more money. In one case, Boucher bought a Chevrolet Camaro with client funds and then sold it back to them.
This misuse of client money breaks major rules for investment advisors. The Securities and Exchange Commission (SEC) takes these actions very seriously. They see it as a violation of the trust between advisors and their clients.
Such behavior can lead to big legal troubles and harm an advisor’s career for good.
Unauthorized Transfers and Transactions
Boucher’s misuse of client funds went beyond simple theft. He also made unauthorized transfers from client accounts to his own. The SEC found that Boucher moved money without permission between 2010 and 2020.
He forged client signatures on checks to access their funds. Boucher then used this money for his personal expenses, like paying credit card bills.
These illegal actions broke several laws. The SEC charged Boucher with violating the Securities Act of 1933 and the Investment Advisers Act of 1940. As a result, the SEC is now trying to get back the money from these unauthorized transfers.
This case shows how some financial advisors abuse their clients’ trust for personal gain.
Securities and Exchange Commission (SEC) Actions
The SEC filed charges against Mark Joseph Boucher for breaking securities laws. They claimed he misused client money and made illegal trades without permission.
Legal Proceedings and Charges
The SEC filed charges against Mark Joseph Boucher on August 25, 2020. The case, numbered 3:20-CV-01650, accused Boucher of breaking antifraud rules and parts of the Investment Advisers Act.
On February 8, 2022, the court granted summary judgment for liability against Boucher. This ruling found him responsible for the alleged violations.
Boucher tried to pause the SEC case due to an ongoing criminal matter. The court denied this request. Later, Boucher admitted guilt to one count of wire fraud in the criminal case.
The SEC provided more details about the case in Litigation Release Number 24875. These legal actions aimed to address claims of misuse of client funds and unauthorized transactions.
FINRA Involvement and Disciplinary Actions
FINRA suspended Mark Joseph Boucher from associating with any FINRA member firm for two years. Read on to learn more about the case and its impacts.
Suspension Details
FINRA took action against Mark Joseph Boucher on December 13, 2022. They suspended him from working as a broker. This means Boucher can’t act as a financial middleman for a set time.
The suspension details are listed in a report on FINRA’s website. Anyone can read this report to learn more about why FINRA punished Boucher.
The disciplinary report gives key facts about Boucher’s case. It shows his CRD number (#2187695) and notes he’s from Carlsbad, California. FINRA’s website has easy-to-use menus to help people find this info.
If someone has trouble finding the report, they can ask FINRA’s support team for help.
Conclusion
Mark Joseph Boucher’s case shows the serious consequences of financial fraud. The SEC’s actions against Boucher and SWAG highlight the need for strict oversight in investment advising.
Clients must stay vigilant and check their accounts often for odd activity. The court’s ruling sends a clear message: advisors who misuse client funds face harsh penalties. This case serves as a warning to all in the financial industry.
Investors should research advisors thoroughly and report any suspicious behavior to protect their assets.
