SEC Charges Meyer Global, CEO Over Alleged Retail Investor Fraud
The SEC alleges client assets were misused and a fund forfeited nearly $3 million invested in SpaceX after a capital call deficiency.
The Securities and Exchange Commission charged Meyer Global Management LLC and CEO Owen E.H. Meyer on Sept. 30, alleging a series of schemes that misused investor money and damaged private funds holding SpaceX and other pre-IPO securities.
The SEC’s complaint alleges the conduct began at least in December 2021 and continued through the filing. In at least three schemes, Meyer and the firm allegedly diverted client assets to cover Meyer’s personal expenses.
The complaint also alleges that investor statements were manipulated to show higher account values. In another case involving three managed funds, investors allegedly received less than they were owed and had to sign releases accepting the reduced distributions to receive any payment.
A separate alleged failure to address a capital call deficiency caused one fund to forfeit its nearly $3 million investment in SpaceX, the complaint says.
Filed in the U.S. District Court for the Southern District of New York, the case accuses the defendants of violating the antifraud provisions of the Investment Advisers Act of 1940. The SEC is seeking permanent injunctions, repayment of allegedly ill-gotten gains with interest and civil penalties, along with a conduct-based injunction against Meyer.
