# SEC Targets Two Private Funds Over Alleged Pre-IPO Share Fraud

By Riza Dagoc

Canonical URL: https://www.tokenpost.com/news/regulation/25995
Published: 2026-10-01T00:19:48.000Z
Updated: 2026-10-01T00:19:48.000Z
Section: Regulation

> The agency alleges investors were misled about access to OpenAI, SpaceX and other private-company shares, while some funds were used for personal expenses and trading losses.

The Securities and Exchange Commission has brought enforcement actions involving two private-fund operations accused of misleading investors about access to pre-IPO shares in companies including OpenAI, SpaceX and xAI.

Meyer Global Management and its head, Owen Meyer, allegedly raised at least $18.5 million from nearly 100 investors for pre-IPO investments. The SEC alleges that at least $1.27 million was diverted to personal purchases, entertainment expenses and personal investments. It also alleges that funds created to invest in OpenAI and SpaceX did not always hold those assets.

In the second case, Beyond Alpha Ventures leaders Christopher Dinelli and Jacob Frankel allegedly collected more than $8.7 million from 35 investors. The SEC and federal prosecutors allege that the pair falsely promoted holdings in SpaceX and xAI and distributed fabricated investment reports. Some of the money was allegedly used for options trading, film investments and personal purposes.

The cases underscore regulatory scrutiny of private investment products marketed around access to highly sought-after pre-IPO shares. The SEC said the technology companies named in the allegations, along with their management teams, were not accused of misconduct.