A jury has found Howard Present, co-founder and former CEO of F-Squared Investments, guilty of defrauding investors.
Stephanie Avakian, co-director of the Securities and Exchange Commission‘s Enforcement Division, said in a Friday statement that the agency was “very pleased with the jury’s verdict finding Mr. Present liable for defrauding investors.”
As the securities regulator “proved at trial, Mr. Present perpetuated F-Squared’s admittedly false and misleading claims through statements and advertisements made to the investing public,” added Steven Peikin, co-director of the SEC’s enforcement division, in the statement.
F-Squared Investments agreed in 2014 to pay $35 million and admit wrongdoing to settle charges that it defrauded investors through false performance advertising about its flagship product, according to a Dec. 22 SEC announcement.
The SEC also charged Present separately with making false and misleading statements to investors as the public face of F-Squared.