In its continuing efforts to investigate, detect and prosecute investment adviser fraud, the US Securities and Exchange Commission filed civil charges agains Investment Adviser Amrit J.S. Chahal alleging that since February 2015 he utilized his company, Kane Capital Investment Group, to fraudulently raise almost $1.5 million from approximately 50 individual investors.
Chahal duped his investors by misrepresenting to be a successful securities trader capable of delivering superior market returns via a purported low-risk trading strategy, the SEC Complaint contends. In truth, the SEC alleges, Chahal had no meaningful experience in the financial industry or securities trading on clients’ behalves. The SEC further claims Chahal at first invested client monies in varied investments, but sustained major trading losses and, instead of truthfully disclosing his losses to investors, he lied and continued to raise investor capital. In a sinister accusation, the SEC contends Cahal used investor funds earmarked for trading for his own personal use, including to buy a luxury car, to pay rent and to travel, as well as to return monies to earlier investors in Ponzi-like payments.
The federal criminal authorities were sufficiently bothered by Cahal’s conduct such that the U.S. Attorney’s Office for the Eastern District of Virginia filed criminal charges against him. If he did not have enough problems, the Commodities Futures Trading Commission also piled on, filing civil charges as well. He now faces three separate Government legal actions from three agencies. I can’t even imagine his legal bill for this mess.
David Chase, a SEC defense attorney and securities lawyer, was a former SEC Enforcement attorney who now represents individuals under investigation by the SEC, FINRA and state securities regulatory bodies. His SEC law firm is located in Fort Lauderdale, but handles the defense of securities investigations and enforcement cases nationwide.
If you have received an SEC Subpoena, contact securities lawyer David Chase, an SEC defense attorney, for a confidential consultation on your legal rights, the SEC investigatory process and its potential consequences. Call SEC defense attorney, David Chase, toll-free 800-760-0912 or contact him via email at: david@davidchaselaw.com.
