Publicly available records provided by the Securities and Exchange Commission (SEC) indicate that administrative proceedings were recently brought against investment advisory firm, Temenos Advisory, Inc. (CRD # 108458/SEC # 801-56486) (“Temenos”) pursuant to Section 203(e) of the Investment Advisers Act of 1940 (“Advisers Act”). Specifically, on July 14, 2020, the SEC issued an Order in the proceedings revoking Temenos’ registration as an investment advisor. The administrative proceeding was brought after a final Judgement was entered against Temenos from an earlier related civil action brought by the SEC.
The Law Office of Kevin J. Deloatch, Esq. is interested in speaking to investors who have complaints regarding Temenos.
Registration Background for Temenos Advisory, Inc.
Prior to the Order, Temenos was a SEC-registered investment adviser headquartered in Litchfield, CT. It had been registered with the SEC since 1999. George L. Taylor, is/was the CEO, founder, Chief Compliance Officer, and majority owner of the company.
SEC’s Findings against Temenos Advisory, Inc.
The SEC’s July 14, 2020 Order makes clear that in anticipation of the institution of the SEC’s administrative proceedings, Temenos submitted an Offer of Settlement (the “Offer”) in which it consented to, without either admitting to or denying, the following findings of the SEC:
- “On June 30, 2020, a final judgment was entered by consent against Temenos, permanently enjoining it from future violations of Sections 206(1), (2), and (4) of the Advisers Act, and Rule 206(4)-7 thereunder, and Section 15(a) of the Exchange Act, in the civil action entitled Securities and Exchange Commission v. George L. Taylor, et al., Civil Action Number 3:18-cv01180, in the United States District Court for the District of Connecticut”;
- “The Commission’s complaint alleged that Taylor and Temenos defrauded their advisory clients and prospective clients by steering the clients into unsuitable investments and by hiding commissions and other financial incentives that Temenos and Taylor were pocketing, on top of the advisory fees that the clients were paying for supposedly unbiased financial advice”;
- “Temenos and Taylor repeatedly downplayed or concealed risks, and overstated potential gains, associated with a series of illiquid private placements that they advised their clients and prospective clients to invest in”; and
- “Taylor and Temenos promoted the investments and pocketed commissions—a percentage of each client’s investment—from the private placement companies, thereby illegally acting as unregistered broker-dealers.”
The SEC Sanctions Temenos Advisory, Inc.
As a result of the above described Offer and findings, the SEC’s July 14, 2020 Order also indicates that Temenos consented to the following sanction:
- The revocation of its registration as an investment advisor with the SEC.
If you or someone you know has or had an investment advisory relationship with Temenos Advisory, Inc. and have concerns regarding losses in your investments or possible sales practice violations including fraud, you may be entitled to recover lost funds. The Law Office of Kevin J. Deloatch, Esq. has an extensive securities law practice and over 30 years of experience on Wall Street. Call today at (646) 792-2156 for a free consultation. The time to file your claim may be limited so you should call today to avoid delay.
