The SEC has filed charges and obtained an asset freeze against investment adviser Ash Narayan for allegedly siphoning millions of dollars from accounts he managed for professional athletes and investing them in The Ticket Reserve, a struggling online sports and entertainment ticket business on whose board he served. The SEC’s complaint alleges that Narayan transferred $33 million from clients’ accounts to The Ticket Reserve, typically without their knowledge or consent and often using forged or unauthorized signatures. Narayan received nearly $2 million in hidden compensation from the company, most of it directly traceable to funds stolen from his clients. According to the SEC’s complaint, The Ticket Reserve also made Ponzi-like payments to existing investors using money from the new investors. The SEC also charged The Ticket Reserve CEO Richard Harmon and COO John Kaptrosky with participating in the scheme by making undisclosed finder’s fee to payments to Narayan out of his clients’ funds and approving and executing Ponzi-like payments. SEC
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