October 27, 2016

The SEC charged Los Angeles-based investment advisory firm Broidy Wealth Advisors and its owner Marc D. Broidy with fraudulently overbilling clients and stealing assets from client trust accounts to pay for personal expenses including a home mortgage, overseas trips, and leases on two Mercedes-Benz vehicles.  The SEC alleges that Broidy obtained more than $1.4 million in ill-gotten gains since February 2011.  Broidy allegedly billed clients approximately $643,000 in excess fees and covered it up by altering the amount of management fees recorded on forms issued by brokerage firms before sending the forms to his clients.  The SEC further alleges that Broidy fraudulently took approximately $865,000 from clients’ trust accounts on which he was trustee to pay personal expenses.  SEC

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