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SEC Charges Financial Advisor Dawn Bennett With Inflating Assets and Exaggerating Returns

On September 9, 2015 the Securities and Exchange Commission (SEC) charged financial advisor Dawn J. Bennett with exaggerating the amount of assets managed by her firm, Bennett Group Financial Services, LLC, as well as the investment returns the firm obtained for investors.

Bennett began working in the securities industry in 1987. From 2006, until 2009, Bennett was registered with Royal Alliance Associates, Inc. From 2009, to the present Bennett has been registered with Western International Securities, Inc.

According to the SEC, Bennett has been inflating her firm’s numbers from at least 2009 to February 2011 in order to lure clients to her new firm. The SEC alleged that Bennett inflated the assets managed by her firm by as much as five (5) times the actual assets managed. Bennett claimed to have $2 billion in assets when in reality her firm managed no more than $407 million at any given time.

In addition, Bennett allegedly touted her firm’s high profitability on her radio program, “Financial Myth Busting”, saying that her firm’s high returns put the firm in the “top 1%” of firms in the world. However, the SEC stated that Bennett failed to disclose the returns were based on a model portfolio and not on any actual client returns. The SEC also alleged that Bennett made additional false statements in an effort to “cover up” her prior fraudulent claims concerning assets under management.

If you believe you have been the victim of stockbroker misconduct, you may wish to consult an attorney to find out more about your legal rights and options. Investors may contact a securities arbitration attorney at Law Office of Christopher J. Gray at (866) 966-9598 or newcases@investorlawyers.net for a no-cost, confidential consultation.

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