Ex-Transamerica Financial Advisors Broker Fined Over $747K

SEC Obtains Default Judgment Against Former Cincinnati, Ohio Registered Representative

The Securities and Exchange Commission (SEC) has obtained a default judgment against Scott Allen Fries. He was a Transamerica Financial Advisors registered representative from 2014 to 2019.

The regulator’s amended complaint accuses the former broker and investment advisor of raising approximately $458K from at least ten investors, including customers from the brokerage firm, and using the funds to pay for his personal expenses. Fries is barred from further fraud violations and must pay disgorgement of $428,334.53, a civil penalty of $208,500, and a prejudgment interest of $110,548.02.

Our savvy broker misconduct attorneys are investigating claims of losses by former customers of Scott Fries. Contact us today at Shepherd Smith Edwards and Kantas (SSEK Law Firm at investorlawyers.com) to explore your legal options.

Ex-Transamerica Financial Advisors Broker is Accused of Misconduct & Lying to Customers

The regulator contends that the ex-Transamerica Financial Advisors broker allegedly concealed his misconduct by lying to investors about the status of their investments. He also set up and distributed false account statements that supposedly showed profits and paid off one couple after they discovered he had sent them a bogus statement. Fries also lied to his employer about receiving investment money from brokerage clients.

In August 2019, the FINRA permanently barred Fries in all capacities. The ex-broker failed to respond to the self-regulatory organization (SRO)’s request for more information in their investigation. The bar came a month after Transamerica Financial Advisors fired him for allegedly accepting money to sell away, which purportedly included investing in securities products not approved by the firm.

The SEC filed its original civil complaint against Fries in 2020. In Miami County, Ohio, the following year, he pleaded not guilty to criminal charges involving securities fraud, theft, and theft from a protected person.

According to his BrokerCheck record, other financial firms where Fries used to work as a registered representative include NYLIfe Securities, World Group Securities, WMA Securities, InterSecurities, and PFS Investments.

Skilled Investor Lawyers Pursuing Broker-Dealers For Financial Advisor Misconduct

Brokerage firms, such as Transamerica Financial Advisors, may be held liable for damages if their failure to supervise, detect, or prevent wrongdoing leads to investor losses. Call our securities lawyers at (800) 259-9010 today to request your free, no-obligation case consultation.