“SEC Warns Investment Advisers in Washington, D.C.”
On September 12, 2022, the Securities and Exchange Commission took action against Ruless Pierre, also known as Rules Pierre. The SEC filed an administrative proceeding against Pierre for his alleged involvement in a fraudulent scheme. Pierre, who resides in Miami, Florida, is accused of deceiving investors through false promises of high returns on their investments.
According to the SEC’s complaint, Pierre targeted members of the Haitian-American community, enticing them to invest in his company by promising substantial profits. He claimed that he had a successful track record in trading securities and could guarantee returns as high as 50% within a short period. However, instead of investing the money as promised, Pierre allegedly misappropriated investors’ funds for personal use.
The SEC’s investigation revealed that Pierre used investors’ money to pay for lavish personal expenses, including luxury cars, designer clothing, and expensive vacations. In addition, he allegedly diverted funds to repay earlier investors in a classic Ponzi scheme fashion. As a result, new investors’ funds were used to pay fake returns to earlier investors, creating the illusion of a profitable investment opportunity.
The SEC’s complaint further alleges that Pierre went to great lengths to cover up his fraudulent activities. He reportedly provided investors with falsified account statements showing fictitious profits and lied about the status of their investments when questioned. Despite his efforts to deceive investors, Pierre’s scheme eventually unraveled, leading to the SEC’s enforcement action against him.
In response to the SEC’s allegations, Pierre has denied any wrongdoing. He maintains that he acted in good faith and believed that his investment strategy would generate the promised returns for investors. Pierre has vowed to defend himself against the SEC’s charges and is prepared to contest the allegations in court.
The SEC’s enforcement action against Ruless Pierre serves as a reminder to investors to exercise caution when evaluating investment opportunities. It highlights the importance of conducting due diligence and verifying the credentials of individuals offering investment opportunities. By remaining vigilant and skeptical of promises of high returns with little to no risk, investors can protect themselves from falling victim to fraudulent schemes like the one allegedly perpetrated by Pierre.
As the case against Ruless Pierre unfolds, the SEC is committed to holding individuals who engage in fraudulent activities accountable for their actions. The outcome of this administrative proceeding will send a clear message that securities fraud will not be tolerated, and those who seek to defraud investors will face consequences for their misconduct.
