You’ve likely seen the headlines stemming from the Securities & Exchange Commission’s (SEC) recent court filing against a Chattanooga business and its president, alleging investment-related fraud. The case involves approximately 400 investors spread across at least 20 states. Consumers report they were guaranteed they would not lose their principal investment and that they would receive 6%-7% interest for two to three years for non-specific investments placed in an offered fund. Investors believed they would grow their retirement accounts, but the SEC’s complaint states that as of July 2021, involved investors were owed over $110 million in principal.

While the case is pending and the outcome likely won’t be determined until a jury trial takes place, some of the red flags outlined in the SEC’s complaint sound all too familiar.

For example, a case filed in March by the U.S. Commodity Futures Trading Commission (CFTC) and 30 states…

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