SEC v. Pathyam Patel

Pathyam Patel allegedly fraudulently induced at least 15 individuals to invest over $430,000 with his company, Infinity Wealth Management, LLC, by making numerous misrepresentations to clients about his and Infinity’s qualifications, licensure, and endorsement by the Commission, how he would invest their funds and the profitability of the investments, and by guaranteeing the principal they invested. According to the SEC’s complaint, from January 2019 through March 2023, deceived prospective and current clients by telling them Infinity was registered with the Commission as an investment adviser that offered investment portfolio management services, and that he would invest their money in various stocks and options as well as crypto assets. The complaint further alleges that, rather than invest his clients’ money as promised, Patel misappropriated most of their money to pay for personal expenses and to make Ponzi-like payments to other clients. The complaint also alleges that Patel further enriched himself by charging clients thousands of dollars in bogus fees.

Summary generated from official Securities and Exchange Commission press release