SEC Charges $138M Investment Adviser Fraud, 431 Investors Affected

The SEC charged registered investment adviser A.G. Morgan Financial Advisors LLC and its principals Vincent J. Camarda and James E. McArthur with an alleged $138 million offering fraud affecting at least 431 investors. The defendants allegedly recommended high-risk private equity funds while misrepresenting the risks and collecting fees that were not disclosed.

The enforcement action, filed April 3, 2026, represents one of the largest investment adviser fraud cases brought by the SEC this year. Regulators allege the advisers placed clients in funds that were unsuitable for their stated investment objectives and financial situations.

Compliance officers at registered investment advisory firms should review their fee disclosure practices and suitability determination documentation in light of this enforcement action.