SEC v. P/E Capital Investment Management Partners - Improper Fee Enforcement

SEC Litigation Releases

Filed March 31st, 2026

Detected April 1st, 2026

Summary

The SEC obtained final judgments against Chicago-based investment adviser P/E Capital Investment Management Partners and its CEO Eliseo Prisno for charging over 200 advisory clients approximately $2.4 million in unauthorized and undisclosed quarterly fees between February 2019 and July 2023. The judgments permanently enjoin both defendants from violating antifraud provisions of the Investment Advisers Act and bar Prisno from the securities industry.

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What changed

On March 10 and March 26, 2026, the United States District Court for the Northern District of Illinois entered final judgments against P/E Capital Investment Management Partners and its CEO Eliseo Prisno for violating Sections 206(1) and 206(2) of the Investment Advisers Act of 1940. The defendants allegedly charged more than 200 advisory clients approximately $2.4 million in unauthorized fees and in some instances deceptively accessed client accounts to approve such fees without client knowledge or consent.

The judgments permanently enjoin the defendants from violating antifraud provisions, order disgorgement with prejudgment interest and civil penalties (amounts to be determined), and bar Prisno from acting as or being associated with any broker, dealer, or investment adviser. Other investment advisers should review their fee disclosure practices and client account access procedures to ensure compliance with Investment Advisers Act requirements.

What to do next

Review investment adviser fee disclosure practices to ensure all fees are properly disclosed and authorized by clients
Audit client account access procedures to confirm compliance with client authorization requirements
Ensure client approval documentation is obtained and retained for all fee assessments

Penalties

Permanent injunction from antifraud provisions; disgorgement with prejudgment interest; civil penalty (amount to be determined by Court); permanent industry bar for Prisno

Source document (simplified)

Eliseo Prisno and P/E Capital Investment Management Partners

U.S. SECURITIES AND EXCHANGE COMMISSION

Litigation Release No. 26515/ March 31, 2026

Securities and Exchange Commission v. Eliseo Prisno (a/k/a Jojo Prisno) and PE Capital Investment Management Partners, No. 25-civ-07491 (N.D. Ill. filed July 3, 2025)

SEC Obtains Judgments as to Chicago-Based Investment Adviser and Its CEO for Allegedly Charging Improper Fees

On March 10 and March 26, 2026, the United States District Court for the Northern District of Illinois entered judgments in the SEC’s enforcement action against P/E Capital Investment Management Partners and its CEO, Eliseo Prisno.

According to the SEC’s complaint, filed on July 3, 2025, from at least February 2019 through at least July 2023, Prisno and P/E Capital charged more than 200 advisory clients approximately $2.4 million in unauthorized and undisclosed quarterly fees. In some instances, the complaint alleges, Prisno and P/E Capital deceptively accessed client accounts using their clients’ login credentials—frequently without their clients’ knowledge or consent—to approve such fees.

Without admitting or denying the SEC’s allegations, Prisno and P/E Capital consented to entry of the judgments, which permanently enjoin Prisno and P/E Capital from violating the antifraud provisions of Sections 206(1) and 206(2) of the Investment Advisers Act of 1940. The judgments also order each defendant to pay disgorgement with prejudgment interest and a civil penalty, with the amounts to be determined by the Court upon motion of the SEC. Finally, the judgment as to Prisno enjoins him from acting as or being associated with any broker, dealer, or investment adviser, either permanently or for a specified duration, to be determined by the Court upon motion of the SEC.

The SEC's litigation is being conducted by Jonathan Polish and Alyssa Qualls of the SEC’s Chicago Regional Office, and Daniel Griffin of the Division of Enforcement’s Asset Management Unit.