A former Connecticut stock promoter is accused in a civil fraud suit with scalping investors of more than $2.4 million, authorities say.
The Securities and Exchange Commission announced Monday a civil lawsuit against Jerry S. Williams, formerly of Norwich, and two of his companies.
From early 2009 through at least the end of 2010, Williams, also known as “Monk,” recommended Cascadia Investments Inc. and Green Oasis Environmental Inc. to potential investors who followed his trading strategies online.
Williams falsely stated that he previously used this strategy, and unknown to investors, was hired by both companies to promote their stocks while being compensated with millions of free and discounted shares of these stocks.
Williams then immediately sold the shares at a profit upon the rise in the market price.
Meantime, the SEC says its investigation is ongoing, which could likely lead to criminal charges.
Williams could not be located Monday for comment.
