New York Securities Fraud Lawyers Blog
Michael J. Breton of Massachusetts was banned from the securities industry by the SEC according to a recent InvestmentNews report. According to the report, Mr. Breton cost his clients $1.3 million by “cherry-picking” trades – i.e., placing trades through one central account then allocating the profitable trades to himself and the losing trades to clients. This practice reportedly continued from 2011 to July of this past year.
On Wednesday, the SEC filed charges against Mr. Breton and Strategic Capital Management, Mr. Breton’s firm, in federal court in Massachusetts. Mr. Breton has agreed to plead guilty to criminal securities fraud and forfeit $1.3 million, per the report. According to InvestmentNews, the US Attorney’s Office has agreed to recommend a maximum sentence of no more than three years.