The Securities and Exchange Commission has put an emergency asset freeze and issued a temporary restraining order against a Chicago RIA, saying that the adviser and his firm scammed elderly clients out of millions of dollars.
Daniel H. Glick and his unregistered firm, Financial Management Strategies, are accused of providing his senior clients with false account statements and promising them that he would pay their bills, pay their taxes and invest on their behalf, the
Securities and Exchange Commission said in a release. Instead, Mr. Glick — who was barred from the securities industry by the Financial Industry Regulatory Authority Inc. in 2014 and had his certified financial planner designation and his certified public accountant license revoked for conduct unrelated to the SEC charge — pocketed the money.
"In reality, Daniel Glick used much of their money to do what was best for Daniel Glick," said David Glockner, director of the SEC's Chicago Regional Office, noting that the money was used to pay Mr. Glick's personal and business expenses, buy a Mercedes-Benz and pay off loans.
Also named in the complaint were Glick Accounting Services, Mr. Glick's business partner David B. Slagter, and a business acquaintance, Edward H. Forte. The SEC said it named the three as relief defendants in order to recover client funds that Mr. Glick transferred or paid them in the form of advances or loans.
The court issued a temporary restraining order against Mr. Glick and his firm at the SEC's request, and issued an order freezing the assets of Mr. Glick, Financial Management Strategies and Glick Accounting Services.
