SEC Obtains Final Judgement Against Broker Who Defrauded Senior Clients
The Securities and Exchange Commission has obtained a final judgement against Anthony B. Liddle, formerly of Wausau, Wisconsin, who operated Prosper Wealth Management, LLC, an investment adviser formerly registered in Wisconsin.
As previously reported by The DI Wire, Liddle had been charged with defrauding at least 13 investment advisory clients of approximately $1.9 million.
The SEC’s complaint, filed on January 24, 2023, alleged that Liddle, while acting as an investment adviser, fabricated documents and made misrepresentations to clients, many of whom were senior citizens. Liddle misrepresented that these clients’ portfolios had become too risky and needed to be replaced with less risky securities. These “less risky” securities, however, were often rated as high risk and were also unavailable.
According to the complaint, Liddle had advisory clients send money directly to Prosper Wealth Management, where Liddle misappropriated client funds and never invested the money on his clients’ behalf. The complaint also alleges that Liddle fabricated statements and made purported investment payments to advisory clients that were coming from defrauded client funds.
The final judgment, which was entered by consent, enjoins Liddle from future violations of the various antifraud provisions and also bars Liddle from acting as an officer or director of any public company. The judgment also orders Liddle to pay disgorgement of $1,662,041.80. According to the judgment, this obligation has been deemed fully satisfied by the entry of a restitution order in a parallel criminal case, in which Liddle pleaded guilty to one count of wire fraud and one count of money laundering and was sentenced to serve 97 months in prison.
According to BrokerCheck, Liddle began working in the finance industry in 2008 with Eliason Financial Group LLC. He was there for two years before moving to Western International Securities Inc. in 2012 and remained there for seven years. Liddle moved to Landolt Securities Inc. in 2022 and stayed for two years before he was barred in June 2022.
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