Plymouth Investment Adviser Charged with Defrauding Investors of $4 Milion

A Plymouth man had his license as an investment advisor revoked and faces criminal charges that he defrauded investors of nearly $4 million in a foreign currency exchange investments through his firm, EagleEye Asset Management, LLC. 

The federal Securities and Exchange Commission permanently revoked EagleEye's registration as an investment advisor and "permanently barred Liskov from association with any investment adviser, broker, dealer, municipal securities dealer, municipal advisor, transfer agent, and nationally recognized statistical rating organization," according to a release from the SEC.

The U.S. Attorney for Massachusetts filed charges against Liskov July 1 on a single count of violating the Investment Advisers Ave of 1940. The Securities and Exchange Commission previously filed a civil complaint against Liskov for defrauding advisory clients in connection with foreign currently exchange investments. The criminal charge is "substantially similar to those in the Commission's complaint in the civil case," according to the SEC.

The Commission’s original complaint in the civil case was filed September 2011. THe complaint alleged that, between at least November 2008 and August 2010, Liskov made material misrepresentations to several advisory clients to induce them to liquidate investments in securities and instead invest in foreign currency. 

The investments resulted in client losses totaling nearly $4 million, while EagleEye and Liskov came away with over $300,000 in performance fees, in addition to other management fees they collected from clients. The Commission alleged that Liskov’s strategy was to generate temporary profits on client forex investments to enable him to collect performance fees, after which client forex investments invariably quickly declined in value.

In 2012 a federal court jury in Boston, Massachusetts returned a verdict of securities fraud liability against EagleEye and Liskov.

Read the full history of the case through these links: 

• http://www.sec.gov/alj/aljdec/2013/id497ce.pdf
• http://www.sec.gov/alj/aljdec/2013/id498ce.pdf 
• http://www.sec.gov/litigation/litreleases/2011/lr22086.htm
• http://www.sec.gov/litigation/litreleases/2012/lr22546.htm
• http://www.sec.gov/litigation/litreleases/2012/lr22570.htm
• http://www.sec.gov/litigation/admin/2012/ia-3527.pdf
• http://www.sec.gov/litigation/admin/2012/ia-3528.pdfhttp://www.sec.gov/litigation/litreleases/2013/lr22743.htm