SEC v. Jose D. Rocha, No. LR-25800, District of Massachusetts (Aug. 3, 2023) — Press Release
raw: Jose D. Rocha
Jose D. Rocha, No. 1:23-cv-11779 (Aug. 3, 2023)
summary
Jose D. Rocha operated a $1.2 million Ponzi scheme targeting the Cape Verdean community, resulting in a civil settlement and a criminal guilty plea.
paragraph
Jose D. Rocha defrauded 13 investors of approximately $1.2 million by promising guaranteed monthly returns of 12%. He faced charges for violating antifraud provisions of the Securities Act, the Exchange Act, and the Investment Advisers Act. Rocha settled the SEC charges via a permanent injunction and a parallel guilty plea to criminal securities fraud.
narrative
The SEC charged Massachusetts resident Jose D. Rocha for operating a Ponzi scheme that defrauded 13 investors in the Cape Verdean community of approximately $1.2 million. Rocha promised guaranteed monthly returns of 12%, but instead used funds for unsuccessful leveraged trades, a luxury lifestyle, and a gambling habit. He also utilized new investor capital to pay out earlier participants. The SEC's complaint alleges violations of the Securities Act, the Exchange Act, and the Investment Advisers Act. To settle the civil charges, Rocha consented to a permanent injunction against future securities violations, with specific financial penalties to be determined by the Court. Additionally, Rocha pled guilty to parallel criminal securities fraud charges filed by the U.S. Attorney's Office for the District of Massachusetts.
Classified ponzi(confidence 100%). EDGAR detection: forms Form D· recall 35% / precision 15%. detection rule →
Statutes
Parties
Securities and Exchange CommissionJose D Rocha
Keywords
rochasecuritiesjose rochasecurities exchangeexchange commissionmassachusettsjoseexchangeinvestorsmassachusetts residentponzi schemerocha usedattorney's massachusettscommissionsec
Exhibits & Attached Documents (1)
Extracted insights
Dollar amounts 2
- $1.20M $1.2 Million $1M–$10M
- $1.20M $1.2 million $1M–$10M
Entities 3
- person jose d. rocha
- scheme_term jose d. rocha with $1.2 million offering fraud and ponzi scheme
- agency Securities and Exchange Commission
Triples 9
- Securities And Exchange Commission charged Jose D. Rocha with $1.2 million offering fraud and Ponzi scheme
- Jose D. Rocha promised investors he would invest their money in securities with guaranteed returns of 12% per month
- Jose D. Rocha used a small percentage of the money to make highly leveraged, and highly unsuccessful, trades of stock and stock options
- Jose D. Rocha spent the balance of the funds to feed his gambling habit and embark on a luxury lifestyle
- Jose D. Rocha used money from later investments to pay out on earlier investments
- Securities And Exchange Commission filed complaint in U.S. District Court for the District of Massachusetts charging Jose D. Rocha with violating antifraud provisions of federal securities laws
- Jose D. Rocha consented to entry of judgment permanently enjoining him from violating federal securities laws and participating in offer or sale of any security
- Jose D. Rocha pled guilty to criminal charges of securities fraud filed by U.S. Attorney's Office for the District of Massachusetts
- Securities And Exchange Commission appreciated assistance of U.S. Attorney's Office for the District of Massachusetts and Boston field office of Federal Bureau of Investigation
PDF (from attached: complaint)
Text layers
Extracted body text (2,169c)
U.S. SECURITIES AND EXCHANGE COMMISSION Litigation Release No. 25800 / August 3, 2023 Securities and Exchange Commission v. Jose D. Rocha, Civ. Action No. 1:23-cv-11779 (D. Mass. filed August 3, 2023) SEC Charges Massachusetts Resident with $1.2 Million Offering Fraud and Ponzi Scheme The Securities and Exchange Commission today announced charges against Brockton, Massachusetts resident Jose D. Rocha for running a Ponzi scheme in which he took approximately $1.2 million from 13 investors in the Cape Verdean community around the Boston area. Rocha promised investors he would invest their money in securities with guaranteed returns of 12% per month. Instead, Rocha used only a small percentage of the money to make highly leveraged, and highly unsuccessful, trades of stock and stock options. Rocha spent the balance of the funds, the vast majority, to feed his gambling habit and embark on a luxury lifestyle. Rocha also used money from later investments to pay out on earlier investments. The SEC's complaint, filed in U.S. District Court for the District of Massachusetts, charges Rocha with violating the antifraud provisions of Section 17(a) of the Securities Act of 1933, Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder, and Sections 206(1) and 206(2) of the Investment Advisers Act of 1940. To settle the charges, Rocha consented to the entry of a judgment permanently enjoining him from violating the charged provisions of the federal securities laws and from participating in the offer or sale of any security to investors or potential investors, with the amounts of disgorgement, prejudgment interest, and civil monetary penalties to be determined by the Court. In a parallel action, Rocha pled guilty to criminal charges of securities fraud filed by the U.S. Attorney's Office for the District of Massachusetts. The SEC's case is being handled by Jeffrey Cook, Patrick Noone, Alfred Day, and Celia Moore of the SEC's Boston Regional Office. The SEC appreciates the assistance of the U.S. Attorney's Office for the District of Massachusetts and the Boston field office of the Federal Bureau of Investigation. SEC Complaint
OCR text (2,169c · html-text · 99% conf)
U.S. SECURITIES AND EXCHANGE COMMISSION Litigation Release No. 25800 / August 3, 2023 Securities and Exchange Commission v. Jose D. Rocha, Civ. Action No. 1:23-cv-11779 (D. Mass. filed August 3, 2023) SEC Charges Massachusetts Resident with $1.2 Million Offering Fraud and Ponzi Scheme The Securities and Exchange Commission today announced charges against Brockton, Massachusetts resident Jose D. Rocha for running a Ponzi scheme in which he took approximately $1.2 million from 13 investors in the Cape Verdean community around the Boston area. Rocha promised investors he would invest their money in securities with guaranteed returns of 12% per month. Instead, Rocha used only a small percentage of the money to make highly leveraged, and highly unsuccessful, trades of stock and stock options. Rocha spent the balance of the funds, the vast majority, to feed his gambling habit and embark on a luxury lifestyle. Rocha also used money from later investments to pay out on earlier investments. The SEC's complaint, filed in U.S. District Court for the District of Massachusetts, charges Rocha with violating the antifraud provisions of Section 17(a) of the Securities Act of 1933, Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder, and Sections 206(1) and 206(2) of the Investment Advisers Act of 1940. To settle the charges, Rocha consented to the entry of a judgment permanently enjoining him from violating the charged provisions of the federal securities laws and from participating in the offer or sale of any security to investors or potential investors, with the amounts of disgorgement, prejudgment interest, and civil monetary penalties to be determined by the Court. In a parallel action, Rocha pled guilty to criminal charges of securities fraud filed by the U.S. Attorney's Office for the District of Massachusetts. The SEC's case is being handled by Jeffrey Cook, Patrick Noone, Alfred Day, and Celia Moore of the SEC's Boston Regional Office. The SEC appreciates the assistance of the U.S. Attorney's Office for the District of Massachusetts and the Boston field office of the Federal Bureau of Investigation. SEC Complaint