SEC v. William Neil "Doc" Gallagher; Gallagher Financial Group, Inc. ("GFG"); and W. Neil Gallagher, Ph.D. Agency, Inc. ("Gallagher Agency"), No. 3:19-cv-0575, Northern District of Texas (Mar. 12, 2019) — Complaint

..
ORIGINAL
SEALED
IN THE UNITED STATES DISTRICT COURT
FOR THE NORTHERN DISTRICT OF TEXAS
DALLAS DIVISION
SECURITIES AND EXCHANGE COMMISSION
Plaintiff,
V.
WILLIAM NEIL "DOC" GALLAGHER,
GALLAGHER FINANCIAL GROUP, INC. and
W. NEIL GALLAGHER, Ph.D. AGENCY, INC.
Defendants.
COMPLAINT
Civil Action No.:
FILED UNDER SEAL
Plaintiff Securities and Exchange Commission (the "SEC") files this Complaint against
Defendants William Neil "Doc" Gallagher, Gallagher Financial Group, Inc. ("GFG"), and W.
Neil Gallagher, Ph.D. Agency, Inc. ("Gallagher Agency") (collectively "Defendants"), and
alleges as follows:
I.
SUMMARY
1. Since at least December 2014, William Neil "Doc" Gallagher ("Gallagher"), a
long-time radio personality in the Dallas/Fort Worth metroplex who markets himself as "The
Money Doctor," has perpetrated an affinity-fraud investment scheme on investors through two
North Texas-based companies he owns and controls, GFG and the Gallagher Agency. Despite
having no valid securities-industry credentials, Gallagher has offered and sold securities, raising
at least $19,606,977.97 from at least approximately 60
investors-ranging in age from 62 to
91-while claiming to be a fully licensed advisor offering retirement advice and investment
SEC v. William Neil "Doc" Gallagher, et al.
COMPLAINT
Page 1

JS44 (Rev. 06/17)-TXND (Rev. 06/17)
-
-
The JS 44 civil cover sheet and the information contained herein neither replace nor supplement the filing and service of pleadings or other papers as required by law, except as
provided by local rules
of court. This form, approved by the Judicial Conference of the United States in September 1974, is required for the use of the Clerk of Court for the
purpose
of initiating the civil docket sheet. (SEE INSTRUCTIONS ON NEXT PAGE OF THIS FORM.)
I. (a) PLAINTIFFS
SECURITIES AND EXCHANGE COMMISSION
(b) County of Residence of First Listed Plaintiff
(EXCEPTIN US. PLAINTIFF CASES)
(c) Attorneys (Firm Name, Address, and Telephone Number)
DEFENDANTS
W. NEIL GALLAGHER, GALLAGHER FINANCIAL GROUP, INC.,
and
W. NEIL GALLAGHER, PH.D. AGENCY, INC.
Attorneys (If Known)
MAR - 7 2019
>L
II. BASIS OF J
III. CITIZENSHIP OF PRINCI AJ,i Plaintiff
•-..:..:.=.;.;..----'-a:;:n::'.'.di:o'i.n::'.:e~B;;o::;x7,o::;:rc;D'i'.:e~e;;;;i:a::!.nt)
0 3 Federal Question
~ I U.S. Government
Plaintiff
(US. Government Not a Party)
0 4 Diversity
0 2 U.S. Government
Defendant
(Indicate Citizenship of Parties in Item Ill)
IV NATURE OF SUIT (Place an "X" in One Box Only)
I nN••.,,,.CT •· -· • • .. ,-Ts · : :, : ·· .•
0 110 Insurance PERSONAL INJURY
0 120 Marine O 310 Airplane
0 130 Miller Act O 315 Airplane Product
0 140 Negotiable Instrument Liability
0 150 Recovezy of Overpayment O 320 Assault, Libel &
& Enforcement
of Judgment Slander
0 151 Medicare Act O 330 Federal Employers·
0 152 Recovezy of Defaulted Liability
Student Loans
O 340 Marine
(Excludes Veterans)
0 34 5 Marine Product
PERSONAL INJURY
0 365 Personal lnjUI)' -
Product Liability
0 367 Health Care/
Pharmaceutical
Personal InjUI)'
Product Liability
0 368 Asbestos Personal
InjUI)' Product
Liability
(For Diversity Cases Only)
PTF
DEF PTF DEF
Citizen of This State
Citizen
of Another State
0 625 Drug Related Seizure
orProperty 21 use 881
0 690 Other
0 I
0 I Incorporated or Principal Place O 4 0 4
of Business In This State
0 2 0 2 Incorporated and Principal Place
of Business In Another State
0 5 0 5
0
3 0 3 Foreign Nation
06 06
Click here for: Nature of Suit Code Descnnllons.
•ra, ,y._··: .>. '.[', ·· .:·1
0 422 Appeal 28 USC 158
0 423 Withdrawal
28
use 157
0 820 Copyrights
0 830Patent
0 83 5 Patent - Abbreviated
New Drug Application
0 840 Trademark
0 375 False Claims Act
0 376 Qui Tam (31 USC
3729(a))
0 400 State Reapportiomnent
0 410 Antitrust
0 430 Banks and Banking
0 450 Commerce
0 460 Deportation
0 4 70 Racketeer Influenced and
0 153 Recovezy of Overpayment Liability
of Veteran's Benefits O 350 Motor Vehicle
PERSONAL PROPERTY
0 370 Other Fraud 0 710 Fair Labor Standards
Act
.. . ..
0 861 HIA ( 1395ft)
Corrupt Organizations
0 480 Consumer Credit
0 490 Cable/Sat TV
0 160 Stockholders' Suits Q,(355 Motor Vehicle
0 190 Other Contract Product Liability
0 195 Contract Product Liability O 360 Other Personal
0 I 96 Franchise Injuzy
I •.. ~,,lJ.,PROPEKTY·
0 210 Land Condemnation
0 220 Foreclosure
0 230 Rent Lease & Ejectment
0 240 Torts to Land
0 245 Tort Product Liability
0 290 All Other Real Property
0 362 Personal lnjUI)' -
Medical Maloractice
0 440 Other Civil Rights
0 441 Voting
0 442 Employment
0 443 Housing/
Accommodations
0 445 Amer. w/Disabilities -
Employment
0 446 Amer. w/Disabilities -
Other
0 448 Education
V. ORIGIN (Placean "X"inOneBoxOnly)
0 371 Truth in Lending
0 380 Other Personal
Property Damage
0 385 Property Damage
Product Liability
Habeas Corpus:
0 463 Alien Detainee
0 510 Motions to Vacate
Sentence
0 530 General
0 535 Death Penalty
Other:
0 540 Mandamus & Other
0 550 Civil Rights
0 555 Prison Condition
0 560 Civil Detainee -
Conditions
of
Confinement
0 720 Labor/Management
Relations
0 740 Railway Labor Act
0 751 Family and Medical
Leave Act
· •  0 790 Other Labor Litigation
0 791 Employee Retirement
Income Security Act
0 462 Naturalization Application
0 465 Other Immigration
Actions
0 862 Black Lung (923)
0 863 DIWC/DIWW (405(g))
0 864 SSID Title XVI
0 865 RSI (405(g})
0 870 Taxes (U.S. Plaintiff
or Defendant)
0 871 IRS-Third Party
26
use 7609
0 850 Securities/Commodities/
Exchange
0 890 Other Statutozy Actions
0 891 Agricultural Acts
0 893 Enviromnental Matters
0 895 Freedom of Information
Act
0 896 Arbitration
0 899 Administrative Procedure
Act/Review
or Appeal of
Agency Decision
0 950 Constitutionality of
State Statutes
],-: I Original O 2 Removed from
Proceeding State Court
0 3 Remanded from
Appellate Court
0 4 Reinstated or
Reopened
0 5  Transferred from
Another District
(specify)
0 6 Multidistrict
Litigation -
Transfer
0 8  Multidistrict
Litigation -
Direct File
Cite the U.S. Civil Statute under which you are filing
(Do not cite jurisdictional statutes unless diversity):
VI. CAUSE OF ACTION 1-l.:.::5_U""._S .... C_. -7""'7"""""a'""""""l'-'an=d..:.7...,7...,a,.....3 .... ·""'1""5-"U""'.S"".""C'-. .._7...,7'""""a"""""2,.,,· .... 15"-"'U.:.:..S;.:.;.C"" . ...,__7_8.._· b...._· e_t..:.al_,_. ___________ _
Brief description of cause:
VII. REQUESTED IN
COMPLAINT:
Violations of Federal Securities Laws
0 CHECK IF THIS IS A CLASS ACTION
UNDER RULE 23, F.R.Cv.P.
DEMAND$
VIII. RELATED CASE(S)
IF ANY
(See instructions):
filDGE
DATE
03/07/2019
FOR OFFICE USE ONLY
RECEIPT# AMOUNT
SIGNATURE OF ATTORNEY OF RECORD
Janie L. Frank
APPL YING IFP
CHECK YES only if demanded in complaint:
JURY DEMAND: 0 Yes ONo
JU

.. ORIGINAL 

SEALED IN THE UNITED STATES DISTRICT COURT 
FOR THE NORTHERN DISTRICT OF TEXAS 

DALLAS DIVISION 

SECURITIES AND EXCHANGE COMMISSION 

Plaintiff, 

V. 

WILLIAM NEIL "DOC" GALLAGHER, 
GALLAGHER FINANCIAL GROUP, INC. and 
W. NEIL GALLAGHER, Ph.D. AGENCY, INC. 

Defendants. 

COMPLAINT 

Civil Action No.: 

FILED UNDER SEAL 

Plaintiff Securities and Exchange Commission (the "SEC") files this Complaint against 

Defendants William Neil "Doc" Gallagher, Gallagher Financial Group, Inc. ("GFG"), and W. 

Neil Gallagher, Ph.D. Agency, Inc. ("Gallagher Agency") (collectively "Defendants"), and 

alleges as follows: 

I. 
SUMMARY 

1. Since at least December 2014, William Neil "Doc" Gallagher ("Gallagher"), a 

long-time radio personality in the Dallas/Fort Worth metroplex who markets himself as "The 

Money Doctor," has perpetrated an affinity-fraud investment scheme on investors through two 

North Texas-based companies he owns and controls, GFG and the Gallagher Agency. Despite 

having no valid securities-industry credentials, Gallagher has offered and sold securities, raising 

at least $19,606,977.97 from at least approximately 60 investors-ranging in age from 62 to 

91-while claiming to be a fully licensed advisor offering retirement advice and investment 

SEC v. William Neil "Doc" Gallagher, et al. 
COMPLAINT Page 1 

                                                                                         
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JS44 (Rev. 06/17)-TXND (Rev. 06/17) - -
The JS 44 civil cover sheet and the information contained herein neither replace nor supplement the filing and service of pleadings or other papers as required by law, except as 
provided by local rules of court. This form, approved by the Judicial Conference of the United States in September 1974, is required for the use of the Clerk of Court for the 
purpose of initiating the civil docket sheet. (SEE INSTRUCTIONS ON NEXT PAGE OF THIS FORM.) 

I. (a) PLAINTIFFS 
SECURITIES AND EXCHANGE COMMISSION 

(b) County of Residence of First Listed Plaintiff 
(EXCEPTIN US. PLAINTIFF CASES) 

(c) Attorneys (Firm Name, Address, and Telephone Number) 

DEFENDANTS 
W. NEIL GALLAGHER, GALLAGHER FINANCIAL GROUP, INC., 
and W. NEIL GALLAGHER, PH.D. AGENCY, INC. 

Attorneys (If Known) 

MAR - 7 2019 
>L 

II. BASIS OF J III. CITIZENSHIP OF PRINCI AJ,i Plaintiff 
•-..:..:.=.;.;..----'-a:;:n::'.'.di:o'i.n::'.:e~B;;o::;x7,o::;:rc;D'i'.:e~e;;;;i:a::!.nt) 

0 3 Federal Question ~ I U.S. Government 

Plaintiff (US. Government Not a Party) 

0 4 Diversity 0 2 U.S. Government 
Defendant (Indicate Citizenship of Parties in Item Ill) 

IV NATURE OF SUIT (Place an "X" in One Box Only) 
I nN••.,,,.CT •· -· • • .. ,-Ts · : :, : ·· .• 

0 110 Insurance PERSONAL INJURY 
0 120 Marine O 310 Airplane 
0 130 Miller Act O 315 Airplane Product 
0 140 Negotiable Instrument Liability 
0 150 Recovezy of Overpayment O 320 Assault, Libel & 

& Enforcement of Judgment Slander 
0 151 Medicare Act O 330 Federal Employers· 
0 152 Recovezy of Defaulted Liability 

Student Loans O 340 Marine 
(Excludes Veterans) 0 34 5 Marine Product 

PERSONAL INJURY 
0 365 Personal lnjUI)' -

Product Liability 
0 367 Health Care/ 

Pharmaceutical 
Personal InjUI)' 
Product Liability 

0 368 Asbestos Personal 
InjUI)' Product 
Liability 

(For Diversity Cases Only) 
PTF DEF PTF DEF 

Citizen of This State 

Citizen of Another State 

0 625 Drug Related Seizure 
orProperty 21 use 881 

0 690 Other 

0 I 0 I Incorporated or Principal Place O 4 0 4 
of Business In This State 

0 2 0 2 Incorporated and Principal Place 
of Business In Another State 

0 5 0 5 

0 3 0 3 Foreign Nation 06 06 

Click here for: Nature of Suit Code Descnnllons. 
•ra, ,y._··: .>. '.[', ·· .:·1 

0 422 Appeal 28 USC 158 
0 423 Withdrawal 

28 use 157 

0 820 Copyrights 
0 830Patent 
0 83 5 Patent - Abbreviated 

New Drug Application 
0 840 Trademark 

0 375 False Claims Act 
0 376 Qui Tam (31 USC 

3729(a)) 
0 400 State Reapportiomnent 
0 410 Antitrust 
0 430 Banks and Banking 
0 450 Commerce 
0 460 Deportation 
0 4 70 Racketeer Influenced and 

0 153 Recovezy of Overpayment Liability 
of Veteran's Benefits O 350 Motor Vehicle 

PERSONAL PROPERTY 
0 370 Other Fraud 0 710 Fair Labor Standards 

Act 

.. . .. 
0 861 HIA ( 1395ft) 

Corrupt Organizations 
0 480 Consumer Credit 
0 490 Cable/Sat TV 

0 160 Stockholders' Suits Q,(355 Motor Vehicle 
0 190 Other Contract Product Liability 
0 195 Contract Product Liability O 360 Other Personal 
0 I 96 Franchise Injuzy 

I • .. ~,,lJ.,PROPEKTY· 

0 210 Land Condemnation 
0 220 Foreclosure 
0 230 Rent Lease & Ejectment 
0 240 Torts to Land 
0 245 Tort Product Liability 
0 290 All Other Real Property 

0 362 Personal lnjUI)' -
Medical Maloractice 

0 440 Other Civil Rights 
0 441 Voting 
0 442 Employment 
0 443 Housing/ 

Accommodations 
0 445 Amer. w/Disabilities -

Employment 
0 446 Amer. w/Disabilities -

Other 
0 448 Education 

V. ORIGIN (Placean "X"inOneBoxOnly) 

0 371 Truth in Lending 
0 380 Other Personal 

Property Damage 
0 385 Property Damage 

Product Liability 

Habeas Corpus: 
0 463 Alien Detainee 
0 510 Motions to Vacate 

Sentence 
0 530 General 
0 535 Death Penalty 

Other: 
0 540 Mandamus & Other 
0 550 Civil Rights 
0 555 Prison Condition 
0 560 Civil Detainee -

Conditions of 
Confinement 

0 720 Labor/Management 
Relations 

0 740 Railway Labor Act 
0 751 Family and Medical 

Leave Act 
· • 0 790 Other Labor Litigation 

0 791 Employee Retirement 
Income Security Act 

0 462 Naturalization Application 
0 465 Other Immigration 

Actions 

0 862 Black Lung (923) 
0 863 DIWC/DIWW (405(g)) 
0 864 SSID Title XVI 
0 865 RSI (405(g}) 

0 870 Taxes (U.S. Plaintiff 
or Defendant) 

0 871 IRS-Third Party 
26 use 7609 

0 850 Securities/Commodities/ 
Exchange 

0 890 Other Statutozy Actions 
0 891 Agricultural Acts 
0 893 Enviromnental Matters 
0 895 Freedom of Information 

Act 
0 896 Arbitration 
0 899 Administrative Procedure 

Act/Review or Appeal of 
Agency Decision 

0 950 Constitutionality of 
State Statutes 

],-: I Original O 2 Removed from 
Proceeding State Court 

0 3 Remanded from 
Appellate Court 

0 4 Reinstated or 
Reopened 

0 5 Transferred from 
Another District 
(specify) 

0 6 Multidistrict 
Litigation -
Transfer 

0 8 Multidistrict 
Litigation -
Direct File 

Cite the U.S. Civil Statute under which you are filing (Do not cite jurisdictional statutes unless diversity): 

VI. CAUSE OF ACTION 1-l.:.::5_U""._S .... C_. -7""'7"""""a'""""""l'-'an=d..:.7...,7...,a,.....3 .... ·""'1""5-"U""'.S"".""C'-. .._7...,7'""""a"""""2,.,,· .... 15"-"'U.:.:..S;.:.;.C"" . ...,__7_8.._· b...._· e_t..:.al_,_. ___________ _ 
Brief description of cause: 

VII. REQUESTED IN 
COMPLAINT: 

Violations of Federal Securities Laws 
0 CHECK IF THIS IS A CLASS ACTION 

UNDER RULE 23, F.R.Cv.P. 
DEMAND$ 

VIII. RELATED CASE(S) 
IF ANY (See instructions): 

filDGE 

DATE 

03/07/2019 
FOR OFFICE USE ONLY 

RECEIPT# AMOUNT 

SIGNATURE OF ATTORNEY OF RECORD 

Janie L. Frank 

APPL YING IFP 

CHECK YES only if demanded in complaint: 

JURY DEMAND: 0 Yes ONo 

JU 

                                                                                         
 Case 3:19-cv-00575-C   Document 1   Filed 03/07/19    Page 16 of 16   PageID 16