Securities & Exchange Commission v. Brown

Sherwin Brown is the President and fifty-percent owner of Jameriea Financial, Inc. (“Jameriea”), a Minneapolis-based registered investment adviser. Between May 2004 and January 2006, fifty-three clients ■ invested $1.62M in Brawta Ventures, LLC (“Brawta”), a private investment fund organized by Brown. In March 2006, after a brief but intense investigation, the Securities and Exchange Commission (SEC) commenced this civil enforcement action against Brown, Jameriea, and Brawta alleging that their fraudulent misrepresentations and diversion of Brawta funds violated Sections 17(a)(1), (3) of the…