Call Now For a Free Consultation:
(614) 502-6165

SEC Orders Administrative Proceedings Against Frederick V. Mcmenimen III

In December 2014, we posted a blog regarding former broker Frederick V. McMenimen III, who previously received a cease of desist order after allegations of misconduct. Now, the SEC has instituted administrative proceedings against McMenimen.

The SEC order states that McMenimen submitted an Offer of Settlement that was accepted by the Commission. The Offer includes the following sanctions:

  • McMenimen is barred from association with any broker, investment adviser, dealer, municipal securities dealer, transfer agent, municipal advisor, or nationally recognized statistical rating organization.
  • McMenimen is barred from participating in any offering of a penny stock, including acting as a finder, promoter, agent, consultant, or other person engaging in activities with a broker, dealer, or issuer for purposes of penny stock trading or issuance, or inducing or attempting to induce the sale or purchase of penny stocks.

Per initial allegations from the New Hampshire Bureau of Securities Regulation, McMenimen recommended that three elderly and widowed clients invest in a company called “PSB,” but he did not disclose that it was a sporting goods store he owned. The investments were deposited into the PSB bank account and withdrawn by McMenimen to use for his own personal expenses. McMenimen pleaded guilty on October 31, 2014 to one count of money laundering, three counts of tax evasion, and one count of mail fraud; all charges related to the alleged misconduct. He was also order to pay $1,443,749 in restitution.

Currently serving more than 10 years in Fort Dix Federal Correctional Institution, McMenimen’s initial order included a cease and desist from further violations, a licensure bar, denial, suspension, and revocation of licensing and registration privileges, and a $20,000 fine.

If you have invested with former broker Frederick V. McMenimen and lost money, our securities lawyers offer free case evaluations so you can discuss legal options. Call Meyer Wilson today.

The information contained in The Firm’s posts on its blog, fraud alerts, investigations or elsewhere on the site is based upon information obtained from other sources including, but not limited to, news outlets and federal, state, and regulatory agency filings. All suspects and subjects of postings herein are presumed innocent until proven guilty in a court of law or administrative action and any and all crimes are alleged until a court or regulatory agency finds otherwise .

Share This Story
If you found the information provided by this article useful, consider sharing to your social media channels to help others in their search for reliable resources.
Consult with Our Legal Team
There is never a cost associated with a consultation
Columbus Office

614-224-6000
305 W. Nationwide Blvd
Columbus, OH 43215
Meyer Wilson
New Orleans Office

900 Camp Street 
Suite 337
New Orleans, LA 70130
Los Angeles Office

310-905-8688
2029 Century Park East,
Suite 400N
Los Angeles, CA 90067
Cleveland Office

216-600-1355
4781 Richmond Rd.
Suite 400
Warrensville Heights, OH 44128
Bloomfield Hills Office

248-817-8214
41000 Woodward Ave.,
Suite 350
Bloomfield Hills, MI 48304
Quick Links
The information contained in this Website is provided for informational purposes only, and should not be construed as legal advice on any subject matter. No recipients of content from this site, clients or otherwise, should act or refrain from acting on the basis of any content included in the site without seeking the appropriate legal or other professional advice on the particular facts and circumstances at issue from an attorney licensed in the recipient's state. Read More
The information contained in this Website is provided for informational purposes only, and should not be construed as legal advice on any subject matter.
Read More
chevron-down linkedin facebook pinterest youtube rss twitter instagram facebook-blank rss-blank linkedin-blank pinterest youtube twitter instagram