ALBANY, N.Y. (AP) – The Securities and Exchange Commission has brought civil charges against 10 former brokers at a now defunct Albany-based securities firm whose owners were sentenced to federal prison.
The SEC, which in 2010 froze the assets of McGinn, Smith Co., says the brokers misrepresented troubled investments they sold to customers.
The agency says about 750 investors were victimized, leading to $80 million in losses.
The SEC says its civil case continues against the firm as well as the owners.
In August, 65-year-old Timothy McGinn of Clifton Park was sentenced to 15 years and 68-year-old David Smith of Saratoga Springs got 10 years on fraud convictions. A federal judge ordered them to pay $5.7 million in restitution and costs.
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