U.S. Securities and Exchange Commission
Litigation Release No. 21113 / July 1, 2009
SEC v. Ryan M. Jindra and Envision Investment Advisors, LLC, defendants, and Envision Financial Group, Inc., relief defendant, Case No. Case 8:09-CV-00216-JFB-TDT (D. Neb.)
SEC OBTAINS EMERGENCY RELIEF TO HALT FRAUD CONDUCTED BY OMAHA, NEBRASKA INVESTMENT ADVISER
The Securities and Exchange Commission (“Commission”) charged Omaha, Nebraska investment adviser, Envision Investment Advisors, LLC (“Envision”), and its principal Ryan M. Jindra, with misappropriating nearly $775,000 of client assets. According to the Commission’s complaint, filed in federal district court in Omaha, between at least August 2008 and April 2009, Envision, acting through Jindra, fraudulently deducted fees from numerous client accounts. The Commission alleges that Jindra used the misappropriated funds both for himself, for example to buy a Cadillac Escalade, and to operate Envision, which is in perilous financial condition. Further, the Commission alleges that Jindra destroyed documents, including emails, in an attempt to hide his actions. Because Jindra and Envision have discretionary authority with respect to millions of dollars of client assets, the Commission sought and obtained, on June 30, 2009, a temporary restraining order and an emergency court order freezing the assets of Jindra, Envision, and Envision Financial Group, Inc., Envision’s parent company which received some of the client funds. Additionally, the court ordered a full accounting, expedited discovery, and the prevention of any further destruction or alteration of documents.
The complaint alleges violations of Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder, and Sections 204, 206(1), 206(2) and 206(4) of the Investment Advisers Act of 1940 and Rules 204-2, 206(4)-4 and 206(4)-7(a)(7)(B) thereunder. In addition to the emergency relief already obtained, the complaint seeks disgorgement of the defendants’ ill-gotten gains plus pre-judgment interest, civil penalties, and permanent injunctions barring future violations of the charged provisions of the federal securities laws. The complaint also seeks disgorgement plus pre-judgment interest from the relief defendant, Envision Financial Group, Inc.