Laren Pisciotti Named in SEC Civil Suit Alleging Fraud

Laren Pisciotti (CRD #: 5618797), a broker formerly registered with TD Ameritrade, is involved in a pending SEC lawsuit, according to her BrokerCheck record, accessed on November 21, 2024. Read on to learn more about her alleged conduct as a broker.

SEC Civil Suit

On September 30, 2024, the Securities and Exchange Commission filed a civil suit against The Pre IPO Marketplace Inc., Keyport Venture Partners, Keyport Venture Management, Keyport Venture Advisors, Principal Pre-IPO Consulting Group, GlobalX VC, Laren Pisciotti, John Michael LoPinto, and Robert Wilkos.

The SEC alleges that, from at least October 2019 until December 2022, these individuals and companies raised approximately $120 million from over 900 domestic and foreign investors by marketing and selling securities in the form of interests in private funds (the “Marketplace Funds”). These funds allegedly claimed to hold stock in pre-IPO companies.

However, the SEC alleges that the defendants made false and misleading statements directly and indirectly through unregistered sales agents with regard to these securities. The SEC alleges that these misrepresentations include the following:

• Telling investors that the Marketplace Funds owned shares in the pre-IPO companies at the time that investors bought in, when they either did not own the shares or did not own enough to cover all the interests sold
• Telling investors there were no upfront fees or commissions when the defendants actually used undisclosed price increases to pay themselves and their sales agents at least $16 million in commissions
• Claiming that they acquired pre-IPO shares directly from the offering companies or their employees, when they typically acquired them secondhand or purchased interests in third-party funds that claimed to own them
• Claiming that their funds and operating entities were registered with the SEC, and promoting SEC Forms D which contained false information about the Marketplace Funds and/or operating entities

The defendants allegedly made these statements in phone conversations and emails with prospective investors and in offering documents related to the investments.

The SEC alleged that these fraudulent actions caused investors substantial financial harm, and that many investors never received the shares they were promised even after the company issuing the shares went public. Investors who did receive their promised securities allegedly paid for them at a significantly increased price and charged hidden costs.

This civil suit is currently pending.

FINRA Rule 2010

FINRA Rule 2010 holds brokers to high standards of commercial honor and just and equitable principles of trade.

Background Information

Laren Pisciotti has passed the following exams:

• Series 66 – Uniform Combined State Law Examination
• Series 63 – Uniform Securities Agent State Law Examination
• SIE – Securities Industry Essentials Examination
• Series 7 – General Securities Representative Examination

She previously worked for the following firms:

• TD Ameritrade (CRD#:7870)
• Merrill Lynch, Pierce, Fenner & Smith (CRD#:7691)
• Newbridge Securities (CRD#:104065)
• National Securities Corporation (CRD#:7569)

Kurta Law Can Help

If you worked with Laren Pisciotti and you have concerns about your investments, please contact us today at 877-600-0098 or info@kurtalawfirm.com for a free consultation.

For over 20 years, Kurta Law has advocated on behalf of investors who want to recover their investment losses from brokers and brokerage firms. Kurta Law is a nationally recognized law firm that exclusively represents investors against brokers and brokerage firms on a contingency basis. This means that the firm only earns a fee if our securities attorneys recover money on your behalf.