The allegations read: The securities and exchange commission ("commission") deems it appropriate and in the public interest that public administrative proceedings be, and hereby are, instituted pursuant to section 15(b) of the securities exchange act of 1934 ("exchange act") and section 203(f) of the investment advisers act of 1940 ("advisers act") against roy y. Gagaza. On may 18, 2021, a final judgment was entered by consent against gagaza, permanently enjoining him from future violations of sections 5(a), and 5(c) of the securities act of 1933 and section 15(a)(1) of the securities exchange act of 1934, in the civil action entitled securities and exchange commission v. Roy gagaza, no. 21-cv-61030 (s.d. Fla.). The commission's complaint alleged that gagaza offered and sold the securities of 1 global, a merchant cash advance company, in unregistered transactions to his advisory clients and other individuals via various means, including emails, telephone calls, dinner seminars, and in-person meetings, while not registered as a broker-dealer or associated with a registered broker-dealer. The complaint further alleged that gagaza communicated with 1 global about how to characterize and convey the features of the 1 global investment, including the supposed safety and security of the investment. It further alleged that to offer and sell 1 global's securities, gagaza used 1 global marketing materials that claimed investors could achieve double-digit returns. For his sales efforts, gagaza earned more than $403,000 in transaction-based compensation from 1 global.
