The allegations read: The securities and exchange commission ("commission"), for its complaint against defendants vista financial advisors llc ("vista") and ruben cedrick williams ("williams") (collectively, "defendants"), alleges as follows: this case concerns material misrepresentations made by vista, an investment adviser registered with the commission, and williams in vista's form adv filings regarding vista's regulatory assets under management ("raum") and owners.
specifically, while defendants represented in vista's form adv filed on april 14, 2022 (the "2022 form adv") that vista had $10 billion in raum, they subsequently failed to provide the commission with evidence to corroborate this statement. Defendants have ignored repeated requests from the commission staff to substantiate, correct, and/or withdraw the statement regarding vista's raum. To the extent that vista had any raum, such assets did not remotely approach the $10 billion in raum represented in the form adv.
moreover, rather than undertaking any corrective measures in response to the commission's inquiries, on april 5, 2023, defendants compounded the misrepresentation by filing an updated form adv (the "2023 form adv") in which defendants represented that vista's raum had grown to nearly $11.5 trillion. To the extent that vista had any raum, such assets did not remotely approach the $11.5 trillion stated in the 2023 form adv.
additionally, based on records produced by vista, the 2022 form adv failed to disclose the identity of one of vista's owners, individual b, and misstated how vista's ownership interest was divided up among its remaining owners.
williams, who is vista's co-owner, chief executive officer ("ceo"), and chief compliance officer ("cco") signed and certified both the 2022 and 2023 form adv filings.
because vista does not manage at least $25 million in raum, it has also failed to meet the requirements for registering as an investment adviser with the commission.
by virtue of the foregoing conduct, williams has violated advisers act section 207 and aided and abetted vista's violations of advisers act section 203a.
