Sec Speeches Cryptocurrency Statement on Jury’s Verdict in Trial of Christopher Nohl, Michael Hull, and Entities They Owned or Controlled

After a 7-day trial, a jury in the United States District Court for the Western District of Wisconsin found Christopher Nohl, Michael Hull, and various entities under their control liable for securities fraud in connection with their operation of the Greenpoint Tactical Income Fund, a Wisconsin-based private investment fund.

Statement of SEC Division of Enforcement Director Gurbir S. Grewal:

“We are pleased with today’s jury verdict holding Christopher Nohl and Michael Hull liable for securities fraud in their management of the Greenpoint Tactical Income Fund. Fund managers such as Nohl and Hull have a duty to tell the truth about the investments and funds they manage for their investors. Nohl and Hull, as well as the entities they acted through, improperly charged the fund’s investors excessive management fees based on inflated and improperly-determined valuations. They also engaged in self-dealing and failed to disclose their conflicts of interest, which included numerous undisclosed short-term loans to the fund, some of them with annualized interest rates exceeding 100 percent, as well as the fund’s undisclosed payment of service fees to entities owned by Nohl and Hull. Today’s verdict underscores that the Commission will continue to pursue investment advisers who breach their fiduciary duties and defraud their clients.”

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More information:

The SEC filed its civil complaint on September 30, 2019.

https://www.sec.gov/litigation/litreleases/2019/lr24632.htm