Sign In
Free Newsletter
‘Money Guys’ Rousseaux loses appeal of AG sanctions
A Baltimore judge has affirmed the revocation of Everest Wealth Management owner Philip Rousseaux’s investment adviser registration, denying his appeal.
The Towson-based firm known for its popular “Money Guys” infomercials was previously barred from doing business in Maryland by the Maryland Office of the Attorney General based on allegations of fraud and securities law violations.
“This case sends a strong message to any business that engages in fraudulent or deceptive investment advisory activities,” Attorney General Brian E. Frosh said Thursday in a prepared statement. “The Securities Division of my office will continue to protect consumers from these dishonest, unethical practices that can put at risk the hard-earned savings and investments of Marylanders.”
(A judge issued a temporary restraining order preventing the license suspension in April but the case was later dismissed.)
The attorney general’s final order noted Rousseaux is the “key person” at both Everest Wealth Management and Everest Invest Advisers and “set the tone from the top at both of these entities.”
Rousseaux appealed the order, which found he and his companies violated the anti-fraud provisions of Maryland securities law by using false and misleading performance figures and misrepresenting to clients the nature of the services offered, fees, and the existence of an investment committee.
In denying Rousseaux’s appeal last week, Baltimore City Circuit Judge Althea Handy said the securities commissioner’s sanction was “‘lawful and authorized,’ based (on) findings of fact and law in a ‘reasonable and rational’ final order, and was not so ‘extreme and egregious to be considered arbitrary and capricious.’”
Rousseaux’s infomercials aired on multiple stations in the Baltimore area and promised guaranteed returns and limited risk. Frosh alleged in the administrative filing that Rousseaux, either independently or through his Everest companies misled clients about service charges and the firms’ stock market successes and falsified forms intended to protect investors when transferring assets.
Rousseaux denied the allegations and accused the attorney general’s office of singling out the company. His lawyer did not respond to a request for comment Thursday.
The case is In the Matter of the Petition of Everest Investment Advisors et al., 24C17001711.
