Actions against Respondents, a day trader and his friend, for an alleged manipulative trading scheme.  According to the SEC, Respondent trader used his friend’s brokerage account to place orders for securities to artificially inflate the price, which Respondent trader then sold at the higher price.  The SEC alleges that Respondents misrepresented the identity of the trader to the firm that held the brokerage account when the firm raised concerns about trading patterns.  Respondent trader has agreed to pay disgorgement of $187,200, prejudgment interest of $20,144, and a civil money penalty of $50,000.  Respondent friend has agreed to pay disgorgement of $128,150 and prejudgment interest of $22,860.

SEC Order (Savino)

SEC Order (Palermo)

Administrative Summary