Miguel Ortiz was named a respondent in a Financial Industry Regulatory Authority (FINRA) complaint, alleging that he defrauded customers by making false and misleading statements and omitting material information in a joint brokerage account he convinced his customers to fund. Before that, the customers in question had allegedly lost almost $210,000, when 80% of their account was lost. Ortiz had the customers invest in his company, which was not registered with the U.S. Securities and Exchange Commission or FINRA or any other regulatory agency. He allegedly told the customers, based in Venezuela, he was providing investment management services, when, in fact, his company was not authorized to legally be an investment services company.
Ortiz also allegedly failed to inform the customers that their accounts were declining in value, and he made up account statements to send to them that falsely inflated the true value of their investments. The statements also indicated that the customers owned assets that did not exist. Ortiz allegedly promised to give the customers a check for the misappropriated funds, but never did.