SEC Obtains Judgment Against Former CEO and General Counsel Who Raised Millions of Dollars from Investors Through False Statements

On May 3, 2023, the United States District Court for the District of Connecticut entered a final judgment against former Connecticut resident Ronald D. Swanson ordering him to pay over $927,000 in disgorgement and penalties in a securities offering fraud action previously filed by the SEC in May 2020. The Court also ordered Swanson barred from serving as the officer or director of a publicly-traded company for a period of 10 years.

The SEC’s complaint alleged that Swanson fraudulently raised more than $2 million from investors between October 2012 and August 2015 by making false and misleading statements about Texas-based liquid purification technology company Sonic Cavitation, Inc. The complaint alleged that while serving as the chief executive officer and general counsel of Sonic Cavitation, Swanson made multiple false claims exaggerating the interest level of Sonic Cavitation’s potential business partners and the capabilities of its technology, and minimizing the risk level of its investment offerings.

Source: SEC Obtains Judgment Against Former CEO and General Counsel Who Raised Millions of Dollars from Investors Through False Statements