The Securities and Exchange Commission has accused a fund advisor of defrauding investors in a fund that held stakes in SpaceX and OpenAI, according to InvestmentNews. The regulator alleged that money intended for investors was diverted to personal expenditures.
InvestmentNews reported that the alleged improper uses of investor funds included strip clubs, exotic cars, and landscaping expenses. The SEC has not yet publicly identified the advisor or detailed the size of the alleged fraud, the timeline of the conduct, or the outcome sought in the enforcement action.