Investment Firm Penalized $20,000 For
Failing to Cooperate With Investigators Access to Records Denied

NEWARK – An investment firm under investigation by the New Jersey Bureau of Securities (BOS), of the Attorney General’s Office, has been penalized $20,000 after its staff did not allow BOS personnel access to records as legally required, Attorney General Peter C. Harvey and Consumer Affairs Director Reni Erdos said.

The BOS assessed a $20,000 civil penalty against Chicago Investment Group, L.L.C. after bureau investigators yesterday were denied access to records at the company’s branch office at 14 Wall Street in New York City. Chicago Investment Group is a Chicago-based company that is registered with the BOS.

“We cannot tolerate an investment firm hindering or stonewalling our investigators who are acting to protect investors,” Attorney General Harvey said. “We expect and will accept nothing less than full compliance with the law and that means providing prompt access to records and documents. Reviewing those records and documents is critical to our efforts to protect and safeguard the hard-earned dollars of investors.”

Consumer Affairs Director Erdos noted that the BOS would have taken action to suspend or revoke Chicago Investment’s Group registration if the firm did not agree to allow access to BOS investigators today.

“Our investigators will be back at the branch office today and we expect full access and cooperation,” Erdos said. “If that does not occur, more sanctions against Chicago Investment Group will be forthcoming.”

Details about the BOS’ ongoing investigation remain confidential at this time.

“Our examination authority is critical to our ability to effectively regulate the securities industry,” said Franklin L. Widmann, Chief of the BOS. “We will not tolerate any behavior that restricts our ability to examine firms and safeguard the public.”

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