SEC seeks $50M-plus from Lauer

The Securities and Exchange Commission won a summary judgment against Michael Lauer, with a judge ruling the Greenwich resident cheated investors of $500 million by fraudulently misrepresented the holdings of the hedge fund he led.

Prosecutors said Lauer”™s Lancer Management Group raised $1.1 billion from investors, then between 1999 and 2003 manipulated the prices of several securities his funds held, while overstating the valuations of his funds.

The SEC says it stopped Lauer from hiding millions of dollars following a court-ordered freeze of assets, with a judge barring Lauer from testifying at his own trial as a penalty.

The SEC has asked for a financial penalty and disgorgement of more than $50 million it says Lauer received.