Broker Investigation: Spencer Hilligoss

National investment loss lawyers KlaymanToskes is investigating broker Spencer Hilligoss (CRD# 7289560). Hilligoss was previously registered with Finalis Securities LLC and Growth Capital Services, Inc.

According to publicly available records, broker Spencer Hilligoss may have marketed private placements related to Prestige Funds and Paramount Management Group to his customers. 

Paramount Management Group LLC and Prestige Investment Group LLC were owned by Daryl Heller, who was charged today, September 3, 2025, with one count of securities fraud and four counts of wire fraud by the U.S. Department of Justice. According to the Securities and Exchange Commission (“SEC”), Heller operated a “a multi-year Ponzi scheme” that resulted in $400 million in investor losses. The scheme led investors to believe their investments were supporting a successful ATM network which would result in 25% returns. In reality, many of the ATMs did not exist, were broken, or in storage.

The complaint by the SEC identifies funds offered by Heller’s companies as the following:

Prestige Funds Management, LLC

• Prestige Fund A, LLC 
• Prestige Fund A IV, LLC 
• Prestige Fund A IX, LLC 
• Prestige Fund B, LLC 
• Prestige Fund B II, LLC 
• Prestige Fund B IV, LLC 
• Prestige Fund B V, LLC
• Prestige Fund B VI, LLC 
• Prestige Fund B VII, LLC 
• Prestige Fund B BTM I, LLC 
• Prestige Fund E I, LLC

Prestige Funds Management II, LLC

• Prestige Fund A II, LLC 
• Prestige Fund A V, LLC 
• Prestige Fund A VI, LLC 
• Prestige Fund A VII, LLC 
• Prestige Fund D III, LLC

Prestige Funds Management III, LLC

• Prestige Fund D, LLC 
• Prestige Fund D IV, LLC 
• Prestige Fund D V, LLC 
• Prestige Fund D VI, LLC 
• Prestige Fund D BTM I, LLC

WF Velocity Funds Management, LLC

• WF Velocity I, LLC 
• WF Velocity Fund IV, LLC 
• WF Velocity Fund V, LLC 
• WF Velocity Fund VI, LLC 
• WF Velocity Fund VII, LLC 

Investors whose brokers/financial advisors recommended investments in any of the Premier Funds or Paramount Management Group are encouraged to contact attorney Lawrence L. Klayman, Esq., at 888-997-9956 or by email at investigations@klaymantoskes.com to their legal options.

Investor Education: A Brokerage Firm’s Responsibility to Supervise

According to the Financial Industry Regulatory Authority (“FINRA”), brokerage firms must supervise all activities of their financial advisors, and inadequate oversight is deemed a failure to supervise. This occurs when a firm negligently fails to monitor the conduct of its brokers.

Investors that suffer losses as a result of their brokerage firm’s failure to supervise its representatives may be eligible to recover their losses through a FINRA arbitration claim. It is important for investors to speak with an experienced securities attorney to understand all their legal options.

Investor Education: Signs Investors Should Look Out For About Their Brokerage Accounts

As an investor, there are a few signs that you should look out for if you believe you may have a claim against your financial advisor. These signs could potentially indicate misconduct, negligence, or investment fraud. Investors are encouraged to contact our firm immediately if you have experienced any of the following:

• You have substantial losses in your investment accounts
• You received a call, email, or other communication from your broker’s supervisor or manager regarding your portfolio
• Your broker misrepresented investment opportunities, or failed to disclose details about investments
• You notice unauthorized transactions in your investment accounts
• Your broker is not returning your calls or emails
• You filed a complaint with your brokerage firm that has not been resolved
• You see a mistake on your statement, or receive a fraudulent statement

Some investors have close relationships with their brokers due to the time and trust built over the course of their investment relationship. However, it is crucial to remember that financial decisions should be based on careful analysis and due diligence rather than solely relying on personal relationships.

Engaging the services of an experienced securities attorney to evaluate your specific circumstances is strongly advised. At KlaymanToskes, our team of experienced securities attorneys has a deep understanding of this complex area of law, allowing us to provide invaluable insight and tailored guidance that directly addresses your individual needs.

If you have concerns regarding your investment portfolio with any financial advisor or firm, contact KlaymanToskes at 888-997-9956 or fill out a short contact form for a free and confidential consultation.