Market Manipulation. Search

SEC v. Frank Lynold Mercado and Tiger Wolf Capital, LLC (ponzi schemes, 2024)

Settled

Checked against the primary document on October 3, 2026. The library's summary, tags and figures for this record were compared with the regulator's own document by an AI model (Claude) following written instructions, with sampled and disputed records read a second time. No lawyer has reviewed them. A checked record can still contain errors, and checked does not mean endorsed. See how we check records or report a correction.

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In May 2024 the SEC announced a settlement with Frank Lynold Mercado and Tiger Wolf Capital, LLC. The complaint alleges that Mercado and his unregistered advisory firm raised over $1.4 million from more than 100 investors, paid existing investors with new money, and issued fake account statements. Both consented to injunctions subject to court approval with money relief to be set later, and Mercado to an officer-and-director bar.

The record

Structured fields for this action, as recorded in our case library.
Agency SEC
Release number LR-26012
Date filed 2024-05-30
Date resolved 2024-05-30
Court U.S. District Court, Western District of North Carolina
Status settled
Criminal parallel No
Defendants Frank Lynold Mercado (individual) ; Tiger Wolf Capital, LLC (entity)
Cited as charged or alleged Advisers Act s.206 ; Exchange Act s.10(b) and Rule 10b-5 ; Securities Act s.17(a) ; Securities Act s.5 (statutes and rules cited in the document; not a finding that they were violated)
Techniques Ponzi schemes

What was ordered

Civil penalty
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Disgorgement
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Prejudgment interest
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Total relief
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Alleged gain
—

A dash means the release did not state a figure we could extract, not that the figure is zero. Penalty and disgorgement are stored separately so aggregates across the library do not double-count the same dollars.

What is alleged to have happened

The Securities and Exchange Commission announced this matter on May 30, 2024 as release LR-26012. The complaint alleges that Mercado and his unregistered advisory firm raised over $1.4 million from more than 100 investors, paid existing investors with new money, and issued fake account statements. Both consented to injunctions subject to court approval with money relief to be set later, and Mercado to an officer-and-director bar.

This library tags the matter as a Ponzi scheme because the document describes returns to earlier investors paid from later investors' money, as alleged or found. The tagging is ours, not the regulator's: agencies charge statutory provisions, not technique names.

What technique is this, and how does it work?

This action is tagged with one technique in our taxonomy. The tagging is ours: regulators charge statutory provisions, not technique names, so the mapping is an editorial judgement described in our editorial policy.

Timeline

  1. 2024-05-30 Litigation release published

Primary documents

Everything on this page derives from the documents below. Where our summary and the primary document disagree, the primary document is right.

The linked release is a work of the United States government and is not subject to copyright. Our summary and narrative above are our own writing.

Other actions in the library sharing at least one technique tag with this one.

Action Agency Filed Technique Penalty Status
SEC v. Mark D. Hanf and Hoai-Nam Chu Phan (ponzi schemes, 2026) SEC 2026-09-04 Ponzi Schemes — settled
SEC v. Leor Moshe, Jacob Goldman, Isaac Odes (ponzi schemes, 2026) SEC 2026-08-13 Ponzi Schemes — filed
CFTC v. Goliath Ventures, Inc. and Christopher Delgado (ponzi schemes, 2026) CFTC 2026-08-11 Ponzi Schemes — filed
SEC v. Goliath Ventures, Inc. and Christopher A. Delgado (ponzi schemes, 2026) SEC 2026-08-11 Ponzi Schemes — filed
SEC v. Aras Investment Business Group S.A.P.I. de C.V. and others (ponzi schemes, 2026) SEC 2026-07-24 Ponzi Schemes $449k judgment
CFTC v. Trevor L. Vernon and Argent Capital Management LLC (ponzi schemes, 2026) CFTC 2026-07-07 Ponzi Schemes — filed

Record added September 10, 2026. submit a correction.