SEC v. Frantz Simeon and First Black Enterprises, Inc. (ponzi schemes, 2021)

Judgment entered

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In September 2021 the SEC sued Brooklyn man Frantz Simeon and his company First Black Enterprises over an alleged Ponzi-like offering that raised about $335,000. On January 12, 2026 the Eastern District of New York entered a default judgment against Simeon with an injunction, an officer-and-director bar and $292,932.83 in disgorgement, deemed satisfied by his criminal restitution order.

The record

What was ordered

Civil penalty

—

Disgorgement

$293k

Prejudgment interest

—

Total relief

$293k

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 SEC announced the complaint on September 23, 2021 (LR-25216) in the Eastern District of New York, covering April 2019 to February 2021. No judgment had been entered.

both are corrected.

This library tags the matter as ponzi schemes because the document describes it as a scheme paying earlier investors with later investors' money. The tagging is ours, not the regulator's: agencies charge statutory provisions, not technique names.

Outcome. The clerk's judgment of January 12, 2026 enters the court's January 9, 2026 decision granting the SEC's motion for default judgment against Simeon. It orders disgorgement of $292,932.83, deemed satisfied by the restitution order in his criminal case (United States v. Simeon, No. 21-CR-479, E.D.N.Y.), permanently enjoins him from further violations of the federal securities laws and bars him from serving as an officer or director of a public company. A default judgment means he did not contest the case, so the court accepted the complaint's allegations without a trial. The judgment names Simeon alone; First Black Enterprises, Inc. is not mentioned and its outcome was not checked, and the document does not give his sentence.

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.

• Ponzi schemes — see how it works, what statute it engages, and every other action tagged the same way.

Timeline

1. 2021-09-23 Litigation release published
2. 2026-01-12 Default judgment entered against Frantz Simeon

Primary documents

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

• SEC litigation release
• Judgment against Frantz Simeon (E.D.N.Y., Doc. 64)

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.

Related actions

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

Record added September 10, 2026. submit a correction.