Last week, the SEC also filed a complaint against Pereira. All told, the fraudulent scheme cost investors over $100,000.
Pereira agreed to the entry of a partial judgment against him in which he consents to injunctive relief and bars with other monetary relief to be determined by the court in the future. This settlement is subject to court approval.
In a parallel action on Friday, the U.S. Attorney's Office for the Eastern District of New York brought criminal charges against Auerbach.
Brown and Mitchell were previously charged by the SEC in May for their roles in another broker-bribery scheme relating to the sales of ForceField, Inc.’ securities.
Brown and Mitchell were both arrested and indicted by a grand jury in the Eastern District of NY for the scheme. Mitchell pled guilty to the criminal charges and consented to a final judgment against him and was sentenced to prison.