[ by Howard Haykin ] SEC Enforcement investigated the conduct of an individual - a registered rep and investment adviser rep formerly with UVEST FINANCIAL SERVICES - who, for a period of time after leaving that firm, preyed upon two elderly individuals, one of who had been his customer at UVEST. SEC Findings and Allegations. Florin Ilovici, who had been employed by UVEST from January 2007 until October 2007, allegedly began making material misrepresentations as early as 2008, in his efforts to raise over $1 million in investment funds from at least 2 elderly Connecticut women who lived alone, had little or no family, and had health problems.  Among other things, the SEC further alleges that one of Ilovici’s investors was his brokerage customer, that he liquidated the assets in her brokerage account in 2007, and subsequently instructed that former customer to transfer those funds to him. Instead of investing on their behalf as he promised, Ilovici allegedly transferred the investor funds to his personal bank and brokerage accounts where he either lost the funds in risky securities or forex trading, or used the funds for personal expenditures - including mortgage and credit card payments, travel, and home improvements, all without the knowledge or authorization of his investors. On 7/5/12, a final judgment was entered ... against Ilovici, permanently enjoining him from future violations of Section 10(b) of the Exchange Act and Rule 10b-5 thereunder in the civil action entitled SEC v. Florin S. Ilovici, et al., Civil Action No. 3:11-CV-00981-WWE, in the United States District Court for the District of Connecticut. In view of the allegations made by Enforcement, the SEC intends to conduct public administrative proceedings in order to take evidence so as to determine:

• Whether the above allegations are true and, in connection therewith, to afford Ilovici an opportunity to establish any defenses to such allegations; and
• What, if any, remedial action is appropriate in the public interest against Respondent pursuant to Section 15(b) of the Exchange Act.

In the meantime, Ilovici is ordered to file and answer to the SEC's allegations within 20 days.  Failure to file the directed answer, or failure to appear at a hearing after being duly notified, will result in the acceptance of the SEC allegations as being true and a default judgment against him.  It's further ordered that the Administrative Law Judge shall issue an initial decision no later than 210 days from the date of service of this Order, For further details, go to:   [SEC Administrative Proceeding 3-14948, 7/12/12].