Litigation Release No. 25095 / May 21, 2021
Securities and Exchange Commission v. Carlos R. Irizarry Santiago, CPA, No: 21-mc-00055-CKK (D.D.C. filed May 19, 2021)
The Securities and Exchange Commission today announced that it has filed an action against Carlos R. Irizarry Santiago, a certified public accountant and resident of Puerto Rico, seeking an order directing him to comply with an investigative subpoena for documents and testimony.
According to the SEC’s filing in U.S. District Court for the District of Columbia, the SEC is investigating whether certain individuals or entities violated the antifraud and offering registration provisions of the federal securities laws. The filing states that, based on its ongoing investigation, the SEC has reason to believe that Irizarry, the accountant and Chief Financial Officer for one of the entities, personally prepared financial statements, projections, and other documents for and on behalf of the company and attended meetings in which the company disclosed projections and financial information to investors. As stated in the filing, SEC staff served Irizarry with an investigative subpoena in December 2020, requiring the production of certain documents and compelling his testimony. According to the filing, however, despite multiple accommodations by the SEC, Irizarry has failed and refused to comply with either the document production or the testimonial obligations of the subpoena.
The SEC’s application seeks an order from the court directing Irizarry to show cause why the court should not compel him to appear for testimony and to produce documents as required by the subpoena and seeks an order from the court, following its ruling on the order to show cause, directing Irizarry to comply fully with the subpoena. The SEC is continuing its fact-finding investigation and, to date, has not concluded that any individual or entity has violated the federal securities laws.