Saturday, April 25, 2015

Is this CPA masquerading as a Certified Financial Planner?

Matthew Haab, CFP, CPA
Veros Partners President, Matthew David Haab, along with two others, have been charged by the Securities & Exchange Commission.  Haas’ bio states that he is a Certified Financial Planner; however, the CFP Board disagrees.  Is Veros an isolated example of a CPA crossing the line or lax due diligence or was the whole thing simply a stupid mistake?  Below is a blog post from Advance Indiana:

Two local investment advisers, along with a Carmel attorney, stand accused by the Securities & Exchange Commission of running a $15 million Ponzi scheme. Charged in the scheme are Veros Partners' Matthew Haab and Tobin J. Senefeld, and Jeffrey B. Risinger, a Carmel attorney.

According to a press release issued by the SEC, the three men raised $15 million from about 80 investors for the purpose of making short-term loans to farmers. In actuality, the investment proceeds were used to cover unpaid debts already owed by farmers who had been previously loaned money. At the same time, the three men are accused of paying themselves $800,000 in undisclosed "success" and "interest rate spread" fees.

In addition to Veros Partners, Haab, Senefeld and Risinger, the federal complaint also names as defendants Veros Farm Loan Holding, LLC and FarmGrow Cap, LLC, the issuers of the offerings and PinCap, LLC and Pin Financial, LLC as the registered broker-dealer. According to the press release, Judge Jane Magnus-Stinson issued an asset freeze order against the defendants, as well as a temporary restraining order prohibiting them from soliciting, accepting or depositing any monies from prospective investors.

Veros Partners Website Screenshot
The Veros Partners website screenshot asks “Why Veros Dental?”   It asks if you have a CFP on staff; but, looks like they do not have a Certified Financial Planner either.  President Haab indicates he is that expert.  His bio lists him as having a CFP designation; but, the Certified Financial Planning Board disagrees. 
 
Just who is their investment expert?  Other than Haab’s false CFP assertion, I cannot find evidence of investment expertise on the Veros website.  I sent Haab an email and await an explanation. 

Oh, I almost forgot.  Stockbroker Tobin J. Senefeld is somewhere in the mix and also a defendant in the SEC complaint.  Wow!  Senefeld has 25 Financial Industry Regulatory Authority (FINRA) disclosed events including seven “Judgment/Lien” events, a history of over a dozen traffic violations, and six small claims related suits.  Maybe Veros didn’t want his string of tin cans disclosed to their dental and business owner clients.  Just a thought.  Maybe Haab will clear this up.  I’ll let you know.

It may not be the case here; but, sometimes CPAs over-extend and profess expertise that they simply do not have.  Some advertise that they can help you select and plan your investments; but, most don’t have the creds.  I’ve asked the national AICPA and the CFP Board to take a look at Veros and Haab.  

6 comments:

  1. Well it's some kind of a good news. At least they both reap the benefits of their efforts. Can't talk better than that. certified financial planning

    ReplyDelete
  2. According to the Veros partners website on May 30, 2011, Mr. Haab's bio indicates that he is the "Wealth Management Partner." Here is a quote from his Professional Experience: "Matt is a member of the Indiana CPA Society and the Financial Planning Association. His prior experience includes over three years with the Indianapolis office of Arthur Andersen, LLP"

    ReplyDelete
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