SEC Ends Overseas Boiler Room Case With Final Judgments
SEC final judgments end a 2022 case over 2019 to 2020 overseas boiler rooms, with Daniel Wellcome owing $273,494.92, satisfied by criminal restitution.
Summary
The U.S. District Court for the Southern District of New York entered final judgment against Daniel T. Wellcome Jr. on October 9, 2026, concluding SEC litigation filed February 9, 2022. The SEC alleged that Wellcome, Robert Lenard Booth, Michael D’Urso, Alyssa D’Urso, Antonella Chiaramonte, and Jay Garnock used overseas boiler rooms in 2019 and 2020 to sell fake investments purportedly trading on U.S. exchanges. Booth died, prompting voluntary dismissal on May 30, 2025. Final judgments against the other four defendants were entered June 5, 2025.
The complaint alleged Wellcome connected the boiler rooms with Michael D’Urso, who used Alyssa D’Urso, Chiaramonte, and Garnock as nominees managing bank accounts for fake companies. Michael D’Urso allegedly skimmed investor funds before wiring the balance overseas. Booth, Michael D’Urso, and Wellcome faced Securities Act Section 17(a), Exchange Act Section 10(b), and Rule 10b-5 charges; the other three were charged with violations and aiding and abetting. Booth also faced Section 15(a) broker-registration charges, which Michael D’Urso and Wellcome allegedly aided.
Wellcome was ordered to disgorge $267,404 plus $6,090.92 in prejudgment interest, deemed satisfied by restitution in United States v. Daniel Wellcome, No. 1:22-cr-00196-PKC. An April 1, 2022 consent judgment had already enjoined him and imposed a conduct-based injunction. The four June 2025 judgments imposed similar injunctions and disgorgement plus interest, deemed satisfied through restitution in United States v. Robert Lenard Booth, et al., No. 1:21-cr-00652. The release did not disclose their individual amounts. Melissa Armstrong handled the concluded SEC case.
Positives
- $273,494.92 of Wellcome’s disgorgement and interest was deemed satisfied through restitution ordered in the parallel criminal case.
- Five final judgments imposed injunctions against future securities-law violations and conduct-based restrictions.
- October 9, 2026 final judgment against Wellcome concluded the SEC litigation filed in February 2022.
Risks & concerns
- Investors were allegedly sold fake investments purportedly trading on U.S. exchanges through overseas boiler rooms in 2019 and 2020.
- Michael D’Urso allegedly skimmed part of victims’ money before wiring the remaining funds to overseas boiler rooms.
- Charges against Robert Lenard Booth were voluntarily dismissed on May 30, 2025, following his death.
- The release omitted individual disgorgement and prejudgment-interest amounts for Michael D’Urso, Alyssa D’Urso, Chiaramonte, and Garnock.