Welcome to the SEC v Strong Inv Mgmt Fair Fund Website

In the Matter of Securities and Exchange Commission vs Strong Investment Management, Joseph B. Bronson, and John B. Engebretson

This Distribution Plan provides for the distribution of funds collected in the above-captioned matter to compensate harmed clients.

According to the Complaint, from January 2012 through in or about July 2016, Strong Investment Management (“SIM”) and Joseph Bronson (“Bronson”) engaged in a fraudulent trade allocation scheme known as cherry-picking. Bronson carried out this scheme by trading in SIM’s omnibus account and delaying allocation of those trades until he determined the security’s intraday performance. SIM and Bronson’s cherry-picking scheme led to a disproportionate number of profitable trades allocated to Bronson’s own account and a disproportionate allocation of unprofitable trades to client accounts.

Strong Investment Management and Joseph B. Bronson have paid the judgment in full, as ordered, a total of $1,245,924.39. The Court also created a Fair Fund, pursuant to Section 308(a) of the Sarbanes-Oxley Act of 2002, so the civil money penalty could be distributed to those harmed by the Defendants’ conduct alleged in the Complaint

Eligible Investor’s Participation Options for this Fair Fund

Distribution Plan Notices and Certification Forms were mailed to known Eligible Investors on December 15, 2022

Complete details regarding participation in this Fair Fund are contained in the Distribution Plan Notice and Distribution Plan found on our Resources page.

If you are an Eligible Claimant, in order to receive a payment from the Distribution Fund:

IF YOU ARE AN ELIGIBLE CLAIMANT AND DO NOT COMPLETE A CERTIFICATION FORM AND RETURN IT TO THE FUND ADMINISTRATOR WITHIN THE DEADLINES DESCRIBED ABOVE, YOU WILL NOT RECEIVE A DISTRIBUTION PAYMENT.