SEC v. Evarist C. Amah — U.S. Securities and Exchange Commission Litigation Release No. 26620, dated August 26, 2026.
The SEC charged Evarist C. Amah with defrauding fellow members of his religion by making materially false and misleading statements about investment performance. Amah raised approximately $698,000 through this scheme. After summary judgment and appeals, a modified final judgment was entered, permanently enjoining Amah and ordering him to pay disgorgement, prejudgment interest, and a significant civil penalty.
In Plain English
Imagine someone you trust from your religious community asks you to invest money with them. They promise great returns, but secretly, they are losing a lot of the money. They keep lying about how well the investments are doing to get more money from you and others. Eventually, the authorities find out and stop them, making them pay back some of the money and a penalty.
Disclaimer: all facts are drawn from the SEC's own filings; the claims described are allegations unless and until a court rules or the parties settle, and some cases end in dismissal.
How the Alleged Scheme Worked
- Raising Funds with False Promises Evarist C. Amah allegedly ran a scheme for years, raising about $698,000 from people within his religious community. He told them he was making good investments and showed them positive performance, but this was not true.
- Concealing Investment Losses While Amah presented glowing investment results to his religious peers, he was actually incurring significant losses. He failed to disclose these serious losses, continuing to offer misleadingly positive projections to keep the money coming in.
- SEC Investigation and Lawsuit The SEC filed a complaint against Amah on August 9, 2021, charging him with operating this fraudulent investment scheme. The agency sought to hold him accountable for his actions.
- Summary Judgment and Liability On September 28, 2023, the District Court granted the SEC's motion for summary judgment. The court found Amah liable for fraudulently soliciting investments by consistently misrepresenting his performance and hiding his losses.
- Initial Final Judgment On July 2, 2024, the District Court entered a final judgment. Amah was permanently enjoined from violating securities laws, ordered to disgorge $10,000 in gains with $1,617.82 in prejudgment interest, and to pay a civil penalty of $669,667.00.
- Appeals Court Review Amah appealed the judgment. On February 24, 2026, the Second Circuit affirmed the judgment regarding violations of the Securities Act and Exchange Act but sent back the claims related to the Investment Advisers Act.
- Modified Final Judgment Following the appeals court decision, the SEC requested a modified final judgment. On July 15, 2026, the District Court entered this modified judgment, permanently enjoining Amah and ordering disgorgement of $10,000 with $1,617.82 in interest, and a revised civil penalty of $446,458.00.
The Enforcement Action
On July 15, 2026, the U.S. District Court for the Southern District of New York entered a modified final judgment against Evarist C. Amah. The SEC had previously charged Amah with operating a fraudulent investment scheme targeting fellow members of his religion, raising approximately $698,000 through materially false and misleading statements about his investment performance. The modified final judgment permanently enjoins Amah from violating antifraud provisions of the Securities Act and the Exchange Act. It orders Amah to disgorge $10,000 in ill-gotten gains, with $1,617.82 in prejudgment interest, and to pay a civil penalty of $446,458.00.
Named in this action: Evarist C. Amah.