The DC Department of Insurance, Securities and Banking (DISB) directed a company called Capital One Management Inc. to cease and desist from representing to investors that it is authorized to provide services on behalf of DISB. The firm claims to be “deputized” by DISB to gain personal information and funds from individuals. The firm has contacted investors, stating that a company had ceased operations and that DISB has deputized Capital One Management Inc. to assist the investors in pursuing “securities insurance.” The firm provided investors with false documentation, which they allegedly received from DISB to support its fraudulent claim that it has authority to act on the behalf of the agency.

DISB is warning all District investors that the agency has not given any authority to Capital One Management Inc. to act on its behalf for any purpose; and is warning investors not to provide that firm with any personal information or money. Legitimate securities regulators would not, either directly or through a contract with a securities firm, endorse or approve an investment opportunity, or issue securities insurance, or require an investor to submit a deposit to receive assistance. 

Anyone who would like to have information on someone who states that he or she is an employee or representative of DISB should contact the agency directly at (202) 727-8000. 

DISB regulates financial-service businesses in the District of Columbia, including securities professionals. DISB protects District consumers from unfair and abusive practices, while providing an equitable business environment for the regulated entities in Washington, DC.