Paradigm Wealth Advisory Llc

Allegations: WITHOUT ADMITTING OR DENYING THE FINDINGS, THE FIRM CONSENTED TO THE DESCRIBED SANCTIONS AND TO THE ENTRY OF FINDINGS. THE FIRM WAS ORDERED TO PAY A CIVIL MONEY PENALTY OF $50,000 AND DISGORGEMENT OF $343,203.04 FOR VIOLATING SECTION 206(2) AND 206(4) AND RULE 206(4)-7 OF THE ADVISERS ACT. Status: Final Sanction Detail: CIVIL MONETARY PENALTY OF $50,000 AND DISGORGEMENT OF $343,203.04 AND PREJUDGMENT INTEREST OF $46,900.94. Summary: WITHOUT ADMITTING OR DENYING THE FINDINGS, PWM CONSENTED TO SANCTIONS AND TO THE ENTRY OF FINDINGS MADE BY THE SECURITIES AND EXCHANGE COMMISSION ("SEC") ON SEPTEMBER 8, 2021. THE SEC FOUND THAT PWM HAD VIOLATED SECTION 206(2) AND 206(4) AND RULE 206(4)-7 OF THE ADVISERS ACT BY FAILING TO DISCLOSE AN INVESTMENT SELECTION PRACTICE AND RELATED CONFLICTS OF INTEREST RELATED TO MUTUAL FUND SHARE SELECTION. IN ADDITION, THE SEC FOUND PWM INACCURATELY DESCRIBED THE MANNER IN WHICH THE FIRM CALCULATED ADVISORY FEES FOR CLIENTS WHO MAINTAINED MULTIPLE ACCOUNTS AND FAILED TO ADOPT AND IMPLEMENT WRITTEN COMPLIANCE POLICES AND PROCEDURES REASONABLY DESIGNED TO PREVENT VIOLATIONS OF THE ADVISERS ACT IN CONNECTION WITH ITS MUTUAL FUND SHARE CLASS SELECTION AND ADVISORY FEE CALCULATION PROCEDURES.