SEC v. Capital Financial Partners, Allen and Daub: guilty pleas (ponzi schemes, 2016)

Judgment entered

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In November 2016 the SEC reported guilty pleas by William Allen and Susan Daub in the athlete-loan scheme it sued on in 2015. On November 17, 2017 the District of Massachusetts entered a final judgment against them and three related entities, with disgorgement of more than $15.7 million plus interest, deemed satisfied by their criminal restitution. Both were sentenced to six years in prison.

The record

What was ordered

Civil penalty

—

Disgorgement

$15.7m

Prejudgment interest

—

Total relief

$15.7m

Alleged gain

—

A dash means the release did not state a figure we could extract, not that the figure is zero. Penalty and disgorgement are stored separately so aggregates across the library do not double-count the same dollars.

What is alleged to have happened

The SEC released LR-23692 on November 22, 2016, reporting that Allen and Daub pleaded guilty to wire fraud and related counts. The underlying SEC action, filed in 2015, alleged Capital Financial Partners and its principals raised almost $32 million for loans to professional athletes and spent investor money elsewhere.

The technique tag is this library's own reading of the conduct the regulator describes; agencies charge statutory provisions, not technique names.

The SEC's November 2017 release (LR-23991) states that the court entered a final judgment against Allen, Daub and three Capital Financial entities requiring disgorgement of more than $15.7 million plus prejudgment interest, an obligation deemed satisfied by the $16.8 million restitution order in the criminal case. Allen and Daub were each sentenced to six years in prison. The release gives no per-defendant breakdown and no penalty, and the stored $15.7 million is the release's rounded lower bound. Not checked against the court docket. Checked on 2026-10-04.

What technique is this, and how does it work?

This action is tagged with one technique in our taxonomy. The tagging is ours: regulators charge statutory provisions, not technique names, so the mapping is an editorial judgement described in our editorial policy.

• Ponzi schemes — see how it works, what statute it engages, and every other action tagged the same way.

Timeline

1. 2016-11-22 Litigation release published
2. 2017-11-17 Final judgment entered (SEC release LR-23991)

Primary documents

Everything on this page derives from the documents below. Where our summary and the primary document disagree, the primary document is right.

• SEC litigation release
• SEC litigation release on the final judgment (LR-23991)

The linked release is a work of the United States government and is not subject to copyright. Our summary and narrative above are our own writing.

Same matter

The library links these 4 records because they appear to concern one matter: the same lead defendant, an overlapping technique tag and close filing dates, or a shared court docket or a release that cites the other. Records are listed by date filed.

This grouping is the library's, made by matching names, techniques, dates and citations when the site is built. It is not the regulator's or a court's determination that the records are one case, and it errs towards missing a link rather than making a false one.

Related actions

Other actions in the library sharing at least one technique tag with this one.

Record added September 10, 2026. submit a correction.