SEC v. Mark J. Varacchi and Sentinel Growth Fund Management (ponzi schemes, 2017)

Judgment entered

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In May 2017 the SEC announced a consent judgment in Connecticut against Mark J. Varacchi and Sentinel Growth Fund Management, LLC, with judgment against two Radar hedge funds as relief defendants and a receiver appointed, in a hedge fund Ponzi scheme case. Money relief is left to a later motion.

The record

What was ordered

Civil penalty

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Disgorgement

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Prejudgment interest

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Total relief

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Alleged gain

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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 judgment of May 1, 2017 permanently enjoins Sentinel and Varacchi from antifraud and adviser-fraud violations. Whether to order disgorgement, interest and penalties will be decided later. The SEC alleged they stole at least $3.95 million, including over $1 million to settle a suit by Varacchi's former employer. Varacchi pleaded guilty on February 1, 2017 to securities and wire fraud and consented to an industry bar.

The record listed a lead name ending "et al." This is the follow-up to the February 2017 filing record.

This library tags the matter as ponzi schemes because the document describes payments to earlier participants made from later participants' money. The tagging is ours, not the regulator's: agencies charge statutory provisions, not technique names.

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. 2017-05-01 Litigation release published

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

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 2 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.