The SEC alleges that Quay previously received commissions from selling interests in two metro Atlanta investment frauds halted by regulators. They include $1.1 million in earnings from steering investors into a mortgage-based Ponzi scheme operated by Marietta attorney Robert P. Copeland, who pleaded guilty to a criminal complaint and is serving a 10-year prison sentence.
In announcing the civil lawsuit, the SEC said Quay already settled the claims, though he neither admitted nor denied the allegations. The SEC said Quay agreed to repay profits of $1.4 million, in addition to interest and penalties totaling nearly $630,000, from the latest alleged scheme and funds he and related companies received in the earlier cases.
The lawsuit against Quay’s brother, Jeffrey A. Quay, 44, who is accused of assisting his brother in opening the trading account and making withdrawals, is pending, the SEC said.
Attempts to reach the Quays were not immediately successful.