The consent agreement Alford signed says he will agree to civil penalties to be imposed later by a judge. It also states Alford neither admits nor denies the SEC's allegations.
The deal doesn't affect other civil or criminal cases against Alford. Some investors have lawsuits pending against him in federal court, and he was arrested last year on state charges of racketeering and theft. Katie Byrd, a spokeswoman for Georgia Attorney General Chris Carr, said Friday the state's case remains active.
Alford's attorney, Walter Jospin, declined to comment Friday when reached by email.
The SEC said Alford wooed investors with fake documents such as a balance sheet claiming his company had $162 million in total assets and generated total revenues of $40.5 million in 2018. In reality, the SEC said, Allied's tax returns showed the company had less than $1 million in assets and its 2018 receipts totaled less than $435,000.
Investors bought promissory notes from Alford at values of $25,000 to $825,000 apiece, the court complaint said, with rates of return ranging from 12% to 34%.
The SEC said Alford used money from newer investors to make interest payments to those who invested in the company previously, until he started missing interest payments in April 2019. Soon after, he failed to repay investors’ principal. Then state authorities arrested him last October.
Alford's background in in state government stretched back much further. He served five terms in the Georgia House of Representatives from 1983 to 1993 as a Democrat, but later gravitated toward Republicans. He later served on the state Board of Education and chaired the board of the Technical College System of Georgia.