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by Mike Caswell

The U.S. Securities and Exchange Commission has permanently banned former New York broker Richard Brown, one of those charged as part of the $131-million Forcefield Energy Inc. manipulation run by Canadian Richard St. Julien. (All figures are in U.S. dollars.) Mr. Brown accepted kickbacks to place clients into Forcefield in 2014 and 2015, buying $1.73-million worth of stock using their accounts. Mr. Brown was one of several brokers and others that Mr. St. Julien employed as part of the scheme, the SEC said.

The ban for Mr. Brown, 45, is contained in an administrative order dated Dec. 20, 2024, and a related civil judgment that the SEC released on Dec. 23, 2024. The SEC has permanently barred Mr. Brown from penny stocks and from working in the brokerage industry. He is also subject to an injunction barring future violations.

The ban comes as part of a case in which the government claimed that Mr. St. Julien defrauded investors in Forcefield, which was listed on Nasdaq. According to the government, Mr. St. Julien paid secret kickbacks to brokers and others he had hired to pitch the stock. Most investors suffered catastrophic losses after the SEC halted Forcefield on April 21, 2015, citing a possible manipulation in progress. The stock, which had a $7.54 high, became nearly worthless (and was last at 0.01 cent).

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