California Broker Ordered by SEC to Pay Back $9 Mil Used for Gambling Debts

The Securities and Exchange Commission has ordered a California broker and investment adviser, John Thornes, to pay back approximately $9 million in fines (including $280,000 in interest) after it was determined he had stolen some $4.4 million from the trust of an 80-year-old client to pay off gambling debts.

Thornes also stole from a deceased man’s trust that was set up to fund college accounts, according to the SEC complaint.

Vacation homes, luxury cars and chartered private jets were also paid for with the stolen funds.

Thornes acted as the trustee of the elderly client’s trust.

The SEC had already expelled him from his firm, Thornes & Associates Inc. Investment Securities, last year.

- Aaron Goldstein, Gambling911.com