Securities and Insurance Commissioner Matt Rosendale announced on Wednesday that a recent fraud case has resulted in over $2 million in fines and restitution from the New York brokerage firm of Alexander Capital and two of its employees.

Rosendale outlined the facts of the case from his office in Helena.

“We worked with the federal Securities and Exchange Commission to resolve this case that involved two Montanans who live in Townsend and Chester,” said Rosendale. “Both were victims of fraudulent and unethical financial practices of Alexander Capital salespersons. Alexander Capital and its salespersons engaged in the unethical and fraudulent practices of unauthorized trading, excessive trading, and unsuitable trading against the two Montanans.”

Rosendale outlined the restitution paid to the two individuals who were scammed by this firm.

“As a result, Alexander Capital has paid the Townsend resident $50,853 and the Chester resident $45,800,” he said. “Alexander Capital also paid a $100,000 fine and another almost $10,000 to a company associated with the Townsend resident. In addition, one individual was forced to pay $200,000 in restitution to the Townsend resident and another $35,000 to the resident’s company. Another employee was ordered to pay over $300,000 in restitution to the Chester resident.” One of the employees was also fined $200,000 and the other was fined $300,000. The two men must also reimburse our office nearly $11,000 for investigation costs.”

Rosendale said it was encouraging to return the funds to two older individuals who could not have recovered from the loss of their collective savings without his office’s intervention.