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OpenAI, SpaceX investor funds went to strip clubs, Bloomingdale’s, and shopping on Amazon, SEC alleges in charges against private fund advisers

Fortune Amanda Gerut

The U.S. SEC filed charges against private fund advisers it says misled investors by claiming they held pre-IPO stakes in high-profile companies like OpenAI and SpaceX while misappropriating investor money. In one case, the SEC alleges Owen Meyer raised at least $18.5 million and used more than $18,000 of fund capital for strip club payments in April 2023. The SEC is seeking industry bans, disgorgement, and penalties, and the companies named are not accused of wrongdoing.

Why it matters

One fund manager allegedly paid his 4 a.m. strip club bill from fund capital after his card was declined.

Read more related to this at Fortune
U.S. Securities and Exchange Commission Owen Meyer OpenAI SpaceX Bloomingdale’s Amazon

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