Anthropic · SpaceX · Anduril · Fortune Technology
AI gets its own “boiler room” scandal
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This was a headline the reporter would been waiting to see.
Key facts
- The alleged boiler room raked in more than $74 million for 11 private funds run from offices on Long Island and New Jersey over the course of four and a half years from December 2020 to June 2025
- Correction, August 18, 2026: The email version of this misstated the investment threshold on one reference
- Despite the promise of no rip offs from “unnecessary fees,” investors paid on average 46% more for their positions than Spaventa’s own companies paid to get them, the SEC alleged in a complaint filed
- At the center of the SEC’s allegations, The Spaventa Group, run by former broker Andrew Spaventa
Summary
“Boiler room raised $74 million selling retirees SpaceX, Anduril, Anthropic, and Perplexity while reaping ‘massive hidden fees,’ SEC claims,” their colleague Amanda Gerut wrote last week, outlining a case that the SEC has brought against a Long Island-based financial firm it’s calling a pre-IPO “boiler room.” At the center of the SEC’s allegations, The Spaventa Group, run by former broker Andrew Spaventa. That there was an alleged boiler room scam running in the tri-state area, amid a legendary, AI-fueled run-up in the private markets isn’t surprising. (the reporter has written extensively about the absolute exuberance—and likely fraud—that’s bound to emerge from this time, as investors chase phantom Anthropic shares, and the secondary market is both massive and unregulated ). “More than 800 people bought in.