The Securities and Exchange Commission (SEC) has obtained an emergency court order to halt a hedge fund investment scheme run by a former Marine. Clayton A. Cohn and his hedge fund management firm Market Action Advisors defrauded fellow veterans, current military personnel and other investors. Cohn lied to investors about his success as a trader, the performance of the hedge fund and in fact invested less than half of the money raised. In order to cover up his fraud and continue raising money from investors, Cohn generated false account statements showing annual returns exceeding 200 percent.

The court granted the SEC’s request for emergency relief including a temporary restraining order and asset freeze.