Dennis Butler Named in SEC Fraud Charges
Dennis Butler (CRD# 4491587), formerly a broker registered with Phoenix Financial, acted as an unregistered broker in connection with a fraudulent scheme, according to charges by the Securities and Exchange Commission. MDF Law is investigating the former New York City-based financial professional for similar conduct. Former clients who suffered losses in their accounts should contact us for a free, confidential consultation.
To learn more about the charges against Mr. Butler, read on. The information below can be found in his Financial Industry Regulatory Authority BrokerCheck profile, reviewed on February 18, 2025.
SEC Charges Allege Standard Huaxia Fraud
On December 10, 2024, the SEC filed charges against Mr. Butler and a group of other defendants. According to an official litigation release, the other defendants were Tayt Dencer, Luke Dencer, and their companies Standard Holdings and Standard Huaxia. The SEC alleged that these companies defrauded investors “out of millions of dollars, which the Dencers misused and misappropriated to fund their lavish lifestyles.” As for Mr. Butler, the SEC alleges that he acted as an unregistered broker in connection with the scheme.
As alleged, the scheme took place between 2017 and 2023. The Dencers and their companies allegedly raised more than $17 million from 40 investors or more. They purported that they were raising funds “to form a company to provide streaming content to China via an app.” However, according to the SEC, they misappropriated at least $2.8 million in funds. Allegedly, they directed these funds to payments for “home leases, luxury cars, designer clothes and jewelry, vacations, gifts for family and girlfriends, and hundreds of thousands of dollars in cash withdrawals.” They also allegedly “sold investors stock that did not exist,” and made “Ponzi-like payments” to investors.
Pending Charges Seek Penalties
With regard to Mr. Butler, the SEC alleges that he solicited investors to invest at least $2.3 million in the Dencers’ scheme, “improperly” acting as an unregistered broker. He allegedly sold more than one million shares in Huaxia Class A common stock to 15 investors, constituting at least 75 transactions. For these transactions, according to the SEC, he “earned at least $235,700 in transaction-based compensation.” The SEC has charged him with violations of the Exchange Act. It seeks “an injunction, disgorgement with prejudgment interest, and a civil penalty” against him in the charges, which are still pending.
SEC: Dennis Butler Based in Westwood, New Jersey
Mr. Butler launched his career as a broker in 2002. That year, he joined Ladenburg Capital Management’s office in Bethpage, New York. Over the following years, he worked with firms including Legend Merchant Group, John Thomas Financial, and Granta Capital Group. He joined his most recent member firm, Phoenix Financial, in 2013, remaining at its New York City office until 2019. Since his departure from Phoenix Financial, he has not registered with any broker-dealer firm. According to the SEC’s charges, he is based in Westwood, New Jersey.
Standard Huaxia Losses? Call MDF Law Today
Did you lose money on investments in Standard Huaxia recommended by Dennis Butler? You may be able to recover losses. Call MDF Law today for a free consultation about your case. Our dedicated legal team has proven experience advocating for the victims of broker fraud, recovering millions in damages. To chat with an attorney for free, call 800-767-8040 today.