Cease-and-desist order filed against Springfield CPA

Missouri Secretary of State Robin Carnahan was in Springfield on Thursday afternoon to alert clients of a local certified public accountant who allegedly sold unregistered securities and funneled investments to his companies.

Carnahan's office today issued a cease-and-desist order against Murphy M. Hubbard and his two companies - The Hubbard Group PC, at 425-B W. Plainview Road and 1325 W. Sunshine St., Ste. 501, and Holding Group International Ltd., also at the Sunshine office. Hubbard has 30 days to respond to the order before investigators take further action, and criminal charges are a possibility, Carnahan said at a news conference at the Secretary of State's Springfield branch.

Investigators opened the case in June and tracked down a Springfield-area couple that invested money with Hubbard for nearly three decades. In 1998, they used $250,000 to establish a trust fund for their grandchildren's educations. According to Carnahan, Hubbard allegedly managed the account poorly and used it to write more than $19,000 in checks to The Hubbard Group; the trust is now worth less than $48,000, and the couple has stopped receiving payments. Additionally, Hubbard allegedly sold the couple $140,000 in investments that were not properly registered with Carnahan's office.

The order also alleges that Hubbard failed to disclose information to the investors, including a 1998 cease-and-desist order against him and three years of probation placed on his CPA license in 2003.

During the investigation, Hubbard has twice failed to comply with subpoenas.

Carnahan's office is asking other investors who may have used Hubbard's services to contact the office at (800) 721-1996.

"We want to make sure that if there are other people who have had financial dealings with Murphy Hubbard or these companies that they call our office immediately," Carnahan said. "They may not even be aware that their savings are at risk."[[In-content Ad]]