A former executive assistant at a couple of venture capital firms has been charged with fraud in connection with an alleged scheme to misappropriate money from investors in the firms’ private investment funds.
In a complaint filed in the U.S. district court in New Jersey, the U.S. Securities and Exchange Commission (SEC) alleged that Ellen Polcari carried out a fraudulent scheme between April 2023 and March 2025 that resulted in the misappropriation of approximately US$1.3 million of the US$28.7 million raised by the VC firms’ funds.
According to the complaint, Polcari — who was the only employee without an ownership stake in the firms — communicated with prospective investors in the funds, directed them to wire the investments to bank accounts that she controlled, and then began misappropriating their money for her own use, including to pay her personal credit card bills, for online gambling and to make retail purchases.
Additionally, the SEC alleged that, in August 2024, Polcari also fraudulently transferred shares owned by one of the investment funds to herself, and sold those shares.
“A few months later, Polcari attempted to do so again, but her efforts were thwarted after her fraudulent scheme was uncovered in March 2025,” the regulator said.
The allegations have not been proven.
In its complaint, the SEC is seeking permanent injunctions, disgorgement and civil penalties against Polcari.