The SEC claimed that the former head risk manager aided a massive fraud at the firm, a family office that invested the holdings of Bill Hwang.
Scott Becker, who is cooperating with prosecutors in a parallel criminal case, agreed on Tuesday to an order barring him from violating securities laws and deferring questions of civil penalties, disgorgement of illegal gains and a possible bar on acting as an officer or director of a public company.
Patrick Halligan, the former chief financial officer of Hwang and Archegos, was arrested last week and charged with a wide range of crimes. The men pleaded not guilty.
William Tomita, the former head trader for Becker and Archegos, pleaded guilty to charges of fraud and conspiracy and is cooperating with prosecutors in hopes of getting a reduced sentence.
Becker will not contest the truth of the SEC's allegations for purposes of determining whether he will have to pay penalties or be subject to an officer and director.
The case is in the US District Court for the Southern District of New York.
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