SEC Charges Former Linqto Executives Over $430M Pre-IPO Platform Sales

The US Securities and Exchange Commission filed charges on Oct. 9, 2026, against William Sarris and Joseph Endoso, two former executives of San Jose, California-based platform Linqto, Inc. ¹. The regulator alleges the pair deceived thousands of retail investors who used the platform to buy stakes in private, pre-IPO companies ¹.

According to the SEC complaint filed in the US District Court for the Northern District of California, a Linqto subsidiary sold over $430 million in special purpose vehicles holding interests in private companies between at least 2021 and 2024 ¹. Regulators allege Sarris and Endoso falsely marketed offerings as reflecting fair market or discounted values, despite pricing nearly all securities above fair value ¹. The SEC also alleges the executives falsely claimed securities were "sold out" when inventory remained, claimed an automated algorithm set dynamic prices when personnel actually priced offerings manually, and touted regulatory compliance despite warnings from legal counsel that the business breached federal securities laws ¹.

Unregistered Offerings and Enforcement Demands

The complaint further alleges that the executives operated unregistered investment companies and sold unregistered securities to unaccredited investors through the Linqto subsidiary ¹. Sarris and Endoso face charges under Section 17(a) of the Securities Act of 1933 and Section 10(b) and Rule 10b-5 of the Securities Exchange Act of 1934, along with related aiding and abetting provisions ¹. The agency also charged both individuals with registration violations under the Securities Act and the Investment Company Act of 1940, while charging Sarris with control person liability under Section 20(a) of the Exchange Act ¹.

The SEC is seeking permanent injunctive relief, civil monetary penalties, disgorgement of ill-gotten gains with prejudgment interest, and officer and director bars against both former executives ¹. The civil lawsuit follows an investigation led by the SEC's San Francisco Regional Office, with assistance acknowledged from the FBI and the US Attorney's Office for the Southern District of New York ¹.