The case focuses partly on how Adit allegedly profited between acquiring private-company shares and placing them into client funds. The SEC alleges Adit and its affiliates purchased pre-IPO shares and then caused client funds to acquire those investments at higher prices while misrepresenting the original acquisition cost and failing to obtain required consent for the transactions. The alleged conduct occurred from at least April 2019 through December 2024 and involved investments in companies including SpaceX and Klarna. The SEC says Munson also solicited an investor by falsely claiming an Adit fund already owned shares in a private company. The regulator further alleges Adit-controlled funds made favorable unsecured loans that benefited the defendants without authorization or disclosure to investors.