SEC v. Medallion Financial: The Final Judgment, Consent and Permanent Injunctions Against Andrew Murstein

On May 30, 2025, a federal judge entered a Final Judgment permanently enjoining both Medallion Financial Corp. and Andrew Murstein from making false or misleading statements to investors and misleading the Company’s auditors. Medallion paid a $3,000,000 civil penalty; Mr. Murstein is personally paying $1,000,000 in installments — money he cannot recover through insurance, indemnification, or a personal bankruptcy. Solely for purposes of nondischargeability in bankruptcy, Mr. Murstein agreed in writing that “the allegations in the Amended Complaint are true and admitted by Murstein.” The court also required Medallion Financial to hire an Independent Compliance Consultant and create a new Chief Compliance Officer reporting to the Board’s Audit Committee, both of which remain in effect under continuing federal court jurisdiction.