Castle Hill Financial Group, LLC

ChapmanAlbin is investigating Castle Hill Financial Group, LLC, a Massachusetts investment advisory firm that operated out of Longmeadow, Massachusetts. In April 2026, the Securities and Exchange Commission filed a civil complaint in federal court naming Castle Hill as a defendant, alleging the firm participated in a scheme to misappropriate approximately $1.68 million from at least 18 advisory clients between 2018 and 2025. According to the SEC’s complaint, Castle Hill and its founder John R. Brodacki III induced clients to send investment funds directly to Castle Hill by promising to invest those funds in notes, bonds, certificates of deposit, and other securities, then used the money for personal and business expenses instead. The SEC alleges the repayment structure had hallmarks of a Ponzi scheme and that at least one client received fabricated account statements showing investments that never existed. Castle Hill was involuntarily dissolved by the Commonwealth of Massachusetts as of December 31, 2025, and the SEC is seeking a permanent injunction, disgorgement, and civil penalties against the firm. This page is based on public records including the SEC’s civil complaint (Case 3:26-cv-30055, D. Mass.).

If you were a client of Castle Hill Financial Group and transferred funds at your adviser’s direction, this page explains what the public record shows and what options may be available to you.

Firm Snapshot

Firm name: Castle Hill Financial Group, LLC
Location: Longmeadow, Massachusetts (also maintained an office in Newton, Massachusetts)
Founder and CEO: John R. Brodacki III (CRD 4384857) — deceased approximately March 23, 2026
Primary concern: Alleged misappropriation of approximately $1.68 million from 18 advisory clients; alleged Ponzi scheme characteristics; fabricated account statements
Regulatory action: SEC civil complaint filed April 2, 2026 (Case 3:26-cv-30055, D. Mass.); SEC seeks permanent injunction, disgorgement, and civil penalties against Castle Hill
Status: Involuntarily dissolved by the Commonwealth of Massachusetts as of December 31, 2025

Related Investigations

• John R. Brodacki III (CRD 4384857)

Key Facts and Public Records

• SEC civil complaint, Case 3:26-cv-30055, United States District Court, District of Massachusetts, filed April 2, 2026
• Castle Hill is named as a defendant alongside the Estate of John R. Brodacki III
• At least 18 advisory clients sent approximately $1.845 million to Castle Hill for purported investments between June 2018 and September 2025
• After approximately $162,750 in partial repayments, the SEC estimates net client losses of approximately $1.68 million
• According to the complaint, bank records show little to none of the investment funds were used to make actual investments
• At least one client received fabricated account statements showing nonexistent investments, according to the SEC complaint
• The SEC alleges the repayment structure had hallmarks of a Ponzi scheme, with some client repayments funded by other clients’ money
• Castle Hill was involuntarily dissolved by Massachusetts as of December 31, 2025
• The SEC is seeking a permanent injunction against Castle Hill, disgorgement on a joint and several basis with the Estate, and civil monetary penalties

More Info

Registration and background

Castle Hill Financial Group, LLC was a Massachusetts limited liability company solely owned by John R. Brodacki III, with its principal place of business in Longmeadow, Massachusetts. During most of the period covered by the SEC’s complaint, Castle Hill operated as one of the independent financial advisory entities through which a Commission-registered investment advisory firm conducted business. Brodacki and Castle Hill served as investment advisers to approximately 110 advisory clients and managed approximately $24.5 million in assets during that period. Castle Hill was terminated by the registered adviser in July 2025 and was involuntarily dissolved by Massachusetts at the end of that year. Investors can review Brodacki’s individual registration history on FINRA BrokerCheck.

Regulatory and enforcement actions

On July 11, 2025, the registered adviser supervising Brodacki and Castle Hill terminated the relationship after an internal investigation found that Brodacki had improperly received client funds directly into a Castle Hill account. Following that termination, according to the SEC’s complaint, Brodacki and Castle Hill continued to solicit and accept client funds and maintained a website falsely claiming an ongoing relationship with the registered adviser. That conduct continued through December 2025.

On April 2, 2026, the SEC filed a civil complaint against both Castle Hill and the Estate of John R. Brodacki III. The complaint alleges violations of Sections 206(1) and 206(2) of the Investment Advisers Act of 1940. The SEC is seeking a permanent injunction against Castle Hill, disgorgement of ill-gotten gains plus prejudgment interest on a joint and several basis with the Estate, and civil monetary penalties against the firm. These are allegations in a pending civil action; no court has yet issued a final judgment.

What the SEC alleged

According to the complaint, Castle Hill’s role in the scheme was direct. Clients maintained legitimate brokerage accounts through a custodial firm where their assets were properly held. On top of that, Brodacki used Castle Hill as the vehicle to solicit and receive separate investment funds from those same clients, funds that were supposed to be invested in specific securities but were not.

The SEC’s complaint describes Castle Hill’s bank records showing that client investment funds flowing into the firm’s accounts were spent almost immediately on personal and business expenses, with little to nothing directed toward actual investments. The firm also served as the source of at least one set of fabricated account statements sent to a client to conceal the fact that no investments had been made.

The SEC further alleges that after the registered adviser cut ties with Brodacki and Castle Hill, the firm continued operating, continued accepting client money, and continued misrepresenting its status to clients. That the misconduct persisted after termination, and that the firm was ultimately dissolved rather than wound down properly, are facts that investors who transferred money during any part of the relevant period should be aware of.

What this could mean for investors

The SEC’s complaint names Castle Hill as a defendant in its own right, not merely as a vehicle associated with an individual adviser. That matters for former clients because claims against the firm as an entity may be pursued separately from or alongside claims related to Brodacki’s individual conduct.

Fraud and misappropriation and breach of fiduciary duty are at the center of what the SEC has alleged. The complaint’s description of repayments made using other clients’ funds raises Ponzi scheme considerations that can affect how client losses are evaluated and recovered. Clients who were elderly, retired, or seriously ill and were specifically targeted for out-of-account transfers may have additional grounds under elder financial abuse theories.

The dissolution of Castle Hill and the death of Brodacki make this a complex situation, but they do not necessarily eliminate your options. ChapmanAlbin works on contingency, meaning there is no cost to you unless we recover money on your behalf. If you transferred funds to Castle Hill and did not receive them back, the first step is a free consultation with one of our attorneys.

Common Warning Signs

• Your adviser asked you to send checks or wire transfers directly to Castle Hill Financial Group rather than to your regular custodial brokerage account.
• You were promised a specific return on your investment, such as 6% or 8% interest, but never received documentation showing where your money was actually placed.
• You received account statements from Castle Hill showing investment values that did not correspond to statements from your regular brokerage custodian.
• You were elderly, retired, or living on a fixed income, and your adviser encouraged you to move funds outside your normal account structure.
• You requested your money back and received only a partial repayment, a lengthy delay, or no response at all.
• You later learned that Castle Hill had been dissolved or that your adviser was no longer affiliated with a registered investment advisory firm.

Documents to Gather

• Account statements from your regular custodial brokerage account for the full period you worked with Castle Hill or Brodacki
• Copies of checks written or wire transfer records showing payments made directly to Castle Hill Financial Group
• Any written or emailed materials describing the investments you were told your money would be used for
• Account detail reports or statements you received from Castle Hill showing purported investment values or returns
• Any agreements or correspondence you signed in connection with Castle Hill investments
• Communications from Bay Colony Advisory Group, Castle Hill, or Brodacki about your account, your funds, or the status of your investments

FAQs

What did the SEC allege against Castle Hill Financial Group?

According to the SEC’s civil complaint filed in April 2026, Castle Hill participated in a scheme to misappropriate approximately $1.68 million from at least 18 advisory clients by accepting investment funds directly and then using those funds for personal and business expenses rather than making the promised investments. The SEC is seeking a permanent injunction against the firm, disgorgement of ill-gotten gains, and civil monetary penalties. These are allegations in a pending civil action; no court has yet issued a final judgment.

Castle Hill has been dissolved. Can I still pursue a claim?

Potentially yes. Dissolution of a business entity does not automatically eliminate claims against it or the ability to pursue recovery from its assets. The SEC itself is actively pursuing Castle Hill as a defendant despite its dissolution. Depending on your specific situation, other legal avenues may also be available. You should speak with an attorney to understand your options and any applicable deadlines.

Was an individual adviser also involved?

Yes. John R. Brodacki III (CRD 4384857), the founder and CEO of Castle Hill, is the individual at the center of the SEC’s allegations. The complaint names his estate as a co-defendant. Brodacki died on or about March 23, 2026. Read the John R. Brodacki III investigation →

How does ChapmanAlbin charge for this type of case?

ChapmanAlbin works on contingency. If we take your case and do not recover money for you, you owe us nothing. There is no upfront fee and no cost to speak with one of our attorneys in a free initial consultation.

Disclaimer

This page is for informational purposes only and does not constitute legal advice. The information presented is based on publicly available records including FINRA BrokerCheck and FINRA disciplinary filings. Past outcomes are not a guarantee of future results. Every matter depends on its own facts and circumstances and should be evaluated individually. This site contains attorney advertising. Any reference to past cases or successes should not be construed as a guarantee of any future outcome.