The Securities and Exchange Commission has charged Connecticut hedge fund Michael Kenwood Group and its principal, Francisco Illarramendi, with misappropriating $53 millino on investors’ funds.

The SEC said Illarramendi transferred the money to his own accounts and invested the money for his own benefit or for the benefit of entities that be controlled.

“Illarramendi treated his clients’ money like it was his own, diverting millions of dollars that did not belong to him,” said David P. Bergers, director of the SEC’s Boston regional office. “He abused his position of trust with his clients and breached his responsibilities as an investment advisor.”

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