The Securities and Exchange Commission has begun administrative proceedings against Kent Nelson, a former San Diego-based investment adviser who pleaded guilty last year to a federal charge of mail fraud in connection with kickbacks he sent to two New Mexico state treasurers.

A hearing will be scheduled before an administrative law judge and Nelson could be barred from the securities industry, said Donald Hoerl, acting regional director of the SEC's Denver office. A California regulator has already barred him from working as an adviser in that state.

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