The law offices of Gana Weinstein LLP are currently investigating claims that Broker George Warner (Warner) has been accused by investors of engaging in fraudulent misappropriation of their funds. According to records kept by The Financial Industry Regulatory Authority (FINRA), it appears that Warner was employed by Chelsea Financial Services at the time of the activity. If you have been a victim of Warner’s alleged misconduct our firm may be able to assist you in recovering funds.
FINRA BrokerCheck shows a final customer complaint on March 09, 2021.
Without admitting or denying the findings, Warner consented to the sanction and to the entry of findings that he failed to produce information or documents requested by FINRA in connection with an investigation into his potential participation in undisclosed private securities transactions.
FINRA BrokerCheck shows a settled customer complaint with a damage request of $100,000.00 on June 30, 2020.
Selling Away
Our law firm has extensive experience representing defrauded victims when their advisors accept loans from clients or conduct securities sales through OBAs. The sale of unauthorized investment products, fraudulent schemes that disguise misused funds, and other deceptive practices are collectively known in the industry as “selling away,” a serious breach of securities laws. The industry defines “selling away” as a practice where a financial advisor offers investments in securities, companies, or promissory notes that have not been authorized by their brokerage firm. Although certain investments may have some validity, they frequently devolve into Ponzi schemes or involve advisors unlawfully diverting funds.
However, federal securities laws and the FINRA rules require firms to monitor and supervise its employees in order to detect and prevent brokers from offering investments in this fashion. To adequately supervise their brokers, firms must implement systems that track advisors’ activities and communications with the public. Selling away misconduct often occurs where brokerage firms either fail to put in place a reasonable supervisory system or fail to actually implement that system. Supervisory failures allow brokers to engage in unsupervised misconduct that can include all manner improper conduct including selling away.
In cases of selling away the investor is unaware that the advisor’s investments are improper. In many of these cases the investor will not learn that the broker’s activities were wrongful until after the investment scheme is publicized, the broker is fired or charged by law enforcement, or stops returning client calls altogether.
Warner has been in the securities industry for more than 24 years. Warner has been registered as a Broker with Chelsea Financial Services since 2017.
Investors who have suffered losses are encouraged to contact us at (800) 810-4262 for consultation. At Gana Weinstein LLP, our attorneys are experienced representing investors who have suffered securities losses due to the mishandling of their accounts. Claims may be brought in securities arbitration before FINRA. Our consultations are free of charge and the firm is only compensated if you recover.