Fiduciary Duties

Broker Billy Aycock in Cabin Securities, Inc. Firm Has Customer Complaint

February 5, 2025 | by Staff Attorney

According to records kept by The Financial Industry Regulatory Authority (FINRA) financial Broker Billy Aycock (Aycock), currently associated with Cabin Securities, Inc., has at least 17 disclosable events. These events include 17 customer complaints, alleging that Aycock recommended unsuitable investments in different investment products including debt securities among other allegations and complaints.

FINRA BrokerCheck shows a pending customer complaint with a damage request of $100,000.00 on November 20, 2024.

Breach of fiduciary duty, negligence, breach of contract, aiding and abetting breach of fiduciary duty and violations of ct and other securities laws.

Broker Timothy Nobles in Investment Planners, Inc. Firm Has Customer Complaint

February 5, 2025 | by Staff Attorney

According to records kept by The Financial Industry Regulatory Authority (FINRA) financial Broker Timothy Nobles (Nobles), currently associated with Investment Planners, Inc., has at least one disclosable event. These events include one customer complaint, alleging that Nobles recommended unsuitable investments in different investment products including debt securities among other allegations and complaints.

FINRA BrokerCheck shows a settled customer complaint with a damage request of $35,000.00 on November 01, 2024.

The investment delivered an outcome that did not align with the claimants goals or understanding of the investment.

There are Recent Customer Complaints with Broker Mark Martin in Firm Integrity Alliance, Llc.

February 5, 2025 | by Staff Attorney

According to records kept by The Financial Industry Regulatory Authority (FINRA) financial Broker Mark Martin (Martin), currently associated with Integrity Alliance, Llc., has at least one disclosable event. These events include one customer complaint, alleging that Martin recommended unsuitable investments in different investment products including debt securities among other allegations and complaints.

FINRA BrokerCheck shows a pending customer complaint with a damage request of $5,000.00 on November 26, 2024.

Insurance agent sold client [redacted] a fixed annuity with colorado banker life. Colorado bankers life became insolvent. Agent is named in civil litigation filed by the client in the state of pennsylvania

There are Recent Customer Complaints with Broker James Peterson in Firm Raymond James Financial Services, Inc.

February 5, 2025 | by Staff Attorney

According to records kept by The Financial Industry Regulatory Authority (FINRA) financial Broker James Peterson (Peterson), currently associated with Raymond James Financial Services, Inc., has at least one disclosable event. These events include one customer complaint, alleging that Peterson recommended unsuitable investments in different investment products including debt securities among other allegations and complaints.

FINRA BrokerCheck shows a pending customer complaint on December 27, 2024.

Client alleged the advisor misappropriated funds and accepted forged documents to establish accounts. Allegation activity dates: 4/26/2010 – 12/24/24.

Broker Joseph Gibbons in Merrill Lynch, Pierce, Fenner & Smith Incorporated Firm Has Customer Complaint

February 5, 2025 | by Staff Attorney

According to records kept by The Financial Industry Regulatory Authority (FINRA) financial Broker Joseph Gibbons (Gibbons), currently associated with Merrill Lynch, Pierce, Fenner & Smith Incorporated, has at least one disclosable event. These events include one customer complaint, alleging that Gibbons recommended unsuitable investments in different investment products including debt securities among other allegations and complaints.

FINRA BrokerCheck shows a pending customer complaint on November 13, 2024.

Customer alleges unsuitable investments from april 2011 to november 2024.

Keith Dagostino Subject to Over A Dozen Customer Complaints

December 27, 2024 | by Staff Attorney

Former financial advisor Keith Dagostino (Dagostino), formerly employed by brokerage firms Aegis Capital Corp (Aegis) and EF Hutton LLC (EF Hutton) has been subject to at least 18 customer complaints during the course of his career. According to a BrokerCheck reports most of the recent customer complaints concern either equity securities and initial public offering securities (IPOs). The attorneys at Gana Weinstein LLP have represented hundreds of investors who suffered losses caused by these types of investments.

In August 2024 a customer complained that Dagostino violated the securities laws by alleging that Dagostino recommended unsuitable investment strategy and breach of fiduciary duty. The claim alleges $1 million in damages and is currently pending.

In August 2024 a customer complained that Dagostino violated the securities laws by alleging that Dagostino recommended unsuitable investment strategy and breach of fiduciary duty. The claim alleges $589,000 in damages and is currently pending.

In August 2024 a customer complained that Dagostino violated the securities laws by alleging that Dagostino mishandled and IPO transaction and the Claimant seeks a return of the funds. According to the broker comment this matter involves the initial public offering of Veg House which EF Hutton negotiated for Claimant’s securities purchase agreement with PlantX for the Veg House shares. The claim alleges $1 million in damages and is currently pending.

Securities Arbitration – The Basics: What you need to know.

February 23, 2023 | by Staff Attorney

Securities arbitration is a method of resolving disputes between investors and their brokers or brokerage firms, which is governed by the Financial Industry Regulatory Authority (FINRA). FINRA is a self-regulatory organization that oversees the securities industry and provides a forum for resolving disputes between investors and their brokers or brokerage firms.

Securities arbitration through FINRA is a legal process that allows investors to seek redress for claims arising out of their investment accounts, such as fraud, breach of fiduciary duty, unsuitable investment recommendations, selling away or other misconduct. Securities arbitration is generally faster and less expensive than going to court, and the decision of the arbitrator is final and binding on both parties. It is important for investors to understand their rights and legal options if they believe they have been the victim of misconduct by their broker or brokerage firm.

To initiate a securities arbitration through FINRA, an investor must file a Statement of Claim with FINRA, which sets forth the facts and legal basis for the claim. The Statement of Claim must be filed within six years from the occurrence or event giving rise to the claim. However, the occurrence or event that gives rise to a claim is usually considered the date of damages, or the date a reasonable investor knew or should have known about the claim. While brokerage firms usually argue it is the date of purchase, most arbitration panels disagree with that analysis.

Broker Douglas Schmitz Has Customer Complaints

September 25, 2022 | by Staff Attorney

The attorneys at Gana Weinstein LLP are investigating BrokerCheck records reports that broker Douglas Gene Schmitz (Schmitz), currently employed by Classic, LLC (Classic) has been subject to at least three customer complaints during the course of his career. According to records kept by The Financial Industry Regulatory Authority (FINRA), Schmitz’s customer complaints alleges that Schmitz engaged in misconduct relating to the handling of their accounts, including lack of fiduciary responsibility.

In August 2020, a customer complained that Schmitz violated the securities laws by alleging that Schmitz engaged in lack of fiduciary responsibility. The claim alleges $40,000 in damages and is currently pending.

In July 2020, a customer complained that Schmitz violated the securities laws by alleging that Schmitz did not follow direction to liquidate the customer’s account. The damage amount requested was $5,200. The claim was closed-no action.

In April 2020, a customer complained that Schmitz violated the securities laws by alleging that Schmitz engaged in a trade execution failure. The damage amount requested was $750,000. The claim settled in the amount of $275,000.

Tony Barouti Sold GWG Bonds and Has Over $5 Million In Investor Complaints

September 17, 2022 | by Staff Attorney

Advisor Tony Barouti (Barouti), currently employed by brokerage firm Emerson Equity LLC (Emerson Equity) has been subject to at least 15 disclosures and customer complaints. According to a BrokerCheck report the customer complaints concern alternative investments such as direct participation products (DPPs) like business development companies (BDCs), non-traded real estate investment trusts (REITs), oil & gas programs, annuities, and private placements. In Barouti’s case many of the complaints totaling over $5 million in claimed damages have occurred from the sale of GWG Holdings L-Bonds. GWG went into bankruptcy. The attorneys at Gana Weinstein LLP represented nearly 100 investors who suffered losses in GWG.

GWG’s business focused on the acquisition of life insurance policies in the secondary market. GWG was offered to investors even though the company had no significant operating history and no profits. Until 2018, GWG’s sole business was to borrow money to buy life insurance policies in the secondary market at prices that are less than the face value of the insurance benefits payable upon the death of the insureds. GWG would then hold the policies until maturity and collect the face value upon the insured’s death.

The contours of the GWG bonds are as follows:

Brokers Earned up to 8% commissions.
GWG bonds are inadequately secured. While GWG claims that the L Bonds are secured by insurance portfolio, in the prospectus, the life insurance policies held by DLP IV and Life Trust “do not serve as direct collateral for the L Bonds” and have been “pledged as direct collateral securing” other debt obligations senior to L Bond investors.
GWG bonds are “auto-renewable.” Like a magazine subscription, unless an L bond investor gives notice ahead of the maturity date that they wish to redeem their investment, the bond is renewed automatically and replaced with a new one with the same terms and interest rate then being offered by GWG. This feature forces investors to be vigilant as expiration approaches.
GWG bonds are unlisted. This means the bonds are not tradable on any stock exchange. Because there is no market for the L Bonds there is no way for an investor to regularly gauge the value of an L Bonds or the credit worthiness of GWG based on market sentiment.
GWG bonds are not rated. L Bonds were not credit rated by any credit rating agency nor were they insured.

Gana Weinstein LLP Files Complaint On Behalf of Clients Alleging William Fox Sold Unsuitable Alternative Investments

April 13, 2020 | by Staff Attorney

The securities lawyers of Gana Weinstein LLP recently filed a complaint on behalf of a client alleging that William Fox (Fox) and The Fox Alliance, registered with New England Securities (now MML Investors Services LLC) and First Allied Securities, Inc., (First Allied) and the firms failed to supervise Fox’s recommendations and investment activity in alternative investments. The complaint alleges that Fox constructed an investment plan for the Claimants that violated multiple securities laws.

Claimants trusted their investment advisor to prudently invest their income savings that was to be used for their retirement. Fox’s website boasts that the firm’s definition means “a collaboration designed with the intent of leveraging expertise, increasing returns and/or appropriately reducing risk for the parties involved.” Further, Fox claims to provide investors with “institutional caliber investments.”

However, the Claimants alleged that in fact Fox did the exact opposite of what he claims and abused Claimants’ trust by recommending an investment strategy consisting of large concentrations in illiquid, low-quality, speculative, high commission alternative investments that no institution would ever touch. For more than a decade the claim stated that Fox recommended that Claimants invest over $2 million in illiquid securities such as non-traded real estate investment trusts (Non-Traded REITs), private placements, equipment leasing programs, oil and gas programs, and annuities. Of the nearly $3 million Claimants gave Fox to invest the vast majority ended up in these types of programs.