Articles Posted in REITs

shutterstock_70513588-300x200Advisor Gordon Roberts (Roberts), currently employed by Berthel, Fisher & Company Financial Services, Inc. (Berthel, Fisher) has been subject to at least four customer complaints during the course of his career.  According to a BrokerCheck report the customer complaints mostly concerns alternative investments such as direct participation products (DPPs) like non-traded real estate investment trusts (REITs), oil & gas programs, annuities, and equipment leasing programs.  The attorneys at Gana Weinstein LLP have extensive experience handling investor losses caused by these types of products.

In March 2019 a customer complained that Roberts violated the securities laws by alleging that the client is disappointed with the overall performance of his investments and was misled into believing that his investments, purchased between 2008-2012, were balanced to protect against substantial and significant losses.  The complaint also alleges that he was not kept informed of the losses in his account which negatively impacted his financial well being. The claim is currently pending.

In January 2013 a customer complained that Roberts violated the securities laws by alleging that the financial advisor made unsuitable investments and misrepresentations from December 2008 through December 2012 causing damages. The claim settled for $45,000.

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shutterstock_188606033-300x200Advisor Shimshon Plotkin (Plotkin), currently employed by Independent Financial Group, LLC (Independent Financial) has been subject to at least seven customer complaints during the course of his career.  According to a BrokerCheck report the customer complaints mostly concerns alternative investments such as direct participation products (DPPs) like non-traded real estate investment trusts (REITs), oil & gas programs, annuities, and equipment leasing programs.  The attorneys at Gana Weinstein LLP have extensive experience handling investor losses caused by these types of products.

In June 2016 a customer complained that Plotkin violated the securities laws by alleging that the financial advisor breached their fiduciary duty, negligence, misrepresentations, and breach of contract among other allegations associated non-traded REITs and other DPPs causing $1,000,000 in damages. The claim was settled for $250,000.

In January 2016 a customer complained that Plotkin violated the securities laws by alleging that the financial advisor breached their fiduciary duty among other allegations associated with alternative investments causing. The claim was denied by the brokerage firm.

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shutterstock_176198786-300x200Advisor Ashley Woodard (Woodard), currently employed by NYLife Securities LLC (NYLife Securities) has been subject to at least five customer complaints, one tax lien or judgment, and one bankruptcy.  According to a BrokerCheck report some of the customer complaints concern alternative investments and direct participation products (DPPs) such as non-traded real estate investment trusts (REITs), oil & gas programs, annuities, and equipment leasing programs.  The attorneys at Gana Weinstein LLP have extensive experience handling investor losses caused by these types of products.

Woodard operates under the d/b/a name West End Financial Strategies LLC out of Greenville, South Carolina.  In addition, Woodard has several other disclosed outside business activities including Mancora Enterprises LLC and 9/6 Productions LLC.

In May 2019 a customer complained that Woodard violated the securities laws by alleging that the financial advisor invested them in various alternative, illiquid, and unsuitable securities causing $1,000,000 in damages.  The claim is currently pending.

In April 2019 a customer filed a complaint alleging that Woodard violated the securities laws by alleging misrepresentations and suitability related to the alternative/illiquid securities that were recommended. The claim alleged $100,000 in damages and is currently pending.

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shutterstock_20354398-300x200Advisor Thomas Burns (Burns), formerly employed by Crown Capital Securities, L.P. (Crown Capital) has been subject to at least seven customer complaints and two regulatory actions.  According to a BrokerCheck report some of the customer complaints concern alternative investments and direct participation products (DPPs) such as non-traded real estate investment trusts (REITs), oil & gas programs, annuities, and equipment leasing programs.  The attorneys at Gana Weinstein LLP have extensive experience handling investor losses caused by these types of products.

In February 2019 FINRA settled a regulatory dispute with Burns where Burns consented to sanctions and an entry of findings that he negligently made numerous mistakes causing errors and inaccuracies in identifying customer assets on alternative investment forms causing his firm to have inaccurate books and records. For instance, FINRA found that Burns mistakenly double counted assets held away from his firm in direct pension benefit plans by placing the individual holdings in their individual categories and by counting them again in the other assets category. FINRA found that Burns made computational errors in adding up holdings when calculating net worth.  In addition, FINRA alleged that Burns erroneously understated the amount of existing alternative investment holdings by either unintentionally understating the value of existing tenants in common or rental holdings or by misclassifying those existing holdings as personal real estate, instead of as alternative investments.

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shutterstock_103681238-300x300Advisor William Gordon (Gordon), currently employed by Capital Financial Services, Inc. (Capital Financial) has been subject to at least 13 customer complaints and one regulatory complaint.  According to a BrokerCheck report most of the customer complaints concern alternative investments and direct participation products (DPPs) such as private placements, tenants-in-common trusts, non-traded real estate investment trusts (REITs), oil & gas programs, annuities, and equipment leasing programs.  The attorneys at Gana Weinstein LLP have extensive experience handling investor losses caused by these types of products.

In January 2019 a customer filed a complaint alleging that Gordon violated the securities laws including unsuitability, misrepresentation and omissions, and breach of fiduciary duty causing $200,000 in damages.  The claim is currently pending.

In January 2013 a customer filed a complaint alleging that Gordon violated the securities laws including unsuitability causing $300,964 in damages.  The claim settled.

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shutterstock_103681238-300x300Advisor Daniel Davila (Davila), formerly employed by Purshe Kaplan Sterling Investments (Purshe Kaplan) and currently employed by advisory firm Austin Walth Management, LLC (Austin Wealth) has been subject to at least two customer complaints.  According to a BrokerCheck report some of the customer complaints concern alternative investments and direct participation products (DPPs) such as non-traded real estate investment trusts (REITs), oil & gas programs, annuities, and equipment leasing programs.  The attorneys at Gana Weinstein LLP have extensive experience handling investor losses caused by these types of products.

In October 2017 a customer filed a complaint alleging that Davila violated the securities laws by recommending non-traded REIT and private placement investments that were unsuitable in 2010 through 2011.  The claim alleged $1 million in damages and settled for $670,000

Our firm often handles cases involving direct participation products, Non-Traded REITs, oil and gas offerings, equipment leasing products, and other alternative investments.  These products are almost always unsuitable for investors.  In addition, the brokers who sell them are paid additional commission in order to hype inferior quality investments which provides a perverse incentives by brokers to create an artificial market for products that no honest advisor would sell.

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shutterstock_185582-300x225Advisor Victor Rigoni (Rigoni), currently employed by Summit Brokerage Services, Inc. (Summit Brokerage) has been subject to at least three customer complaints.  According to a BrokerCheck report some of the customer complaints concern alternative investments and direct participation products (DPPs) such as non-traded real estate investment trusts (REITs), oil & gas programs, annuities, and equipment leasing programs.  The attorneys at Gana Weinstein LLP have extensive experience handling investor losses caused by these types of products.

In October 2018 a customer filed a complaint alleging that Rigoni violated the securities laws by being recommended alternative investments causing breach of contract, fraud, misrepresentation, breach of fiduciary duty, and violation of FINRA rules. The claim alleges $125,000 in damages and is currently pending.

Rigoni is also the subject of multiple tax liens in amounts totaling over $50,000.  Large tax liens on a broker’s CRD can be a red flag that the broker may be influenced to engage in high commission activity in order to satisfy personal debts.  In addition, a broker’s inability to manage their own finances is relevant in a customer’s decision to use their services.

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shutterstock_187083428-300x198Advisor William Burks (Burks), currently employed by Centaurus Financial, Inc. (Centaurus) has been subject to at least seven customer complaints and one criminal matter.  According to a BrokerCheck report some of the customer complaints concern alternative investments and direct participation products (DPPs) such as non-traded real estate investment trusts (REITs), oil & gas programs, annuities, and equipment leasing programs.  The attorneys at Gana Weinstein LLP have extensive experience handling investor losses caused by these types of products.

In May 2018 a customer filed a complaint alleging that Burks violated the securities laws by making unsuitable recommendations and the associated liquidity risks were not fully explained.  The claim alleges $415,000 in damages and is currently pending.

In January 2016 a customer complained that Burks violated the securities laws by making unsuitable recommendations and misrepresentations.  The claim alleges $32,000 in damages and was denied by the firm.

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shutterstock_156972491-300x198Advisor William Richardson (Richardson), currently employed by InvestCorp, Inc. (InvestaCorp) has been subject to at least five customer complaints.  According to a BrokerCheck report some of the customer complaints concern alternative investments and direct participation products (DPPs) such as non-traded real estate investment trusts (REITs), oil & gas programs, annuities, and equipment leasing programs.  The attorneys at Gana Weinstein LLP have extensive experience handling investor losses caused by these types of products.

In November 2018 a customer filed a complaint alleging that Richardson violated the securities laws by being recommended alternative investments that were unsuitable. The claim alleges $500,000 in damages and is currently pending.

In July 2009 a customer complained that Richardson violated the securities laws by being recommended a limited partnership investment that was not unsuitable. The claim alleges $50,000 in damages and was closed.

Our firm often handles cases involving direct participation products, Non-Traded REITs, oil and gas offerings, equipment leasing products, and other alternative investments.  These products are almost always unsuitable for investors.  In addition, the brokers who sell them are paid additional commission in order to hype inferior quality investments which provides a perverse incentives by brokers to create an artificial market for products that no honest advisor would sell.

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shutterstock_85873471-300x200Advisor Leslie Goldstein (Goldstein), currently employed by Securities America, Inc. (Securities America) has been subject to at least four customer complaints, two regulatory actions, and one employment termination for cause.  According to a BrokerCheck report some of the customer complaints concern alternative investments and direct participation products (DPPs) such as non-traded real estate investment trusts (REITs), oil & gas programs, annuities, and equipment leasing programs.  The attorneys at Gana Weinstein LLP have extensive experience handling investor losses caused by these types of products.

In December 2018 a customer complained that Goldstein violated the securities laws by alleging that the financial advisor did not explain the impact of an early withdrawal from a variable annuity on the client’s future annuity income benefits. The claim was withdrawn.

In July 2018 a customer filed a complaint alleging that Goldstein violated the securities laws by alleging concentrated positions in illiquid investments, annuities, life insurance and non-traded REITs which were unsuitable. The allegations also include churning, excessive commissions, breach of fiduciary duty, and negligence. The claim alleged $1,000,000 in damages and is currently pending.

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