The law offices of Gana Weinstein LLP are currently investigating claims that advisor Steven Rodemer (Rodemer) has been accused by his former employer and a financial regulator of taking money from a client account for his personal use among other allegations. According to records kept by The Financial Industry Regulatory Authority (FINRA) Rodemer was terminated by his prior employer, Stifel, Nicolaus & Company, Incorporated (Stifel, Nicolaus) concerning his theft and misappropriation of client funds. If you have been a victim of Rodemer’s alleged misconduct our firm may be able to assist you in recovering funds.
In December 2019 Stifel, Nicolaus terminated Rodemer after alleging that he took money from a client account for his personal use without authorization.
Thereafter, in March 2020, FINRA brought a regulatory action and fount that Rodemer consented to sanctions and findings that he refused to provide on-the-record testimony requested by FINRA during its investigation into the conduct disclosed in a Form U5 submitted by his member firm. FINRA determined that the firm submitted the Form U5 terminating Rodemer for taking money from a client account for his personal use without authorization.
Our law firm has significant experience bringing cases on behalf of defrauded victims when their advisors engage in receiving loans from clients or selling securities sales through OBAs. The sale of unapproved investment products – is a practice known in the industry as “selling away” – a serious violation of the securities laws. In the industry the term selling away refers to when a financial advisor solicits investments in companies, promissory notes, or other securities that are not pre-approved by the broker’s affiliated firm. Sometimes those investments have some legitimacy but often times these types of investments can end up being Ponzi schemes or the advisor can be engaging in the conversion of 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. In order to properly supervise their brokers each firm is required to have procedures in order to monitor the activities of each advisor’s activities and interaction 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.
Rodemer entered the securities industry in 1976. From November 2011 until January 2020 Rodemer was associated with Stifel, Nicolaus out of the firm’s Pueblo, Colorado office location.
Investors who have suffered losses are encouraged to contact us at (800) 810-4262 for consultation. Investors may be able recover their losses through securities arbitration. The attorneys at Gana Weinstein LLP are experienced in representing investors in cases of selling away and brokerage firms failure to supervise their representatives. Our consultations are free of charge and the firm is only compensated if you recover