Articles Tagged with churning attorney

shutterstock_77335852-300x225According to BrokerCheck records kept by The Financial Industry Regulatory Authority (FINRA) broker Joseph Cotter (Cotter) has been subject to two customer complaints, two employment terminations for cause, and one regulatory action.  Cotter was formerly registered with Next Financial Group, Inc. (Next Financial).  In March 2016 Next Financial terminated Cotter claiming that the firm conducted an internal review of the trading activity in a customer’s accounts and found the level of trading activity to be excessive (excessive trading) in light of the customer’s profile and the character of the account.

Thereafter, FINRA investigated Cotter and found that Cotter engaged in excessive, unsuitable trading in the accounts of one customer. FINRA found that Cotter exercised de facto control over an IRA account and a second account of a customer.  FINRA determined that Cotter used this control to excessively trade the accounts in a manner that was inconsistent with the customer’s investment objectives, financial situation, and needs.  The trading generated commissions of $100,549 while the client lost $391,893.

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shutterstock_112866430-300x199According to BrokerCheck records kept by The Financial Industry Regulatory Authority (FINRA) broker Jay Shah (Shah) has been subject to five customer complaints.  Shah is currently registered with National Securities Corporation (National Securities).  In May 2017 a customer filed a complaint alleging a number of securities law violations including that the broker engaged in churning (excessive trading), material misrepresentations and omissions, and unsuitable recommendations, among other claims.  The claim alleged $213,085 in damages and is currently pending.

In August 2015 another customer complained that Shah rendered poor investment advice claiming $100,000 in damages.  The claim was closed.  In March 2012 another customer claimed that Shah engaged in unauthorized trading in the customer’s account  The claim was closed.

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