Securities Lawyers Blog
According to records kept by The Financial Industry Regulatory Authority (FINRA) financial Broker Franz Lambert (Lambert), previously associated with Spartan Capital Securities, LLC, has at least 2 disclosable events. These events include one customer complaint, one regulatory event, alleging that Lambert recommended unsuitable investments in different investment products including debt securities among other allegations and complaints.
FINRA BrokerCheck shows a final customer complaint on July 13, 2022.
Without admitting or denying the findings, Lambert consented to the sanctions and to the entry of findings that he engaged in excessive and quantitatively unsuitable trading in a senior customer’s account. The findings stated that Lambert recommended high frequency trading in the account, and the customer routinely followed his recommendations. As a result, Lambert exercised de facto control over the customer’s account. Lambert’s trading in the customer’s account generated total trading costs of $308,983, including $289,660 in commissions, and caused $320,906 in realized losses. The customer brought and settled an arbitration claim against Lambert and won an arbitration award against the firm relating to the account at issue here.