Articles Tagged with securities attorney

shutterstock_188874428-300x200The investment attorneys at Gana LLP are investigating a customer complaint brought against former RBC Capital Broker Martin Olson.  According to BrokerCheck Records kept by the Financial Industry Regulatory Authority (FINRA), Olson was subject to a customer complaint in December 2016.

In December 2016, Olson was named in a customer complaint that asserted breach of fiduciary duty, violation of the Michigan Securities Act and fraud. Olson was found jointly and severally liable and the customer was awarded $250,000 in damages.

The term “securities fraud” covers a range of illegal activities involving the deception of investors or the manipulation of the financial markets. Fraud includes false representations, unauthorized trading, value manipulation, and Ponzi schemes. Investors are protected against fraudulent securities activities by several different civil laws.

First, the Securities Exchange Act of 1934 (15 U.S.C. § 78a et seq.) and Rule 10b-5 protect investors against deceptive and manipulative acts in the purchase or sale of securities. This sweeping legislation is the cornerstone of federal securities laws. Rule 10b-5 makes it unlawful to employ a device or scheme to defraud, to make any untrue statement of material fact or omit to state a material fact not misleading, or to engage in any practice that would operate as a fraud.

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shutterstock_70999552-300x200The investment attorneys at Gana LLP are investigating claims against broker Lyle Boudreaux (Boudreaux). According to BrokerCheck records, Boudreaux has received three customer complaints. Additionally, Boudreaux was terminated from Merrill Lynch in 2012.

In October 2017, a customer allegedly suffered losses in an advisory account due to an allegedly inappropriate investment.

In April 2017, a customer alleged breach of contract, violation of state securities laws, and negligence. The customer is seeking $100,000 in this pending dispute.

In January 2017, a customer allegedly suffered losses as a result of an exchange-traded fund position in an advisory account. This dispute settled for $80,000.

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shutterstock_140186524-300x298The investment lawyers of Gana LLP are investigating the regulatory action brought by the Financial Industry Regulatory Authority (FINRA) against Kenneth Savino (Savino).

According to BrokerCheck records, Savino allegedly purchased shares of a security for $100,000 without providing prior notice to his member firm and Savino inaccurately indicated on an annual compliance questionnaire that he had not participated in any private securities transactions. Savino was suspended for 15 days and fined $5,000. Without admitting or denying the findings, Savino consented to the sanctions and the entry of findings.

Savino was discharged from LPL Financial in October 2015 for allegedly entering into a loan transaction with another company, receiving shares of the company in return, with no pre-approval by the firm. Additionally, Savino allegedly made private securities transaction that he did not have pre-approved by the firm. Savino also allegedly introduced a client to a potential outside investment opportunity that was not approved by the firm.

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shutterstock_184430645-300x225According to BrokerCheck records, Elaine LaCerte (LaCerte), also known as Elaine Diones and Elaine Diones Helzer, was suspended by the Financial Industry Regulatory Authority (FINRA) in August 2017.

LaCerte was suspended for allegedly engaging in an unsuitable pattern of short-term trading of Unite Investment Trusts (UITs) in over 100 customer accounts. Without admitting or denying the findings, LaCerte consented to the sanctions and the entry of findings. The findings stated that “in connection with these accounts, LaCerte repeatedly recommended that the customers purchase UITs and then sell these products well before their maturity dates. In addition, on more than 100 occasions, LaCerte recommended that her customers use the proceeds from the short-term sale of a UIT to purchase another UIT with identical investment objectives. LaCerte’s recommendations caused the customers to incur unnecessary sales charges, and were unsuitable in view of the frequency and cost of the transactions.” LaCerte has been banned from the industry for six months and was ordered to pay a $5,000 fine.

Moreover, LaCerte has been subject to four customer disputes.

In November 2016, a customer alleged LaCerte misrepresented material facts with respect to the purchase of a municipal bond. This dispute settled for $25,000.

In August 2016, a customer alleged LaCerta recommended unsuitable investments. This dispute settled for $24,464.76.

In July 2016, a customer alleged LaCerta misrepresented material facts with respect to investment risks. This dispute settled for $4,000.

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shutterstock_61142644-300x225According to BrokerCheck records kept by the Financial Industry Regulatory Authority (FINRA), broker Jeanette Adcock (Adcock) has been sanctioned for allegedly not complying with Illinois Securities Law.

Additionally, Adcock has been subject to three customer disputes in 2017. Moreover, In April 2017, Adcock was “permitted” to resign from Wayne Hummer Investments because she “failed to forward a written customer complaint to her supervisor or compliance department as required.”

In November 2017, a customer alleged that Adcock made misleading statements regarding a risky investment. The customer is requesting $25,000 in damages in this pending dispute.

In January 2017, a customer alleged Adcock misrepresented and recommended unsuitable products. This dispute settled for over $20,000.

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shutterstock_176198786-300x200The investment lawyers of Gana LLP are investigating the regulatory action brought by the Financial Industry Regulatory Authority (FINRA) against John Leonard (Leonard), working out of Toledo, Ohio. Leonard allegedly failed to request termination of a previous suspension within three months resulting in an automatic bar from association with any FINRA member in all capacities.

According to BrokerCheck records, Leonard had been suspended from associating with any FINRA member in any capacity for allegedly failing to respond to a FINRA request for information. Leonard was barred by FINRA after he failed to request termination of this suspension.

Leonard has been named in five customer complaints and one that is still pending.

The most recent complaint was in June 2016 and alleged unsuitable recommendations. This dispute settled for $25,000. Another complaint in June 2016 alleged unsuitable investments. This dispute settled for $24,000. In October 2016, a different client alleged unsuitable investments. This dispute settled for $60,000. In September 2016, another customer alleged unsuitable investment recommendation were made in 2013 and 2014. This dispute settled for $50,000.

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shutterstock_175483226-300x300Are you hiring the best securities attorney to help you recover investment losses? This article will help you make the right choice when selecting the best FINRA attorney by outlining the most important things to look out for. Consider these five questions to ensure you are hiring the best:

  1. Is the attorney reputable?

It is imperative to hire a reputable attorney for FINRA arbitration who has the necessary educational background, training, and results-oriented experience.  To ensure you are hiring the best securities attorney, look at the attorney’s practice areas, case experience, and client reviews.

shutterstock_163885049-300x200The fiduciary rule passed during the Obama administration is being reviewed by the Department of Labor (DOL), leaving plenty of uncertainty for advisers and investors. As Barry Tempkin reports, “During this period, advisers who do not receive level-fee compensation are held to the DOL impartial conduct standard for retirement accounts, but are not required to enter into best interest contracts for commission-based compensation.” Under the DOL impartial conduct standard, brokers who offer retirement investing advice are required to put clients’ interests ahead of their own. Although portions of the rule went into effect in June, there are additional requirements but the DOL has proposed a delay to fully implementing the rule until July 2019.

We cannot be sure how the current DOL under Secretary Acosta will ultimately handle the adoption of a fiduciary standard. In the meantime, the impartial conduct standard for retirement accounts will likely result in more litigation and arbitration. Since the rule benefits investors, there will likely be a higher success rate for investors’ representatives.

Under the new fiduciary rule, if an adviser engages in a BIC (“Best Interests Contract”) agreement with a client, it allows the adviser to engage in transactions that are prohibited under the rule. If the “Best Interests Contract” (BIC) exception goes into effect, these claims will include breach of contract.

shutterstock_164637593-300x199The investment lawyers of Gana LLP are investigating regulatory action brought by the Financial Industry Regulatory Authority (FINRA) against Christopher Stephen Jorgensen (Jorgensen). Jorgensen allegedly refused to appear for on-the-record testimony requested by FINRA resulting in a ban from the securities industry.

In April 2017, Jorgensen was terminated from his position at Summit Brokerage Services after “the firm received a verbal complaint from a customer who alleged that [he] instructed her not to respond to a FINRA inquiry.”

In 2012, he was terminated from his position at Raymond James Financial Services “due to client complaint and settlement relating to unauthorized discretion.”

shutterstock_113872627-300x300The financial advisor rating firm Paladin Research & Registry assembled a list of the top 10 investment scams investors are facing today. If you are involved in any of these potential scams, the investment attorneys at Gana LLP may be able to help you.

1. Ponzi Schemes

Ponzi schemes came in first-place for having stolen more money than any other type of scam. A Ponzi scheme is a fraudulent investment scam where the scammer promises a high rate of return with little or no risk to investors. Ponzi schemes generate returns for investors by acquiring new investors. This is similar to a pyramid scheme in that both are based on using new investors’ funds to pay the earlier backers. The Ponzi scheme unravels when no more new investors are willing to invest and older investors demand the return of their money. The nature of Ponzi schemes (or pyramid schemes) requires investors (who believe they have a strong investment) to tell friends, family and associates about the investments. The influx of new investors provides scam operators with the assets needed to meet the withdrawal requests of the early investors.