Securities Lawyers Blog
The law offices of Gana Weinstein LLP are currently investigating claims that Broker Louis Olave (Olave) has been accused by investors of engaging in fraudulent misappropriation of their funds. According to records kept by The Financial Industry Regulatory Authority (FINRA), it appears that Olave was employed by Lincoln Investment at the time of the activity. If you have been a victim of Olave’s alleged misconduct our firm may be able to assist you in recovering funds.
FINRA BrokerCheck shows a final customer complaint on April 30, 2021.
Without admitting or denying the findings, Olave consented to the sanctions and to the entry of findings that he participated in private securities transactions totaling $217,477 without prior disclosure to, or approval from, his member firm. The findings stated that Olave solicited investors to purchase securities of a company that represented itself as a structured cash flow investment that purchased pensions at a discount from pensioners and then sold a portion of those pensions as a pension stream to investors. The company generally promised investors a seven to eight percent rate of return on their investment. Olave received a total of $3,795 in commissions in connection with his sales of the securities.
FINRA BrokerCheck shows a final customer complaint on April 07, 2021.
Without admitting or denying the findings, Olave consented to the sanctions and to the entry of findings that he participated in private securities transactions totaling $217,477 without prior disclosure to, or approval from, his member firm. The findings stated that Olave solicited investors to purchase securities of a company that represented itself as a structured cash flow investment that purchased pensions at a discount from pensioners and then sold a portion of those pensions as a pension stream to investors. The company generally promised investors a seven to eight percent rate of return on their investment. Olave received a total of $3,795 in commissions in connection with his sales of the securities.
FINRA BrokerCheck shows a award / judgment customer complaint with a damage request of $24,000.00 on April 15, 2020.
Claimant [REDACTED] (“[REDACTED]” or “Claimant”) seeks damages in this arbitration\<char_lb_r>\, based on the unsuitable investment advice from Respondent Questar Capital Corporation\<char_lb_r>\, (“Questar”) and their registered representative, Respondent Louis Olave (“Olave”). Olave\<char_lb_r>\, unreasonably advised Claimant to purchase Future Income Payments, LLC (“FIP”) assets.\<char_lb_r>\, [REDACTED] purchased $25,000 in FIP assets with half of her life savings.
We specialize in representing victims of fraud when financial advisors take loans from clients or facilitate securities transactions through OBAs. In the financial industry, “selling away” refers to the sale of unapproved investment products, fake schemes that conceal stolen funds, and other fraudulent activities, representing a significant violation of securities regulations. “Selling away” is the term used in the industry when a financial advisor solicits investments in companies, promissory notes, or securities without obtaining approval from their affiliated brokerage firm. Although certain investments may have some validity, they frequently devolve into Ponzi schemes or involve advisors unlawfully diverting 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. To adequately supervise their brokers, firms must implement systems that track advisors’ activities and communications 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.
Olave has been in the securities industry for more than 9 years. Olave has been registered as a Broker with Lincoln Investment since 2019.
Investors who have suffered losses are encouraged to contact us at (800) 810-4262 for consultation. At Gana Weinstein LLP, our attorneys are experienced representing investors who have suffered securities losses due to the mishandling of their accounts. Claims may be brought in securities arbitration before FINRA. Our consultations are free of charge and the firm is only compensated if you recover.