FINRA Makes Preliminary Determination To Recommend Disciplinary Action Against Robert Henderson For Allegedly Participating In Undisclosed Outside Business Activities
Robert Henderson (CRD # 1160413) was a former Financial Advisor at IFS Securities in Miami Lakes, FL. Robert Henderson has been in the securities industry since 1984 and previously worked at First American Capital and Trading Corporation, 1st Discount Brokerage, Acument Securites, Delta Equity Services Corporation, Securities America, Inc. and First Montauk Securities Corp.
According to publicly available records released by the Financial Industry Regulatory Authority (FINRA), on July 8, 2019, FINRA “made a preliminary determination to recommend that disciplinary action be brought against Henderson alleging violations of FINRA Rules 3270 and 2010 in that Henderson participated in undisclosed outside business activities; and violations of Article V, Section 2(c) of FINRA’s By-Laws and FINRA Rules 1122 and 2010 in that Henderson willfully failed to timely amend his Form U4.”
For a copy of the FINRA complaint, click https://www.finra.org/sites/default/files/fda_documents/2017053462401%20Robert%20Henderson%20CRD%201160413%20Complaint%20va.pdf
In addition, Robert Henderson has been the subject of eight customer complaints, including the following:
• October 2002 – “CLIENT ALLEGED THAT LOSSES IN HIS ACCOUNT WERE THE RESULT OF UNAUTHORIZED TRADING.” The matter settled for $48,500.
• May 2002 – “CUSTOMERS ALLEGE UNAUTHORIZED TRADING ACTIVITY AND BREACH OF FIDUCIARY DUTIES. ALLEGATIONS ARE BASED ON ACTIVITY THAT OCCURRED IN THE ACCOUNT FROM OCTOBER OF 1998 THROUGH MAY OF 2000.” The matter settled for $40,000.
• October 2001 – “CUSTOMERS ALLEGE UNAUTHORIZED TRADING IN ACCOUNTS, EXCESSIVE TRADING, EXCESSIVE COMMISSIONS AND SUITABILITY ISSUES.” The matter settled for $35,000.
• January 1999 – “CUSTOMER ALLEGES UNAUTHORIZED OPTION TRADES IN ACCOUNT THROUGH DFLTA EQUITY SERVICES CORP.” The matter settled for $10,000.
• November 1998 – “ALLEGED UNSUITABLE TRADES.” The matter settled for $60,000.
Robert Henderson also discloses on his CRD seven 2014 tax liens totaling nearly $1 million.
For a copy of Robert Henderson’s CRD, click https://brokercheck.finra.org/individual/summary/1160413
Financial advisors have a legal and regulatory obligation to recommend only suitable investments that are appropriate for their clients’ needs and objectives. Their employing brokerage firm has a legal and regulatory obligation to supervise the Financial Advisors’ sales practices and dealings with clients. To the extent any of these duties are breached, the customer may be entitled to a recovery of his or her investment losses.
The Wolper Law Firm represents investors nationwide in securities litigation and arbitration on a contingency fee basis. Matt Wolper, the Managing Principal of the Wolper Law Firm, is a trial lawyer who has handled hundreds of securities cases during his career involving a wide range of products, strategies and securities. Prior to representing investors, he was a partner with a national law firm, where he represented some of the largest banks and brokerage firms in the world in securities matters. We can be reached at 800.931.8452 or by email at mwolper@wolperlawfirm.com.
Read MoreStaten Island Brokerage Firm, Chelsea Financial Services, Sanctioned By FINRA For Failure To Supervise
Chelsea Financial Services is a Brokerage Firm based in Staten Island, New York with 68 registered representatives and and 19 branch office locations. According to publicly available records released by the Financial Industry Regulatory Authority (FINRA), on December 4, 2019, Chelsea Financial Services and one its securities principals with supervisory responsibility, Christopher Vetrano, were sanctioned by FINRA for supervisory failures.
Specifically, FINRA found the following:
“During the Relevant Period, Vetrano was CB’s direct supervisor. As set forth below, Vetrano observed multiple red flags indicating that CB was recommending excessive and unsuitable trading in the customer accounts of three customers, but Vetrano failed to reasonably respond to these red flags. The accounts for the three customers had annualized turnover ratios ranging from 39.37 to 43.51, and annualized cost-to-equity ratios ranging from 80.74% to 206.52%, during the Relevant Period. After these accounts appeared on the Firm’s monthly exception report, Vetrano performed manual cost-to-equity calculations for each account. Vetrano’s calculations revealed cost-to-equity ratios ranging from 27% to 94.7%.”
Excessive trading often occurs when a Financial Advisor puts his or her interests ahead of the clients and makes transactions solely for the purpose of generating commissions. Financial Advisors have a regulatory duty to recommend suitable investment strategies. One of the components of the suitability analysis is quantitative suitability.
Quantitative suitability requires a brokerage firm or financial advisor with actual or de facto control over a customer’s account to have a reasonable basis for believing that a series of recommended transactions – even if suitable when viewed in isolation – is not excessive and unsuitable for the customer when taken together in light of the customer’s investment profile. No single test defines excessive activity, but factors such as the turnover rate, the cost-equity ratio, and the use of in-and-out trading in a customer’s account may provide a basis for a finding that a member or associated person has violated the quantitative suitability obligation.
The sanction, which was consented to by Chelsea Financial Services, required the brokerage firm to, among other things, pay a fine of $10,000, restitution of $68,899 and revise its supervisory policies and procedures.
For a copy of the FINRA sanction against Chelsea Financial Services, click https://www.finra.org/sites/default/files/fda_documents/2018059111001%20Chelsea%20Financial%20Services%20CRD%2047770%20and%20Christopher%20Vetrano%20CRD%202476447%20AWC%20va.pdf
The Wolper Law Firm represents investors nationwide in securities litigation and arbitration on a contingency fee basis. Matt Wolper, the Managing Principal of the Wolper Law Firm, is a trial lawyer who has handled hundreds of securities cases during his career involving a wide range of products, strategies and securities. Prior to representing investors, he was a partner with a national law firm, where he represented some of the largest banks and brokerage firms in the world in securities matters. We can be reached at 800.931.8452 or by email at mwolper@wolperlawfirm.com.
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Former Kingsbury Capital Broker, Michael J. Collins, Suspended And Fined By FINRA For Allegedly Engaging In Unapproved Private Securities Transactions
Michael Jason Collins (CRD # 2915653) was a Financial Advisor at Kingsbury Capital, Inc. in Evanston, IL. Michael Collins has been in the securities industry since 1999 and previously worked at Robert W. Baird & Co., Morgan Stanley and Citigroup Global Markets.
According to publicly available records released by the Financial Industry Regulatory Authority (FINRA), on November 18, 2019, Michael Collins was suspended by FINRA for 5 months and fined $10,000 for allegedly participating in private securities transactions without providing prior notice to his firm. Specifically, it is alleged that Michael Collins “solicited individuals to invest in membership units of a limited liability company organized to operate a new restaurant in Chicago, Illinois.”
For a copy of the FINRA sanction, click https://www.finra.org/sites/default/files/fda_documents/2017056104801%20Michael%20Jason%20Collins%20CRD%20291563%20AWC%20va.pdf.
This practice is known in the industry as selling away. The Financial Industry Regulatory Authority (FINRA) strictly prohibits financial advisors from “selling away” or selling securities and investments to clients that are not offered by the brokerage firm with which they are employed. For example, it is illegal and a violation of industry rules for a financial advisor to recommend or even suggest that a client invest in the financial advisor’s own business or a business operated by his or her friends or family. It is not necessary that the financial advisor earn any compensation for recommending an outside investment.
The purpose behind this prohibition is to ensure that a financial advisor only offers to sell securities that have been vetted by his or her employer brokerage firm through a rigorous due diligence process. Most brokerage firms have an approved list of investments, products, and research that can be provided or made available to clients. Any deviation by the financial advisor
In addition, Michael Collins was the subject of a March 2018 customer complaint alleging, “excessive fees were charged to client’s accounts.”
For a copy of Michael Collins’s CRD, click https://brokercheck.finra.org/individual/summary/2915653#disclosuresSection.
Financial advisors have a legal and regulatory obligation to recommend only suitable investments that are appropriate for their clients’ needs and objectives. Their employing brokerage firm has a legal and regulatory obligation to supervise the Financial Advisors’ sales practices and dealings with clients. To the extent any of these duties are breached, the customer may be entitled to a recovery of his or her investment losses.
The Wolper Law Firm represents investors nationwide in securities litigation and arbitration on a contingency fee basis. Matt Wolper, the Managing Principal of the Wolper Law Firm, is a trial lawyer who has handled hundreds of securities cases during his career involving a wide range of products, strategies and securities. Prior to representing investors, he was a partner with a national law firm, where he represented some of the largest banks and brokerage firms in the world in securities matters. We can be reached at 800.931.8452 or by email at mwolper@wolperlawfirm.com.
Read MoreWolper Law Firm Is Pursuing Recovery Options On Behalf Of Investors Who Experienced Losses In The Softbank Vision Fund
The SoftBank Vision Fund is a private placement security issued by SoftBank Group Corp., a Japanese company which is operated by Chairman and Chief Executive Officer Masayoshi Son. The SoftBank Vision Fund raised approximately $100 billion in assets with an eye toward investing in several “start-up” companies.
Two of the largest investments made by the SoftBank Vision Fund were in privately held companies—WeWork and Uber—both companies that have had devastatingly poor fiscal years. In recent accounting, SoftBank Vision Fund has reportedly slashed its valuation of WeWorks by 80% after the company failed to complete its initial public offering. This has reportedly translated into losses of more than $8 billion.
In addition, SoftBank Vision Fund has written down large losses in Uber, the ride-sharing company, and Slack, an online collaboration hub for businesses. The SoftBank Vision Fund purchased majority stakes in these and other companies, which have been bleeding cash and, in turn, negatively impacting invetsors’ principal.
Proper management of private equity funds is essential to the long-term success of the fund. The fund managers have a fiduciary duty to prudently manage the assets. Moreover, Financial Advisors who recommend private equity funds have a fiduciary duty to conduct appropriate due diligence to ensure that the investment strategy is consistent with the needs and objectives of the investor. Failuire to adhere to these fiduciary responsibilities may result in legal liability for attenuating losses.
The Wolper Law Firm represents investors nationwide in securities litigation and arbitration on a contingency fee basis. Matt Wolper, the Managing Principal of the Wolper Law Firm, is a trial lawyer who has handled hundreds of securities cases during his career involving a wide range of products, strategies and securities. Prior to representing investors, he was a partner with a national law firm, where he represented some of the largest banks and brokerage firms in the world in securities matters. We can be reached at 800.931.8452 or by email at mwolper@wolperlawfirm.com.
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Former McNally Financial Services Corporation Financial Advisor, Dennis Nakamura, Barred By FINRA After Failing To Cooperate In Investigation Into Alleged Unsuitable Investment Recommendations
Dennis M. Nakamura (CRD # 819626) was a Financial Advisor at McNally Financial Services Corporation in Moraga, CA. Dennis Nakamura has been in the securities industry since 1976 and previously worked at JHS Capital Advisors, Sterling Financial Investment Group, Round Hill Securities, First Affiliated Securities, Smith Barney, Harris Upham & Co., Executive Financial Services, Emmett A Larkin Company and PML Securities Company.
According to publicly available records released by the Financial Industry Regulatory Authority (FINRA), on November 21, 2019, Dennis Nakamura was barred by FINRA for refusing “to appear and provide on-the-record testimony requested by FINRA in connection to its investigation into whether he violated FINRA rules by making unsuitable investment recommendations to customers while associated with a member firm.”
For a copy of Dennis Nakamura’s FINRA sanction click https://www.finra.org/sites/default/files/fda_documents/2018058820101%20Dennis%20Masaaki%20Nakamura%20CRD%20819626%20AWC%20jm.pdf.
In addition, Dennis Nakamura has been the subject of five customer complaints, including the following allegations:
- July 2018 – “Claimant alleges failure to disclose extent of risk, unauthorized trading, recommending unsuitable investment, breach of fiduciary duty, failure to supervise, churning, breach of contract and elder abuse.” The matter settled for $300,000.
- May 1999 – “FAILURE TO SUPERVISE; ABUSE OF AN ELDER; BREACH OF FIDUCIARY DUTY; BREACH OF THE IMPLIED COVENANT OF GOOD FAITH AND FAIR DEALING; FRAUD, MISREPRESENTATION AND NEGLIGENT MISREPRESENTATION; VIOLATION OF STATE SECURITIES LAWS; NASD RULES OF FAIR PRACTICE AND NYSE RULES.” The matter settled for $19,445.
- July 1993 – “UNSUITABLE TRANSACTIONS.” The matter settled for $12,000.
For a copy of Dennis Nakamura’s CRD, click https://brokercheck.finra.org/individual/summary/819626#disclosuresSection.
Financial advisors have a legal and regulatory obligation to recommend only suitable investments that are appropriate for their clients’ needs and objectives. Their employing brokerage firm has a legal and regulatory obligation to supervise the Financial Advisors’ sales practices and dealings with clients. To the extent any of these duties are breached, the customer may be entitled to a recovery of his or her investment losses.
The Wolper Law Firm represents investors nationwide in securities litigation and arbitration on a contingency fee basis. Matt Wolper, the Managing Principal of the Wolper Law Firm, is a trial lawyer who has handled hundreds of securities cases during his career involving a wide range of products, strategies and securities. Prior to representing investors, he was a partner with a national law firm, where he represented some of the largest banks and brokerage firms in the world in securities matters. We can be reached at 800.931.8452 or by email at mwolper@wolperlawfirm.com.
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Stephen A. Kohn & Associates Financial Advisor, Harold A. Schwartz, Suspended By FINRA For Allegedly Impersonating A Client
Harold Alan Schwartz (CRD # 841225) is a Financial Advisor at Stephan A. Kohn & Associates in Jacksonville, FL. Harold Schwartz has been in the securities industry since 1997 and previously worked at Royal Alliance, The Leaders Group, D.E. Frey & Company, Pruco Securities, Lehman Brothers, E.F. Hutton, Connecticut Mutual Life, and New York Life.
According to publicly available records released by the Financial Industry Regulatory Authority (FINRA), on November 21, 2019, Harold Schwartz was suspended by FINRA for allegedly impersonating “a customer on two telephone calls to an annuity company for the purpose of reducing the periodic withdrawals from the customer’s annuity…”
For a copy of Harold Schwartz’ FINRA sanction click https://www.finra.org/sites/default/files/fda_documents/2019061715601%20Harold%20A.%20Schwartz%20CRD%20841225%20AWC%20jm.pdf.
In February 2019, Harold Schwartz was “permitted to resign” from Royal Alliance relating to these allegations. In addition, Harold Schwartz has two customer complaints disclosed on his CRD alleging:
- August 2018 – “CUSTOMER ALLEGED THAT REPRESENTATIVE GUARANTEED THE MONEY WOULD DOUBLE IN 10 YEARS, BUT THE INCOME BASE IS WHAT DOUBLED IN 10 YEARS.” The matter settled for $100,000.
- December 2001 – “MARKET CONDITIONS CHANGED AND CLIENT BELIEVED POLICY WAS NO LONGER VIABLE.” The matter settled for $118,223.13
For a copy of Harold Schwartz’ CRD, click https://brokercheck.finra.org/individual/summary/841225#disclosuresSection.
Financial advisors have a legal and regulatory obligation to recommend only suitable investments that are appropriate for their clients’ needs and objectives. Their employing brokerage firm has a legal and regulatory obligation to supervise the Financial Advisors’ sales practices and dealings with clients. To the extent any of these duties are breached, the customer may be entitled to a recovery of his or her investment losses.
The Wolper Law Firm represents investors nationwide in securities litigation and arbitration on a contingency fee basis. Matt Wolper, the Managing Principal of the Wolper Law Firm, is a trial lawyer who has handled hundreds of securities cases during his career involving a wide range of products, strategies and securities. Prior to representing investors, he was a partner with a national law firm, where he represented some of the largest banks and brokerage firms in the world in securities matters. We can be reached at 800.931.8452 or by email at mwolper@wolperlawfirm.com.
Read MoreFormer Capital City Securities Financial Advisor, Clint Keener, Barred By FINRA After Failing To Cooperate In Investigation Into Alleged Unsuitable Investment Recommendations
Clint H. Keener (CRD # 2250146) was a Financial Advisor at Capital City Securities, LLC in Powell, OH. Clint Keener has been in the securities industry since 1996 and previously worked at WRP Investments, Stifel, Nicolaus & Company, McDonald Investments Inc., Michael Patterson, Inc., Quantum Capital Corporation and The Hamilton-Shea Group, Inc.
According to publicly available records released by the Financial Industry Regulatory Authority (FINRA), on November 12, 2019, Clint Keener was barred by FINRA for refusing “to appear for FINRA on-the-record testimony requested in connection with an investigation into potential unsuitable recommendations by him.”
For a copy of Clint Keener’s FINRA sanction click https://www.finra.org/sites/default/files/fda_documents/2015048347901%20Clint%20H.%20Keener%20CRD%202250146%20AWC%20va.pdf.
In addition, the State of Ohio Division of Securities suspended Clint Keener in October 2010 because he was “NOT OF GOOD BUSINESS REPUTE AS SET FORTH IN O.R.C. 1707.19(A)(1). Clint Keener was also fined and suspended by FINRA in July 2010 for making “UNSUITABLE TRADE RECOMMENDATIONS IN THE ACCOUNTS OF A CUSTOMER.” In October 2008, Stifel Nicolaus “discharged” Clint Keener for alleged “UNAUTHORIZED TRADING.”
Clint Keener has been the subject of five customer complaints alleging the following:
- August 2008 – “CLIENT ALLEGES BROKER DISCRETION IN CONNECTION WITH MANAGEMENT OF HER ACCOUNT.”
- January 2006 – “CLIENT FEELS MONEY WAS PLACED IN UNSUITABLE INVESTMENTS.” The matter settled for $12,000.
- January 2006 – “CLIENT FEELS THEY WERE MISLEAD ABOUT THE RISKS ASSOCIATED WITH THEIR INVESTMENTS.”
- December 2005 – “CLIENT FEELS THAT THEY WERE MISLEAD ABOUT THE RISKS ASSOCIATED WITH THEIR INVESTMENTS – INAPPROPRIATE INVESTMENTS.” The matter settled for $33,000.
For a copy of Clint Keener’s CRD, click https://brokercheck.finra.org/individual/summary/2250146#disclosuresSection.
Financial advisors have a legal and regulatory obligation to recommend only suitable investments that are appropriate for their clients’ needs and objectives. Their employing brokerage firm has a legal and regulatory obligation to supervise the Financial Advisors’ sales practices and dealings with clients. To the extent any of these duties are breached, the customer may be entitled to a recovery of his or her investment losses.
The Wolper Law Firm represents investors nationwide in securities litigation and arbitration on a contingency fee basis. Matt Wolper, the Managing Principal of the Wolper Law Firm, is a trial lawyer who has handled hundreds of securities cases during his career involving a wide range of products, strategies and securities. Prior to representing investors, he was a partner with a national law firm, where he represented some of the largest banks and brokerage firms in the world in securities matters. We can be reached at 800.931.8452 or by email at mwolper@wolperlawfirm.com.
Read MoreFormer Huntington Investment Company Financial Advisor, Wessam Baiz, Barred By FINRA After Refusing To Comply With Investigation Into Undisclosed Outside Business Activity
Wessam Baiz (CRD # 6501692) was a Financial Advisor at the Huntington Investment Company in Perrysburg, OH. Wessam Baiz has been in the securities industry since 2015 and previously worked at MML Investors Services, LLC.
According to publicly available records released by the Financial Industry Regulatory Authority (FINRA), in October 2019, Wessam Baiz was barred by FINRA for refusing to “provide information and documents requested by FINRA. The findings stated that Baiz’s member firm terminated his association and indicated on his Form U5 that he failed to meet the terms and expectations of a heightened supervision plan he was placed on by the firm for failure to disclose an outside business activity.”
For a copy of the FINRA sanction, click https://www.finra.org/sites/default/files/fda_documents/2018059632301%20Wessam%20Baiz%20CRD%206501692%20AWC%20va.pdf.
FINRA Rule 3270 prohibits associated persons from engaging in outside business activities that are not disclosed and approved by the employing brokerage firm. The primary purpose of the rule is to ensure that Financial Advisors do not engage in selling away. FINRA strictly prohibits Financial Advisors from “selling away” or selling securities and investments to clients that are not offered by the brokerage firm with which they are employed. For example, it is illegal and a violation of industry rules for a Financial Advisor to recommend or even suggest that a client invest in the Financial Advisor’s own business or a business operated by his or her friends or family. It is not necessary that the Financial Advisor earn any compensation for recommending an outside investment.
The purpose behind this prohibition is to ensure that a Financial Advisor only offers to sell securities that have been vetted by his or her employer brokerage firm through a rigorous due diligence process. Most brokerage firms have an approved list of investments, products, and research that can be provided or made available to clients. Any deviation by the Financial Advisor from the approved product list may constitute selling away.
For a copy of Wessam Baiz’ CRD, click https://brokercheck.finra.org/individual/summary/6501692#disclosuresSection.
Financial advisors have a legal and regulatory obligation to recommend only suitable investments that are appropriate for their clients’ needs and objectives. Their employing brokerage firm has a legal and regulatory obligation to supervise the Financial Advisors’ sales practices and dealings with clients. To the extent any of these duties are breached, the customer may be entitled to a recovery of his or her investment losses.
The Wolper Law Firm represents investors nationwide in securities litigation and arbitration on a contingency fee basis. Matt Wolper, the Managing Principal of the Wolper Law Firm, is a trial lawyer who has handled hundreds of securities cases during his career involving a wide range of products, strategies and securities. Prior to representing investors, he was a partner with a national law firm, where he represented some of the largest banks and brokerage firms in the world in securities matters. We can be reached at 800.931.8452 or by email at mwolper@wolperlawfirm.com.
Read MoreFormer Benjamin Edwards Financial Advisor, Maureen Scalzo, Barred By FINRA After Failing To Comply With Investigation Into Alleged Falsification Of Customer Forms
Maureen Scalzo (CRD # 1349675) was a Financial Advisor at Benjamin F. Edwards & Company, Inc. in Danbury, CT. Maureen Scalzo has been in the securities industry since 1985 and previously worked at Wells Fargo Advisors, LLC and Harris Associates Securities L.P.
According to publicly available records released by the Financial Industry Regulatory Authority (FINRA), in October 2019, Maureen Scalzo was barred by FINRA for refusing to “appear for on-the-record testimony” and for regusing to “participate in FINRA’s investigation into possible alteration or falsification of customer forms submitted to her member firm.”
For a copy of the FINRA sanction, click https://www.finra.org/sites/default/files/fda_documents/2018059088001%20Maureen%20Scalzo%20CRD%201349675%20AWC%20jm.pdf.
In December 2009, Maureen Scalzo was “discharged” by Wells Fargo Advisors for “VIOLATION OF FIRM POLICIES AND PROCEDURES: ALTERING INFORMATION ON CLIENT DOCUMENTS.”
For a copy of Maureen Scalzo’s CRD, click https://brokercheck.finra.org/individual/summary/1349675#disclosuresSection.
Financial advisors have a legal and regulatory obligation to recommend only suitable investments that are appropriate for their clients’ needs and objectives. Their employing brokerage firm has a legal and regulatory obligation to supervise the Financial Advisors’ sales practices and dealings with clients. To the extent any of these duties are breached, the customer may be entitled to a recovery of his or her investment losses.
The Wolper Law Firm represents investors nationwide in securities litigation and arbitration on a contingency fee basis. Matt Wolper, the Managing Principal of the Wolper Law Firm, is a trial lawyer who has handled hundreds of securities cases during his career involving a wide range of products, strategies and securities. Prior to representing investors, he was a partner with a national law firm, where he represented some of the largest banks and brokerage firms in the world in securities matters. We can be reached at 800.931.8452 or by email at mwolper@wolperlawfirm.com.
Read MoreFormer MSI Financial Services Financial Advisor, Benjamin Louder, Jr., Barred By FINRA After Failing To Comply With Investigation Into Alleged Unfair And Deceptive Trade Practices and State Securities Fraud
Benjamin Louder, Jr. (CRD # 3014106) was a Financial Advisor at MSI Financial Services, Inc. in Charlotte, NC. Benjamin Louder has been in the securities industry since 1998 and previously worked at Metropolitan Life Insurance company and Jeffrson Pilot Securities Corporation.
According to publicly available records released by the Financial Industry Regulatory Authority (FINRA), in October 2019, Benjamin Louder was barred by FINRA for refusing to “appear for on-the-record testimony requested by FINRA during the course of an investigation that began after it learned of investor-related civil lawsuits disclosed in amended Form U5s submitted by his former member firm. The findings stated that the civil lawsuits alleged unfair and deceptive trade practices and state securities fraud regarding investments in fictitious entities.”
For a copy of the FINRA sanction, click https://www.finra.org/sites/default/files/fda_documents/2017054137001%20Benjamin%20B.%20Lowder%2C%20Jr.%20CRD%203014106%20%20AWC%20va.pdf.
In addition, Benjamin Louder has been the subject of seven customer complaints during his career, including the following:
- July 2019 – “Plaintiffs alleged Unfair and Deceptive Trade Practices and State Securities Fraud regarding the advisor’s recommendation to invest in private securities commencing 2012.” Alleged damage are $25,000.01, and the matter is currently pending.
- March 2019 – “Plaintiff alleged Unfair and Deceptive Trade Practices and State Securities Fraud regarding the advisor’s recommendation to invest in private securities commencing 2005 and 2016.” Alleged damage are $25,000.01, and the matter is currently pending.
- January 2019 – “Plaintiffs alleged Unfair and Deceptive Trade Practices and State Securities Fraud regarding an investment into a fictitious entity, in 2008, approximately.” Alleged damage are $25,000.01, and the matter is currently pending.
- December 2018 – “Plaintiffs alleged Unfair and Deceptive Trade Practices and State Securities Fraud regarding the advisor’s recommendation to invest in private securities commencing 1999.” Alleged damage are $25,000.01, and the matter is currently pending.
For a copy of Benjamin Louder’s CRD, click https://brokercheck.finra.org/individual/summary/3014106#disclosuresSection.
Financial advisors have a legal and regulatory obligation to recommend only suitable investments that are appropriate for their clients’ needs and objectives. Their employing brokerage firm has a legal and regulatory obligation to supervise the Financial Advisors’ sales practices and dealings with clients. To the extent any of these duties are breached, the customer may be entitled to a recovery of his or her investment losses.
The Wolper Law Firm represents investors nationwide in securities litigation and arbitration on a contingency fee basis. Matt Wolper, the Managing Principal of the Wolper Law Firm, is a trial lawyer who has handled hundreds of securities cases during his career involving a wide range of products, strategies and securities. Prior to representing investors, he was a partner with a national law firm, where he represented some of the largest banks and brokerage firms in the world in securities matters. We can be reached at 800.931.8452 or by email at mwolper@wolperlawfirm.com.
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