Former Financial Advisor Michael Graham Subject of a $300K Customer Dispute

• July 29, 2025
• LPL Financial

Michael Clifford Graham (CRD#: 3263494) was a previously registered broker and investment advisor.

Broker’s History

He entered the securities industry in 1999 and previously worked with Securian Financial Services, Inc; Principal Securities, Inc.; and LPL Financial LLC.

Current and Past Allegations of Conduct Leading to Investment Loss

According to publicly available records released by the U.S Securities and Exchange Commission (SEC),  in June 2025, Michael Graham became the subject of a customer dispute alleging, “the advisor misrepresented guaranteed principal and returns on a secured loan related to a real estate deal.” The damage amount requested was $300,000.00 and the customer dispute is still pending.

In addition, Michael Graham has been the subject of seven other disclosures, including:

• June 2025—Discharged by LPL Financial LLC, “Failed to disclose and receive prior approval for participation in a prohibited outside business activity; participated in and directed clients to private investments.”
• January 2025— “Customer alleges that an investment made in 2023 was unsuitable for the customer’s investment objectives and risk tolerance and that the registered representative engaged in securities transactions away from the firm.” The damage amount requested is $276,200.00 and the customer dispute is still pending.
• July 2023— Tax Judgment Lien $24,202.07.
• July 2023—Tax Judgment Lien $26,944.29.
• July 2023—Tax Judgment Lien $35,047.24.
• July 2033—Tax Judgment Lien $563,677.48.
• June 2005— “FAILURE TO LIQUIDATE VARIABLE ANNUITY SUB ACCOUNTS AS INSTRUCTED.” The damage amount requested was $13,000.00 and the customer dispute settled for $10,223.65.

For a copy of Michael Graham’s SEC Advisor Info, click here.

We Help Investors Recover Investment Losses

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.

Reasonable basis suitability requires that a recommended investment or investment strategy be suitable or appropriate for at least some investors. Reasonable basis suitability requires an advisor to conduct adequate due diligence so that he or she can determine the risks and rewards of the investment or investment strategy.

Customer-specific suitability requires that a member or associated person have a reasonable basis to believe that the recommendation is suitable for a particular customer based on that customer’s investment profile. Among the criteria that a financial advisor must evaluate to satisfy his or her customer-specific suitability obligations include the investor’s age, tax status, time horizon, liquidity needs, and risk tolerance; a client’s other investments, financial situation and needs, investment objectives, and any other information disclosed by the customer should also be considered.

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. 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.