Former New Jersey Financial Advisor Allegedly Targeted Florida Doctors
James Alan Seijas, an ex-Wells Fargo Clearing Services broker, was barred by the Financial Industry Regulatory Authority (FINRA) beginning November 2, 2021. The former New Jersey investment advisor did not provide information in the self-regulatory organization’s (SRO’s) investigation into his alleged involvement in an over $33M Ponzi scam.
Seijas, ex-UBS broker Michael Ackerman, and general surgeon Quan Tran are accused of running a cryptocurrency scam that targeted mostly Florida doctors through the entity Q3 Trading Club from 2017 to 2019. This would have been during Seijas’ time as a Wells Fargo registered representative.
According to a class action securities complaint, brought in April 2021, Seijas and his alleged co-conspirators bilked at least 100 entities and people. Many of these investors were doctors. Seijas, Ackerman, and Tran promised to trade cryptocurrencies through a proprietary algorithm.
Instead, contend the plaintiffs, less than $10M was used to trade cryptocurrencies. $20M of the investors’ money allegedly was deposited in the defendants’ bank accounts and spent on luxury purchases.
Ponzi Scam Victims Claim Wells Fargo Didn’t Look Into Seijas’ Activities
Wells Fargo is named in the class action case. The plaintiffs, who are accusing the brokerage firm of vicarious liability, want punitive damages.
Even though Wells Fargo had nothing to do with this alleged Ponzi scheme, it would have been the broker-dealer’s duty to monitor Seijas’ business activities while he was registered with the firm. Failure to supervise can be grounds for an investor to file a FINRA arbitration claim against a brokerage firm to recover damages if losses result.
Many of the investors that were harmed belonged to Tran’s doctor network. According to the investor lawsuit, even though Q3 claimed to have earned 15% monthly profits, the money that didn’t go to the co-conspirators’ bank accounts was mostly lost while speculating on the market.
Seijas and his wife allegedly spent $3.5M of the misappropriated money to buy a house. Ackerman purportedly spent hundreds of thousands of dollars on personal security, jewelry, and cars. Tran allegedly spent $1.4M on a yacht.
According to his BrokerCheck record, James Seijas is no longer a registered broker or investment advisor. He worked for 21 years in the industry. Other firms where he used to be registered include TD Ameritrade, Fidelity Brokerage Services, Barclays Capital, Banc of America Specialist, Fleet Securities, Quick and Reilly, Amerivest Investment Management, and Strategic Advisors.
Other Disclosures on Seijas’ BrokerCheck:
- May 2020: The claimant is accusing Seijas of recommending investments in a hedge fund that was fraudulent.
- March 2020: This investor is accusing Seijas of misrepresenting investments in a Ponzi scam.
What is an Affinity Scam?
This type of investment scheme often targets a specific identifiable group of people. The scammer may be a part of this group, which makes it easier to gain the trust of the victims who are targeted. Affinity schemes can be Ponzi scams.
Why Should You File Your Own FINRA Arbitration Claim?
Filing your own FINRA arbitration claim to recover damages, rather than joining a class action securities case, will increase your chances of maximizing your recovery. It is also important that you have seasoned securities fraud attorneys representing you and protecting your rights.
Shepherd Smith Edwards and Kantas (SSEK Law Firm at investorlawyers.com) has gone up against the largest firms on Wall Street in fighting for investors. We’ve recovered many millions of dollars for our clients.
Skilled Florida FINRA Arbitration Law Firm
Call our Florida securities lawyers at (813) 560-2992 if you sustained losses while working with ex-Wells Fargo broker, James Seijas. You can also reach our experienced attorneys throughout the US at (800) 259-9010 or by contacting us online today.