Broker Misconduct

SEC Accuses Fired Wells Fargo Broker Kenneth Welsh of Stealing Nearly $3M From Customers

Published on: November 1, 2021 | by Shepherd Smith Edwards & Kantas, LLP

Senior Citizens Were Among Former Fairfield, NJ Financial Advisor’s Alleged Victims

Kenneth Andrews Welsh, an ex-Wells Fargo Clearing Services broker, is now facing Securities and Exchange Commission (SEC) charges accusing him of misappropriating at least $2.86 million from brokerage firm customers and advisory clients.

Allegedly the financial advisor used victims’ money (including senior citizens) to pay credit card bills and buy precious metals, including gold coins.

SEC Files Fraud Charges Against Barred Broker Michael Shillin Who Is Named In 37 Disputes

Published on: October 11, 2021 | by Shepherd Smith Edwards & Kantas, LLP

Former Wisconsin Financial Advisor is Accused of Defrauding at Least 100 Advisory Clients

Michael Francis Shillin, who was barred by the Financial Industry Regulatory Authority (FINRA) and Wisconsin’s Officer of the Commissioner of Insurance (OCI) in January 2021, is now facing Securities and Exchange Commission (SEC) charges.

The regulator is accusing the previously registered broker and investment advisor of defrauding at least 100 investment advisory clients, including many elderly investors. The SEC brought its case in September 2021.

Investors Accuse Ex-Forta Financial Group Broker Gregory Williams of Broker Misconduct

Published on: October 5, 2021 | by Shepherd Smith Edwards & Kantas, LLP

Pending Customer Disputes Seek Nearly $2.6M in Broker Misconduct Damages

If you suffered losses while working with ex-Forta Financial Group stockbroker Gregory Jon Williams, you may want to consider filing a FINRA arbitration claim to pursue damages.

Williams, who is named in several pending customer disputes, is no longer a registered representative. He appears to still be affiliated with Presidential Wealth Management in Colorado Springs.

Customers of Ex-Aegis Capital Broker Scott Hananel Claim Investment Losses

Published on: August 19, 2021 | by Shepherd Smith Edwards & Kantas, LLP

Former Melville, NJ Financial Advisor Has Been Named in Six Disputes

If you have suffered investment losses while working with ex-Aegis Capital stockbroker Scott Neil Hananel, contact Shepherd Smith Edwards and Kantas (SSEK Law Firm at investorlawyers.com) so that we can help you explore your legal options.

Hananel, who is no longer a registered financial advisor, has been named in six customer disputes over the years. A few of them are still pending. BrokerCheck notes the disputes on Hananel’s record:

Inappropriate COVID-19 Loan Applications Led To FINRA Sanctions for Brokers From Wells Fargo, J.P. Morgan Securities, and Merrill Lynch

Published on: August 9, 2021 | by Shepherd Smith Edwards & Kantas, LLP

COVID Relief Loans Involved Undisclosed Business Outside Their Brokerage Firms

According to InvestmentNews, ex-J.P. Morgan Securities broker Gloria Willis, former Merrill Lynch stockbroker Evelyn Batista, and ex-Wells Fargo financial advisor Kenric Sexton have either been barred or suspended from the securities industry.

These Financial Industry Regulatory Authority (FINRA) sanctions were imposed after the self-regulatory organization (SRO) found that all three of them either inappropriately or incorrectly applied for federal COVID-relief loan programs geared towards small businesses in the wake of the coronavirus pandemic.

Former LPL Broker Paul McGonigle is Accused of Defrauding Investors

Published on: July 21, 2021 | by Shepherd Smith Edwards & Kantas, LLP

Ex-Middleboro, Massachusetts LPL Financial Advisor Could Be Sentenced to 20 Years in Prison

Paul Richard McGonigle, a former LPL Financial broker, has been arrested for allegedly stealing clients’ retirement assets, including older investors. He is charged with aggravated identity theft, mail fraud, and multiple counts of wire fraud. McGonigle could spend 20 years behind bars if convicted.

According to prosecutors, starting in July 2018, McGonigle caused unauthorized withdrawals from clients’ annuities and persuaded some of them to allow him to invest their funds. Instead, the broker allegedly used their money to pay for his expenses. He is accused of posing as his victims during calls with annuity companies and signing as them on forms asking for the annuity withdrawals.

Securities America Advisors Fined $1.75M For Allegedly Failing to Protect Customers From Ex-Broker Hector May Who Stole $8M

Published on: July 15, 2021 | by Shepherd Smith Edwards & Kantas, LLP

SEC Said Firm Didn’t Implement Proper Safeguards To Prevent Misappropriation

The Securities and Exchange Commission (SEC) has fined Securities America Advisors $1.75M for allegedly not doing enough to protect customers from having their money stolen by a former registered representative who misappropriated $8M from at least 15 client accounts. Hector May has pleaded guilty to investment advisor fraud.

Securities America Advisors is the RIA arm of Securities America, Inc., which is owned by Advisor Group Holdings Inc.’s Securities America Financial Corporation. Securities America has been the introducing broker for Securities America Advisors customers.

Former Janney Montgomery Scott Broker Apostolos Pitsironis Arrested For Defrauding Investors

Published on: February 23, 2021 | by Shepherd Smith Edwards & Kantas, LLP

Ex-New York Stockbroker Named In Multiple Customer Disputes

Apostolos Nicolas Pitsironis, a former-Janney Montgomery Scott registered representative who was barred by the Financial Industry Regulatory Authority (FINRA) in 2019 for allegedly defrauding investors, was arrested on February 10 in Dix Hills, New York in a parallel criminal fraud case. Prosecutors contend that he used ex-customers’ funds to pay his expenses, including gambling debts and credit card charges.

According to the US Attorney’s Office for the Eastern District of New York, Pitsironis stole $411K out of one couple’s account. If convicted of wire fraud, Pitsironis could spend up to 20 years behind bars.

Investors Seek $600K in Negligence Claims Naming Money Concepts Capital Broker Ray Reese

Published on: February 9, 2021 | by Shepherd Smith Edwards & Kantas, LLP

Unsuitability, Misrepresentations and Omissions Are Among the Other Allegations

Ray Gene Reese, a Money Concepts Capital stockbroker and investment advisor based in Farmington, Missouri, is currently named in two pending Financial Industry Regulatory Authority (FINRA) arbitration claims seeking $600K in damages. Reese has been in the securities industry for 32 years.

At Shepherd Smith Edwards and Kantas (SSEK Law Firm at investorlawyers.com), we represent investors with FINRA arbitration claims against the broker-dealers and registered representatives responsible for the financial harm they have suffered.

Former Customer of Ex-Raymond James Broker Paul Steffany Wins $320K Award

Published on: September 14, 2020 | by Shepherd Smith Edwards & Kantas, LLP

Family Trust to Receive Compensatory Damages From Broker-Dealer

In its Financial Industry Regulatory Authority (FINRA) arbitration claim against Raymond James & Associates and former broker Paul Anthony Steffany, the Angelina J. Cuccaro Family Trusted was awarded $320K in compensatory damages.

The claimant contends that it was the victim of broker negligence and the firm’s failure to supervise. The former Connecticut broker was barred by the self-regulatory organization (SRO) in 2015.