Inadequate Supervision

NY Retiree Says David Lerner Associates Broker Mike Norton Sold Her Unsuitable Energy 11 Investment

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

FINRA Arbitration Claim Seeks Up to $100K in Damages for Investor’s Losses

A New York widow is pursuing damages from David Lerner Associates after she suffered losses from investments she purchased at broker Michael Joseph Norton’s recommendation, including the firm’s proprietary Energy 11, LP private placement. Norton, a Syosset, NY stockbroker, has been named in several customer disputes.

Our New York securities fraud attorneys at Shepherd Smith Edwards and Kantas (SSEK Law Firm at investorlawyers.com) are representing this senior investor in her Financial Industry Regulatory Authority (FINRA) arbitration claim against the brokerage firm. She is seeking up to $100K damages along with interest, costs, and legal fees.

LPL Financial Acquires Lucia Securities

Published on: January 18, 2021 | by Shepherd Smith Edwards & Kantas, LLP

San Diego-Based Brokerage Firm Under Scrutiny Over Sierra Income Sales

LPL Financial Holdings (LPLA), the largest independent brokerage firm in the United States, has finalized its acquisition of Lucia Securities, a San Diego-based broker-dealer and registered investment advisor. With over $1.5B in assets, Lucia Securities and its advisors will operate under the name Lucia Capital Group.

Even prior to the acquisition, our San Diego broker fraud attorneys at Shepherd Smith Edwards and Kantas (SSEK Law Firm at Investorlawyers.com) were investigating Lucia Securities over its sale of Sierra Income Corporation investments to customers. LPL Financial also used to market and sell investments in this nontraded business development company (BDC) to investors but stopped.

Utah Retirees Files $500K Investor Fraud Claim Over GPB & REIT Losses After Working With Triad Advisors & Broker Michael Payne

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

Triad Advisors and its Ex-Florida-Based Broker Placed Claimants Funds In Too Risky GPB Capital & REIT Investments

Two Utah retirees have filed a Financial Industry Regulatory Authority (FINRA) arbitration claim against Triad Advisors, Inc. over losses they suffered from investing in GPB private placements and privately traded real estate investment trusts (REITs), including American Realty Capital Trust. Now they are seeking up to $500K in damages.

The couple worked with former Triad Advisors broker Michael Payne, who is now a broker with Proequities, Inc. in Longwood, Florida. He also is a financial representative with Payne Financial Group in Winter Springs, Florida.

Transamerica To Pay $8.8M Over Unsuitable Mutual Fund, 529 Plans, and Variable Annuity Sales

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

FINRA Settlement Includes Restitution to More than 2,400 Customers

In an agreement reached with the Financial Industry Regulatory Authority (FINRA), Transamerica Financial Advisors consented to pay $8.8M over the unsuitable sales of mutual funds, variable annuities (VAs) and 529 savings plans to customers.

$4.4M of this is a fine and $4.4M is restitution to about 2,400 customers who were financially harmed. The firm settled with FINRA but without denying or admitting to its findings.

Coastal Equities To Pay $280K To Elderly and Retiree Clients Over Allegedly Unsuitable Trades

Published on: December 7, 2020 | by Shepherd Smith Edwards & Kantas, LLP

Coastal Equities Has Been The Subject of $3M in Investor Arbitration Claims

Coastal Equities, a mid-sized broker-dealer, recently arrived at a settlement with the Financial Industry Regulatory Authority (FINRA) in which it agreed to give $280K in restitution to several customers. The firm is accused of failing to reasonably supervise one of its registered representatives, who recommended trades that were allegedly excessive and unsuitable. Those who were harmed were retirees and senior investors.

It was just last year that Coastal Equities said in its filing with the US Securities and Exchange Commission (SEC) that investors had submitted $3M in arbitration claims against the firm.

First Republic Securities Brokers Mathew Babrick & James Wilcox Allegedly Unsuitably Recommended Harvest PWS

Published on: November 25, 2020 | by Shepherd Smith Edwards & Kantas, LLP

Customer Seeks $1M Over Harvest Volatility Management, Put Writing Strategy

Matthew Donald Babrick and James W. Wilcox, both First Republic Securities stockbrokers, have been named in a $1M Financial Industry Regulatory Authority (FINRA) arbitration claim against the firm over alleged losses from the Harvest Volatility Management Put Writing Strategy (Harvest PWS).

Wilcox, who is based out of Jackson, Wyoming, and Babrick, who is in Los Angeles, California, are also registered investment advisors with First Republic Investment Management, Inc.

Ex-SagePoint Financial Broker Troy Baily Sold Future Income Payments Securities to Investors

Published on: October 23, 2020 | by Shepherd Smith Edwards & Kantas, LLP

FINRA Suspends Nebraska Stockbroker Who Marketed An Alleged $300M Ponzi Scam to Customers

Troy Robert Baily, a former SagePoint Financial broker, has been suspended by the Financial Industry Regulatory Authority (FINRA) for six months. Baily, who is also a previously registered investment advisor, is based in Nebraska.

The suspension comes in the wake of allegations that Baily took part in unapproved and undisclosed private transactions and persuaded customers to invest in Future Income Payments (FIP), which federal prosecutors now say was a $300M Ponzi scam.

Barred Securities America Broker Jaime Westenbarger Faces Securities Fraud Allegations

Published on: October 5, 2020 | by Shepherd Smith Edwards & Kantas, LLP

Michigan Stockbroker Was Fired By Securities America

Jaime Michael Westenbarger, a former Securities America registered representative in Michigan, is currently named in three pending customer complaints accusing him of negligence and stockbroker fraud. Westenbarger, who was fired by the broker-dealer last year, has been barred by the Financial Industry Regulatory Authority (FINRA).

He worked 16 years in the securities industry. Our securities fraud lawyers at SSEK Law Firm are offering free case consultations to former customers of Jaime Westenbarger who’ve suffered significant investment losses. You may have grounds for a FINRA arbitration claim to recover damages.

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.

Arkansas Retiree Who Worked With Ex-LPL Financial Broker Rhett Bedwell Sues for $500K in Damages

Published on: September 7, 2020 | by Shepherd Smith Edwards & Kantas, LLP

Senior Investor’s Loses Retirement Funds Because of Unsuitable Investment

An Arkansas retiree has filed a Financial Industry Regulatory Authority (FINRA) arbitration claim against LPL Financial for losses he suffered because of the unsuitable recommendation of Rhett Douglas Bedwell, one of the broker-dealer’s former registered representatives. Bedwell, who is no longer a stockbroker or investment advisor, is accused of defrauding a number of customers.

Now, this retiree is seeking up to $500K in investment loss damages after Bedwell invested a significant portion of his retirement funds in what appears to have been a Ponzi scam involving Small World Capital and the now defunct, Graysail Capital.