Securities Fraud

Spartan Capital Securities Broker Joseph Kelly Is Accused of Making Unsuitable Investment Recommendations

Published on: November 24, 2020 | by Shepherd Smith Edwards & Kantas, LLP

New York Stockbroker is Named in Multiple Customer Disputes

If you suffered substantial losses from investments recommended to you by Spartan Capital Securities broker Joseph Kelly, you may have grounds for filing a Financial Industry Regulatory Authority (FINRA) arbitration claim to recover your losses.

Kelly, who is based in New York, is the subject of three pending customer complaints seeking damages. He has been with Spartan Capital Securities since 2017 and before that from 2013 to 2016. At Shepherd Smith Edwards and Kantas (SSEK Law Firm), our New York securities fraud attorneys would be happy to offer you a free case assessment. Contact us at (716) 261-3529 today.

Sierra Income Investors are Losing Money

Published on: November 17, 2020 | by Shepherd Smith Edwards & Kantas, LLP

Risky, Illiquid Business Development Company Was Not Suitable for Many Investors

If you are someone who invested in the Sierra Income Corporation, you may have lost money. This business development company (BDC) is a non-traded investment.

Earlier this year, Sierra Income suffered losses after its announced merger with Medley Capital Corp. and Medley Management Inc. was terminated because of the economic uncertainty caused by COVID-19. Not long after that, the company announced that it was suspending monthly distributions.

UBS Recommended Noble Stock to Customers Until Company’s Bankruptcy

Published on: November 3, 2020 | by Shepherd Smith Edwards & Kantas, LLP

Investors May Have Been Subject to Unsuitable Recommendations & Misrepresentations

If you are a UBS customer whose broker persuaded you to invest in Noble Corporation, you likely have lost money. The offshore drilling company filed for Chapter 11 bankruptcy protection on July 31 in Houston, Texas.

Noble Corp. took a huge financial hit this year as COVID-19 caused oil and gas prices to plunge in value, making oil wells below the sea too costly. However, the company’s financial woes did not stop UBS Financial Group from recommending Noble stock shares to investors all the way leading up to its bankruptcy filing.

Intrinsic Value Partners Co-Founder and Noble Capital Markets Broker Joseph Hain Faces Misrepresentations Allegations

Published on: October 30, 2020 | by Shepherd Smith Edwards & Kantas, LLP

Former Customers of Boca Raton, Florida Financial Advisor Request $700K in Damages

Two investors have filed separate Financial Industry Regulatory Authority (FINRA) arbitration claims against Noble Capital Markets registered representative, Joseph Menachem Hain, also known as Joey Hain. Based in Boca Raton, Hain is the broker-dealer’s investment banking director. He also is the co-founder of the advisory firm, Intrinsic Value Partners.

Hain has worked in the industry for 14 years. Other firms where he used to be a broker include Paulson Investment Company, Aegis Capital Corp., Westpark Capital, Tejas Securities Group, Wynston Hill Capital, and Robotti & Co.

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.

Morgan Stanley Wealth Management To Pay Over $949K for Inadequately Supervising Ex-Broker Kevin Gunnip

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

Morgan Stanley Settlement Includes FINRA Fine and Investor Restitution

According to the Financial Industry Regulatory Authority (FINRA), Morgan Stanley Wealth Management has consented to pay a $175K fine and more than $774K in restitution for allegedly failing to supervise its former broker Kevin Gunnip.

The Texas-based financial representative is accused of excessively trading in preferred securities and corporate bonds over five years, causing 10 customers to lose more than $900K.

Investor Accuses Kestra Broker Stephen Curry in $7.7M FINRA Complaint

Published on: August 19, 2020 | by Shepherd Smith Edwards & Kantas, LLP

Breach of Fiduciary Duty Involving Retirement Fund Alleged

Stephen Fergus Curry, a longtime Kestra Advisory Services registered representative, is named in a nearly $7.8M Financial Industry Regulatory Authority (FINRA) complaint accusing him of breach of fiduciary duty over services performed related to a retirement fund.

Curry has been with Kestra for 13 years. First, he was with Kestra Investment Services and now he’s with Kestra Advisory Services. He also is a registered investment adviser. Before he joined Kestra, Curry was a Waterstone Financial Group broker from 2006 to 2007. He also worked as an investment advisor with NFP Advisor Services from 2007 to 2016.

Former Hilliard Lyons Stockbroker Christopher Bennett Named in 15 Securities Fraud Claims

Published on: August 17, 2020 | by Shepherd Smith Edwards & Kantas, LLP

FINRA Bars Ex-Registered Rep, Who Wouldn’t Cooperate In Investigation

Christopher Duke Bennett, an ex-Hilliard Lyons broker, is barred by the Financial Industry Regulatory Authority (FINRA). Bennett has been the subject of 15 numerous securities fraud customer disputes over the years.

The bar comes after he refused to cooperate in the self-regulatory organization’s (SRO’s) probe that was opened in the wake of several people accusing him of unauthorized trading and making unsuitable investment recommendations. Bennett also is no longer a registered investment adviser.

First Western Capital Management Allegedly Placed Over $666M of Customers’ Money into Investments Reserved for Qualified Institutional Buyers

Published on: July 22, 2020 | by Shepherd Smith Edwards & Kantas, LLP

Colorado Investment Firm Fined $200K For Investing Unqualified Buyers Into Unsuitable Investments

The US Securities and Exchange Commission (SEC) has ordered First Western Capital Management Co. to pay a $200K fine over allegations that, over a 7-year period, it invested over $666M of clients’ funds into securities that they didn’t qualify for. As a result, 81 clients were placed in securities that were reserved for qualified institutional buyers (QIBs), which are investors that have at least $100M in assets.

The firm is a Denver-based investment adviser. Our Colorado investment fraud lawyers at Shepherd Smith Edwards and Kantas are offering free case consultations to customers that were harmed by these unsuitable investment recommendations and sales that the SEC says were initiated by at least nine of First Western’s investment adviser representatives. Contact us today at (720) 439-2827.

Ex-NEXT Financial Broker Charles Kulch Accused of Overconcentrating Over 100 Massachusetts’ Investors in Risky REITs

Published on: July 20, 2020 | by Shepherd Smith Edwards & Kantas, LLP

Galvin’s Office Files Civil Lawsuit Alleging Overconcentration, Unsuitable Investments

William Galvin, the Secretary of the Commonwealth of Massachusetts, has filed civil charges against former NEXT Financial Group broker, Charles Chester Kulch.

The state is accusing him of selling real estate investment trusts (REITs) and variable annuities (VA) to customers for whom they were unsuitable and overconcentrating their portfolios in these high risk, illiquid investments.