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Walter Valenzuela Is Another Kestra Investment Services Broker Facing Fraud Allegations

Pending Customer Complaints Seek $250K and $1M, Respectively

If you or someone you love lost money while working with stockbroker Walter Roland Valenzuela, our investor attorneys want to speak with you. 

Valenzuela, who became a Kestra Investment Services broker this year, has been the subject of 10 customer complaints during his 27 years in the industry. The latest claim, brought in June, alleges elder abuse, misrepresentation, excessive trading, and unsuitable investment recommendations. The customer is seeking $250K in damages. 

A  different claim that was filed in May seeks $1M in damages and makes similar allegations against Valenzuela, except for the elder financial abuse accusation.

Shepherd Smith Edwards and Kantas (SSEK Law Firm) is investigating a number of current and former Kestra brokers over stockbroker fraud allegations, including those against Walter Valenzuela. If you are a customer who worked with him and you are wondering if your investment losses are due to broker mismanagement or fraud, contact us today.

Broker Fraud Claims Involving Valenzuela Have Resulted in 6-Figure Settlements 

According to his BrokerCheck Record, Walter Valenzuela also previously worked as a registered representative for Hilltop Securities, ML Stern & Co., and one other firm. The first customer dispute involving him was brought in 1999. While two of the claims were denied and two others terminated due to lack of action, four of the disputes led to settlements.

Other allegations made against Walter Valenzuela include:

  • Misrepresentations involving Unit Investment Trusts (UITs)
  • Unsuitable margin use 
  • Churning
  • Excessive mark-ups and mark-downs involving  UITs
  • Breach of fiduciary duty
  • Bond fraud
  • Omissions
  • Brokerage firm negligence 

The settlements reached in the broker fraud claims involving Valenzuela include $400K for alleged senior investor fraud and $100K in an excessive trading case. Many of these customer disputes occurred before Kestra hired Walter Valenzuela, yet the firm brought him on as a broker despite his record. 

He is not the only Kestra Investment Services broker that SSEK Law Firm is investigating. We’ve recently fielded complaints involving ex-stockbroker James Daughtry, whom FINRA barred from the industry in March and is accused of stealing money from customers’ retirement funds. Also, there is current Kestra broker Stephen Curry, who was named in a $7.8M customer dispute in May.

SSEK Law Firm represents investors nationwide and we have recovered tens of millions of dollars on clients’ behalf. Contact us online or call 800-259-9010.

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