Morgan Stanley Sued by Home Shopping Founder’s Widow for $170M

Lynnda L. Speer, the widow of Home Shopping Network co-founder Roy M. Speer, is suing Morgan Stanley Wealth Management (MS), a branch manager, and an adviser for over $170 million. Mrs. Speer contends that the firm and adviser Ami Forte took part in excessive trading, abused their fiduciary duty, and were involved in unauthorized use of discretion.

Now, she is seeking $78 million for Florida Statute violations, up to $66 million in portfolio damages, and up to $44 million for disgorgement and excess commission damages. Also named in the complaint submitted to the Financial Industry Regulatory Authority is Morgan Stanley branch manager Terry McCoy.

Reuters reports that Speer’s case accuses Morgan Stanley of not properly supervising its brokers and failing to act in the best interests of Mr. Speer. When Speer died in 2012 at the age of 80 his estimated worth was approximately $775 million.

The claimants contend that McCoy did not properly supervise their financial adviser. Meantime, Forte is accused of unauthorized and unsuitable trading after the account’s owner experienced diminished capacity. More specifics about the FINRA arbitration case are not yet available.

Even the wealthiest investors can sustain significant losses when subject t the negligent or wrongful actions of a financial representative or a firm. You want to work with a securities law firm that knows how to help you recover your losses and can protect your rights.

Our securities arbitration lawyers represent high net worth investors and institutional investors. Contact The SSEK Partners Group today.

Widow of Home Shopping founder sues Morgan Stanley for $400M, Investment News, April 27, 2015

Widow of Home Shopping Network co-founder seeks $170 million from Morgan Stanley, Tampa Bay Times, April 24, 2015

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US Probing Whether Morgan Stanley Data Breach Was Linked to Fired Financial Adviser, Institutional Investor Securities Blog, February 18, 2015

Morgan Stanley Fires Wealth Management Group Employee For Stealing Client Data, Institutional Investor Securities Blog, January 5, 2015

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