Investor Lawyers Blog

UBS YES Strategy Customers Of Broker Jason Dworak Awarded Over $1M

Published on: March 10, 2021 | by Shepherd Smith Edwards & Kantas, LLP

Lincoln, Nebraska Stockbroker Named In Multiple Six-Figure Options Overlay Claims

A Financial Industry Regulatory Authority (FINRA) arbitration panel has awarded two claimants over $1M in their UBS Yield Enhancement Strategy (YES) claim against respondent UBS Financial Services (UBS).

Their broker, Jason Mathew Dworak, was not a respondent in the customer dispute. However, according to the FINRA award, the panel did not grant the broker-dealer’s request that the case be expunged from his CRD records. Dworak also is named in other pending options overlay claims involving UBS YES.

GPB Capital Notifies Investors of Independent Monitor But Denies Ponzi Fraud Allegations

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

SEC Requested Monitor to Protect GPB Fund Investors

In a letter dated March 3rd, 2021, to all investors of its limited partnerships, CFO and interim CEO of GPB Capital Holdings, Rob Chmiel, notified investors that the firm has consented to a court-appointed independent monitor by the SEC to run the company and oversee its assets.

The regulator said it wanted to protect GPB Fund investors from further financial harm in the wake of the Ponzi fraud charges.

FINRA Bars Former LPL Financial Broker Rhett Bedwell Following Ponzi Fraud Allegations

Published on: March 8, 2021 | by Shepherd Smith Edwards & Kantas, LLP

SSEK Law Firm Is Representing Arkansas Retiree In $500K Customer Dispute

The Financial Industry Regulatory Authority (FINRA) has barred ex-LPL Financial stockbroker, Rhett Douglas Bedwell after he refused to provide key documents into the self-regulatory organization’s probe into allegations that he invested funds from a client’s IRA in a Ponzi scheme. According to LinkedIn, Bedwell, who is based in Bentonville, Arkansas, is president and a financial advisor at Homestead Wealth Management.

Shepherd Smith Edwards and Kantas (SSEK Law Firm at investorlawyers.com) is representing this customer, an Arkansas retiree, in his $500K broker-dealer negligence case against the brokerage firm. If you are another investor who lost money while working with ex-LPL Financial broker Rhett Bedwell or another registered representative from that firm, contact us today to request your free, no-obligation case assessment.

Retiree Files $500K Northstar Financial Services (Bermuda) Fraud Claim Against Truist Investment Services

Published on: March 4, 2021 | by Shepherd Smith Edwards & Kantas, LLP

Latin American Investor Alleges Elder Financial Fraud And Abuse

In a Financial Industry Regulatory Authority (FINRA) arbitration claim against Truist Investment Services, Inc. (aka SunTrust Investment Services, Inc.), a retiree in Latin America is seeking up to $500K in damages. The claimant contends that her broker unsuitably recommended that she invest that amount in Northstar Financial Services (Bermuda) Ltd. The company filed for bankruptcy protection last year.

Truist is SunTrust Bank’s broker-dealer unit. The firm is registered with FINRA. Both entities’ agents heavily promoted Northstar Financial Services (Bermuda)’s fixed- and variable-rate annuity and investment products, which paid commissions, bonuses and other incentives that were greater than what the more typical SunTrust bank products offered.

Atria Wealth Solutions to Acquire SCF Securities Which Sold GPB Investments

Published on: March 3, 2021 | by Shepherd Smith Edwards & Kantas, LLP

Wealth Management Firm Also May Have Sold ARC NYC REIT, NorthstarHealthcare Income REITs, and Other Illiquid Securities

Wealth management solutions holding company, Atria Wealth Solutions, Inc. recently announced that it is acquiring SCF Securities, which is a brokerage firm based in Fresno, California. Also included in the acquisition will be SCF Investment Advisors, Inc. and SCF Marketing, Inc. The deal is expected to be finalized by the middle of 2021.

Our alternative investment fraud lawyers at Shepherd Smith Edwards and Kantas (SSEK Law Firm at investorlawyers.com) are currently investigating SCF Securities over its sale of:

$1.8B Infinity Q Diversified Alpha Fund Stops Suspensions Following Fraud Allegations

Published on: March 2, 2021 | by Shepherd Smith Edwards & Kantas, LLP

Infinity Q Capital Management Founder May Have Incorrectly Valued Certain Fund Assets

The US Securities and Exchange Commission (SEC) has approved the suspension of redemptions on the $1.8B Infinity Q Diversified Alpha Investor Fund (IQDAX). This includes postponing redemption date payments past seven days.

The move comes in the wake of allegations that Infinity Q Capital Management CIO and founder, James Velissaris, may have placed the incorrect value on certain complex derivatives in the open-ended mutual fund.

Missouri and Illinois Fraud Lawsuits Say Ex-GPB Capital Holdings CEO and Ascendant Capital Owner Illicitly Made Over $40M in Over $1.7B Ponzi Scam

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

States Allege Self-Dealing: Key GPB Capital Parties Used Investors’ Money to Fund Luxury Expenses

In separate lawsuits suing GPB Capital Holdings and other key parties for defrauding investors in a more than $1.8B Ponzi scam, Missouri and Illinois regulators are accusing former GPB Capital Holdings CEO, David Gentile, and Ascendant Capital owner, Jeffry Schneider, of illicitly collecting over $40M from the alternative asset firm’s operations.

The two men, along with ex-GPB Managing Partner, Jeffrey Lash, were recently arrested in a related federal criminal case that was brought parallel to the US Securities and Exchange Commission (SEC)’s own civil lawsuit. GPB Capital Holdings is an alternative asset firm that is accused of operating like a Ponzi scam that defrauded over 17,000 investors.

Ex-David Lerner Associates Broker Charles Bonilla Suspended For Alleged Unsuitable Energy Investment Recommendations

Published on: February 25, 2021 | by Shepherd Smith Edwards & Kantas, LLP

Former David Lerner Associate Broker May Have Sold Spirit of America Energy Fund Among Others to Customers

The Financial Industry Regulatory Authority (FINRA) has suspended Florida-based broker, Charles Bonilla, for six months. The action comes over allegations that he unsuitably recommended two energy investments to customers while he was a David Lerner Associates stockbroker without having enough knowledge about them.

Bonilla agreed to the FINRA suspension. He will pay both a $5K penalty and more than $22,400 in disgorgement plus interest. However, he is not denying or admitting to the self-regulatory organization’s (SRO’s) findings.

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.

Investor Blames David Lerner Associates Broker Glenn Werner For Investment Losses

Published on: February 22, 2021 | by Shepherd Smith Edwards & Kantas, LLP

FINRA Arbitration Claim Seeks $250K in Damages, Possibly Involving Energy 11 LP

An investor has filed a Financial Industry Regulatory Authority (FINRA) arbitration claim naming David Lerner Associate, Glenn Howard Werner. Seeking $250K in damages, the claimant contends that misrepresentations and omissions, unsuitable investment recommendations, and a breach of fiduciary duty occurred.

While not specified in Werner’s BrokerCheck, some sources report that mutual funds and energy investments, including Energy 11, LP may have been involved.