Investor Lawyers Blog

J.P. Morgan Securities’ Recommendation of Old Mutual Bermuda Causes Mexican Investor To Suffer Six-Figure Loss

Published on: July 14, 2021 | by Shepherd Smith Edwards & Kantas, LLP

Old Mutual Investor Seeks Up To $500K in Damages

An investor from Mexico has filed a Financial Industry Regulatory Authority (FINRA) arbitration case against J.P. Morgan Securities over the losses she suffered in Old Mutual (Bermuda). The off-shore entity is owned by Greg Lindberg’s Global Bankers, which also owns Northstar Financial Services (Bermuda).

The latter is already the subject of many FINRA arbitration claims against the broker-dealers and their registered representatives that unsuitably recommended products from that off-shore entity to its customers.

David Lerner Associates Unsuitably Recommended Energy Resources 12 and Energy 11 To Disabled Widower

Published on: July 13, 2021 | by Shepherd Smith Edwards & Kantas, LLP

Family of Senior Investor Pursues Up to $500K in Damages on His Behalf

The family of a Connecticut widower has filed a Financial Industry Regulatory Authority (FINRA) arbitration claim against David Lerner Associates after the older investor suffered a six-figure loss in Energy 11 and Energy Resources 12, which are sold exclusively by the brokerage firm to its customers.

The claimant, who suffers from diminished capacity and is not fluent in English, is an unsophisticated investor who should never have been invested in these oil and gas-related investments. Yet for whatever reason, a David Lerner Associates broker unsuitably recommended both of these financial products.

Japanese Investor Says Bancwest Investment Services Recommendation Northstar Financial Services (Bermuda) Caused Six-Figure Loss

Published on: July 12, 2021 | by Shepherd Smith Edwards & Kantas, LLP

Northstar (Bermuda) Investor is Seeking Up to $500K in Damages

An investor in Nagoya, Japan has filed a Financial Industry Regulatory Authority (FINRA) arbitration case against Bancwest Investment Services after she suffered six-figure losses in Northstar Financial Services (Bermuda).

The claimant, who is an inexperienced investor, was referred to her Bancwest Investment Services broker by Bank of the West, which was her bank at the time. Now, she is requesting up to $500K in damages.

FINRA Bars Worden Capital Management Broker Salvatore Pizzimenti Following Churning Allegations

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

SRO Was Investigating Trading Activity in Customers’ Accounts

The Financial Industry Regulatory Authority (FINRA) has barred Salvatore Pizzimenti from the industry. The ex-Worden Capital Management broker was under investigation for trades made in customers’ accounts. The industry bar came after Pizzimenti refused to give testimony in the self-regulatory organization’s (SRO’s) probe into the allegations.

Salvatore Pizzimenti, a former New York broker, has six disclosures on his BrokerCheck record. Aside from the bar, the other five are customer disputes.

David Lerner Associates Broker Martin Walcoe May Have Sold Energy 11, Energy Resources 12, and SOAEX to Customers

Published on: July 7, 2021 | by Shepherd Smith Edwards & Kantas, LLP

Syosset, NY Financial Advisor is Named in $920K of Pending Customer Disputes Alleging Unsuitability

Our energy, oil and gas investment fraud attorneys at Shepherd Smith Edwards and Kantas (SSEK Law Firm at investorlawyers.com) are looking into allegations that David Lerner Associates broker, Martin Kevin Walcoe, may have unsuitably sold Energy 11 LP, Energy Resources 12, and Spirit of America Energy (SOAEX) investments to customers. All three investments have been sold exclusively by David Lerner Associates’ registered representatives to its customers.

Walcoe has spent his entire 34 years in the industry as a David Lerner Associates broker. He has five disclosures on his BrokerCheck record. Two of them are still pending, with customers seeking $920K in damages:

Merrill Lynch To Pay $11.6M To Settle FINRA Case Over Unsuitable Unit Investment Trust Rollovers

Published on: July 6, 2021 | by Shepherd Smith Edwards & Kantas, LLP

Over 3,000 Customers May Have Been Charged More Than $8.4M in Excessive Sales Fees

The Financial Industry Regulatory Authority (FINRA) announced that Merrill Lynch, Pierce, Fenner & Smith will pay approximately $8.4M in restitution and an over $3.2M fine to settle charges alleging supervisory failures involving unit investment trust (UIT) rollovers.

The self-regulatory organization (SRO) contends that over 3,000 customers may have been excessively charged over $8.4M in sales fees related to early rollovers.

Hospitality Investors Trust Files For Chapter 11 Bankruptcy Protection

Published on: June 23, 2021 | by Shepherd Smith Edwards & Kantas, LLP

Non-Traded REIT Seeks To Restructure $1.3B in Unsecured Debt

If you are an investor whose broker recommended that you invest in Hospitality Investors Trust (HIT), you may have grounds for a Financial Industry Regulatory Authority (FINRA) arbitration claim to recover damages.

Hospitality Investors Trust used to be called American Realty Capital Hospitality Trust (ARC Hospitality Trust). In May 2021, the publicly registered non-traded real estate investment trust (non-traded REIT) filed for Chapter 11 Bankruptcy protection as it seeks to restructure its $1.3B in unsecured debt.

Sigma Financial is Facing $4.5M in Possible Damages from Customer Claims Arbitration

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

Recent Report to SEC Notes Four Pending Disputes Against Sigma Financial

InvestmentNews reports that according to Sigma Financial Corp.’s recent Focus Report to the Securities and Exchange Commission (SEC), the firm is contending with four pending Financial Industry Regulatory Authority (FINRA) arbitration claims from customers alleging damages of approximately $4.5M. The broker-dealer noted that it has put aside nearly $652K should these claims result in settlements or awards.

Our broker-dealer negligence lawyers at Shepherd Smith Edwards and Kantas (SSEK Law Firm at investorlawyers.com) are representing clients who have suffered losses because of the negligence or fraudulent actions of a Sigma Financial broker. Call us at (800) 259-9010 today.

Lion Street Financial Broker Richard Baer Named in Disputes Seeking $1.85M in Damages

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

Customers of Lion Street Financial Broker Richard Baer Suffered Over $1.8m in Investment Losses

Lion Street Financial stockbroker, Richard Evan Baer, who is also a registered investment advisor with both React Investment Solutions, LLC and Legacy Capital California, has been named by investors in two pending complaints seeking $1.8M in damages for investment losses they suffered. Three other customer disputes have resulted in settlements.

Our California securities law firm is looking into other claims of losses by customers of Richard Baer. Please contact Shepherd Smith Edwards and Kantas (SSEK Law Firm at investorlawyer.com) today to request your free, no-obligation consultation at (619) 550-4847.

Barred Mutual of Omaha Broker Edward Matthes Gets Over 5 Years in Prison For Investor Fraud

Published on: June 17, 2021 | by Shepherd Smith Edwards & Kantas, LLP

Ex-Wisconsin Financial Advisor Bilked 27 Victims of $2.6M, Many of Them Older Investors

Edward Earl Matthes, an ex-Mutual of Omaha Investor Services broker, is sentenced to 63 months behind bars for defrauding over two dozen investors, most of them older customers, in a $2.6M investment scam. He had pleaded guilty to multiple counts of wire fraud.

Matthews was also the subject of a parallel Securities and Exchange Commission (SEC) lawsuit last year that ordered him to pay those he harmed $2.4M in restitution. The regulator permanently barred him from the industry.