Rand Heckler of Rand Heckler, Inc. is Now The Subject of SEC and Criminal Fraud Charges
Former stockbroker Rand Allan Heckler of Long Island, New York, is facing US Securities and Exchange Commission (SEC) charges accusing him of investor fraud. Heckler, who was barred by the Financial Industry Regulatory Authority (FINRA) last year, is also now facing criminal charges alleging that he ran an over $1M Ponzi scam.
Over his 22 years in the securities industry, Rand Heckler worked at 11 broker-dealers. Four of these firms were expelled by FINRA.
Ex-Benjamin & Jerrold Broker Accused of Misappropriation & Elder Financial Fraud
According to the SEC’s complaint, in 2015, which would have been when Heckler was with Benjamin & Jerrold, the former New York broker solicited over $700K from a senior investor and the customer’s son, while claiming to operate a successful hedge fund through Rand Heckler, Inc.
The Commission, however, contends that there was no hedge fund and that Heckler misappropriated the client’s money to pay for his own car, mortgage, and country club membership bills.
The regulator is accusing Heckler of trying to hide the theft by generating bogus account statements and trade confirmations that he provided to the elderly customer and his son. The SEC said that when the son tried to redeem some of his father’s money, Heckler solicited $100K from another customer, persuading her to move her funds to an account that she thought belonged to the investment firm. In fact, this was the account of the older investor.
Rand Heckler is also facing parallel criminal charges. Prosecutors in Nassau County are accusing him of operating an over $1M Ponzi scheme that defrauded four people so that he could fund his lavish lifestyle.
There are five customer disputes on Heckler’s BrokerCheck record:
- 12/2018: Seeking more than $312K in damages, customers in this FINRA arbitration claim say that they never received any accounting or information about investments they made based on Heckler’s recommendations. This case is still pending.
- 12/2007: This customer dispute alleged unsuitability and misrepresentation involving a private placement. The case was settled for $25K.
- 4/2004: This unauthorized trade of margin claim was denied.
- 3/2002: This unsuitability claim was settled for $22K.
- 5/2011: This customer dispute, another unsuitability claim, was denied.
Four of the Broker-Dealers Where Heckler Worked Have Been Expelled by FINRA
Rand Heckler was a Benjamin & Jerrold broker from 2014 to 2019. Other firms he has worked at include Alexander Capital, Global Arena Capital Corp. (expelled in 2016), Prestige Financial Center (expelled in 2011), Westrock Advisors (expelled in 2011), GunnAllen Financial, Investec Ernst & Co., Royce Investment Group, and Biltmore Securities (Expelled in 1999).
It is important when working with any investment advisor or broker to check their records for customer disputes and violations. Unfortunately, there are brokers who continue to move from one broker-dealer to another despite a history of customer complaints.
Broker-dealers have a duty to properly supervise their registered representatives to ensure that they aren’t engaging in fraud or being negligent.
Experienced Broker and Investment Fraud Law Firm Fighting for Investors
Throughout the United States, our stockbroker fraud lawyers and senior investor fraud attorneys represent investors and their families that have suffered losses because a financial advisor or stockbroker misappropriated or mismanaged their funds. Contact Shepherd Smith Edwards and Kantas (SSEK Law Firm) today if you previously worked with Rand Heckler or any other financial advisor and suffered investment losses while under their care. We have helped thousands of investors to recoup their losses.