Securities Lawyer Blog | Victim of Fraud?

TAG | failure to respond to FINRA requests

Mar/13

19

David Appel, NY Rep, Barred by FINRA

Comments off · Posted by Securities Lawyer in FINRA

The following information is from FINRA’s website under “Disciplinary and Other FINRA Actions, March, 2013.”

David Appel (CRD #1026798, Registered Representative, Brooklyn, New York)

was barred from association with any FINRA member in any capacity. Without admitting or denying the findings, Appel consented to the described sanction and to the entry of FINRA’s findings that he failed to completely respond to FINRA requests for information and documents in connection with inquiries concerning sales of promissory notes.
(FINRA Case #2009020303101)

On FINRA’s BrokerCheck, David Appel was registered with the following:

PARK AVENUE SECURITIES LLC
CRD# 46173
NEW YORK, NY
01/2001 – 03/2011

ROYAL ALLIANCE ASSOCIATES, INC.
CRD# 23131
NEW YORK, NY
11/1989 – 05/2009

BERKSHIRE EQUITY SALES, INC.
CRD# 87
PITTSFIELD, MA
02/1982 – 08/2000

This the information from FINRA’s website.

If you have experienced a financial loss due to your broker/financial advisor’s recommendation, call Soreide Law Group for a free consultation with an attorney at: 888-760-6552.

· · · · · · · · ·

Jan/13

23

Complaint Filed Against Florida Rep for Misappropriation of Funds Against Elderly

Comments off · Posted by Securities Lawyer in FINRA

The following information is from FINRA’s website under “Disciplinary and Other FINRA Actions, January, 2013.”

Kenneth Andrew Mauchin (CRD #2366345, Registered Principal, Sanford, Florida)

was named a respondent in a FINRA complaint alleging that he misappropriated $23,750 from elderly customers’ accounts by converting their funds to cashier’s checks and depositing those checks into a bank account of an entity he controlled.

FINRA’s complaint alleges that Mauchin did so without the customers’ knowledge or authorization. The complaint also alleges that Mauchin prepared a customer’s application for a variable annuity and falsely listed his bank branch office address as the customer’s mailing address, which he knew to be false.

Also, a customer applied for a premiere select IRA brokerage account with Mauchin’s firm and, without the customer’s knowledge or authorization, he falsely listed his bank branch office address as the customer’s mailing address, which he knew to be false. These applications became part of the firm’s books and records, causing his firm’s books and records to be false.

This complaint further alleges that Mauchin failed to appear for FINRA testimony.
(FINRA Case #2011028452701)

This ends the information from FINRA’s website.

Securities Lawyer, Lars K. Soreide, of Soreide Law Group, represents clients nationwide before FINRA. If you or a loved one have sustained investment losses due to your stock broker or financial advisor’s recommendations, call for a free consultation on how to potentially recover your losses. To speak with an attorney call 888-760-6552, or visit our website at: http://www.securitieslawyer.com.

· · · · · · · · · · · · · · · · · · · · · · · ·

Jun/12

21

Mackinac Island Rep, Gary Cousino, Barred by FINRA

Comments off · Posted by Securities Lawyer in FINRA

 

Gary Lee Cousino (CRD #726486, Registered Representative, Mackinac Island, Michigan)

 

has been barred from association with any FINRA member in any capacity. Without admitting or denying the findings, Cousino consented to the described sanction and to the entry of findings that he failed to respond to FINRA requests for information regarding its investigation of lawsuits and an arbitration action filed by a prior securities customer alleging, among other things, an unauthorized trade, fraud, unsuitability and breach of fiduciary duty by Cousino.

Cousino stated that through his attorney, he had sent FINRA a letter declining to respond in any manner to FINRA’s requests for information.

(FINRA Case #2010023057601 )

The information was obtained on FINRA’s website, “Disciplinary and Other Actions, June, 2012.”

Soreide Law Group, PLLC, has represented clients nationwide. If you or a family member have sustained losses due to your stock broker or financial advisor’s recommendations, please call for a free consultation on how to potentially recover your losses. To speak with an attorney call 888-760-6552, or visit our website at: http://www.securitieslawyer.com.

Soreide Law Group, PLLC., representing investors nationwide before FINRA the Financial Industry Regulatory Authority.

· · · · · · · · · · · · · · · · · · · ·

Jun/12

18

Miami Beach Rep Barred by FINRA

Comments off · Posted by Securities Lawyer in FINRA

Enrique Roy (CRD #5339904, Registered Representative, Miami Beach, Florida) 

has been barred from association with any FINRA member in any capacity.

This FINRA sanction was based on their findings that Enrique Roy failed to respond to requests from FINRA for information about an outside brokerage account at a member firm he had opened on a customer’s behalf.

FINRA’s findings stated that they dismissed the allegation that Roy failed to give his firm notice of an outside brokerage account.

(FINRA Case #2010023375101)

This information appeared on FINRA’s website under “Disciplinary and Other Actions, June, 2012.”

 

Securities Lawyer, Lars K. Soreide, of Soreide Law Group, PLLC, has represented clients nationwide. If you have sustained investment losses due to your stock broker or financial advisor’s recommendations, please call for a free consultation on how to potentially recover your losses. To speak with an attorney call 888-760-6552, or visit our website at: http://www.securitieslawyer.com.

 

Soreide Law Group, PLLC., representing investors nationwide before FINRA the Financial Industry Regulatory Authority.

 

· · · · · · · · · · · · · · · · · ·

Jun/12

18

Florida Rep Fined and Suspended by FINRA

Comments off · Posted by Securities Lawyer in FINRA

 

Corey Lamar Battey (CRD #4123425, Registered Representative, Clermont, Florida)

was fined $5,000 and has ben suspended from association with any FINRA member in any capacity for six months.

This fine will be due and payable if and when Battey re-enters the securities industry. These sanctions were based on FINRA’s findings that Battey failed to respond to FINRA in a timely manner for their requests for documents and information.

Corey Battey’s suspension is in effect from April 16, 2012, through October 16, 2012.

(FINRA Case #2009021048402)

This information appeared on FINRA’s website under “Disciplinary and Other FINRA Actions for June 2012.”

 

Securities Lawyer, Lars K. Soreide, of Soreide Law Group, PLLC, has represented clients nationwide.  For a free consultation with an attorney, please call 888-760-6552, or visit our website at: http://www.securitieslawyer.com.

 

· · · · · · · · · · · · · · · · · ·

May/12

16

Ft. Lauderdale Rep Barred by FINRA

Comments off · Posted by Securities Lawyer in FINRA

The following information is from FINRA’s website under, “Disciplinary and Other FINRA Actions, May, 2012.”

Sean Donald Premock (CRD #3175558, Registered Representative, Fort Lauderdale, Florida)
 
submitted a Letter of Acceptance, Waiver and Consent in which he was barred from association with any FINRA member in any capacity. Without admitting or denying the findings, Premock consented to the described sanction and to the entry of findings that he facilitated private securities transactions away from his member firm.
 
These findings stated that Premock was paid commissions from the sales totaling $18,820 without providing written notice to, or obtaining approval from, his firm prior to facilitating any of the investments.
 
The findings also stated that Premock made a series of material misrepresentations and omissions of fact in connection with the offering and selling of investment notes, including promising a monthly minimum rate of return, claiming that the investors’ principal was safe and would be repaid in its entirety after a period ranging from nine to 12 months, and representing that investor funds would be pooled and invested in a fund for the purpose of executing a unique trading strategy that would protect investor  principal by employing a hedging strategy using reversible convertible notes (RCNs).
 
While Premock opened trading accounts in the name of the fund and conducted securities, futures and options trading with the fund’s investor money, investors were not paid a monthly rate of return, certain investors did not receive their principal at maturity, Premock did not purchase RCNs, and he used some of the investment funds for his personal benefit.
 
These findings also included that Premock prepared and issued monthly and quarterly fund statements that showed inflated account values. The statements uniformly showed steady account appreciation based on the accrual of fictitious monthly interest and cash bonuses.
 
FINRA found that Premock received a total of $32,000 from investors for investments in the fund and deposited these funds in the business checking account of a non-fund entity. None of the $32,000 from investors was transferred to any account belonging to the fund. Instead, Premock made several cash withdrawals, purchased several personal items, transferred funds to one family member, and transferred funds to his personal trading account.
 
FINRA also found that Premock received $20,000 from an investor for an investment in the fund and deposited this money in the fund’s checking account. Premock transferred $59,382.50 from one of the fund trading accounts to the fund’s checking account. That same day, a $79,422.45 transfer was made from the fund’s checking account to Premock’s business partner. The fund account balance was $39.95 and was closed soon thereafter. The investors were unaware of these uses of their money and did not authorize or consent to such uses.
 
In addition, FINRA determined that Premock failed to fully respond to FINRA requests for information and documents. Premock stated that he was unwilling to provide a response to all of the requested items and that he intended not to comply any further. (FINRA Case #2010024048601)
 

This ends the information from FINRA’s website.

Securities Lawyer, Lars K. Soreide, of Soreide Law Group, PLLC, has represented clients nationwide.
For a free consultation with an attorney, please call 888-760-6552, or visit our website at: www.securitieslawyer.com.

· · · · · · · · · · · · · · · · · · · · · · · · · · · · ·

Mar/12

5

Two Naples, FL, Reps Barred by FINRA

Comments off · Posted by Securities Lawyer in FINRA

The following information was obtained on FINRA’s website’s ‘Disciplinary Actions, February 2012.”
 
Paul Cragg Larsen (CRD #1066833, Registered Representative, Naples, Florida) and
 
Quentin Marius Silic (CRD #4222363, Registered Representative, Naples, Florida)
 
submitted a Letter of Acceptance, Waiver and Consent in which they were each barred from association with any FINRA member in any capacity. Without admitting or denying the findings, Larsen and Silic consented to the described sanctions and to the entry of findings that they failed to respond to FINRA requests for information and documentation regarding possible undisclosed outside business activities and/or private securities transactions.
 
These findings stated that through counsel, Larsen and Silic advised FINRA that they would not provide the requested information and documentation.
 
(FINRA Case #2010024179001)
 
Securities Lawyer, Lars K. Soreide, of Soreide Law Group, PLLC, has represented clients nationwide.
For a free consultation with an attorney, please call 888-760-6552, or visit our website at: www.securitieslawyer.com.
 

· · · · · · · · · · · · · · · · · · · · · · ·

Feb/12

28

Palm Harbor, FL, Rep Barred by FINRA

Comments off · Posted by Securities Lawyer in FINRA

The following information was obtained on FINRA’s website’s ‘Disciplinary Actions, February 2012.”
 
Neal Seth Smalbach (CRD #1459854, Registered Principal, Palm Harbor, Florida)
 
submitted an Offer of Settlement in which he was barred from association with any FINRA member in any capacity.
 
Without admitting or denying the allegations, Smalbach consented to the described sanction and to the entry of findings that he fraudulently misrepresented the risks and omitted material facts, for the sale of an oil and gas private placement
investment to retired, senior citizen customers. The findings stated that Smalbach claimed to have conducted his own due diligence, which included reviewing the PPM, subscription agreement, promotional material and speaking with employees of the issuer and firm due diligence personnel.
 
These findings also stated that Smalbach told investors that the investment was safe and high-yielding, which was false and misleading, and Smalbach virtually guaranteed his customers a yearly dividend and the return of their principal after three years but omitted telling them that the company had no significant assets, no current cash flow, and no prior operating history which was disclosed in the subscription agreement and PPM.
 
In addition, FINRA determined that Smalbach’s recommendations were unsuitable to unaccredited customers in light of the customers’ age, limited investment experience, conservative risk tolerance and need for the preservation of principal and also unsuitable for accredited investors because of his misrepresentations and omissions of material fact.
 
These findings also included that Smalbach’s member firm required customers to complete a client information new account form that asked for customers’ contact information, investment experience, risk tolerance, investment objectives, net worth, annual income, liquid net worth, retirement horizon and other background information, and to complete subscription agreements the firm kept and maintained, but Smalbach asked customers to sign blank information forms and subscription agreements and initial risk and financial disclosures on the subscription agreement without giving some of the customers the opportunity to read what they were signing. FINRA found that Smalbach had an administrative assistant complete the forms with false information Smalbach provided, which enabled him to shroud unsuitable transactions from the firm’s supervisory review.
 
Moreover, FINRA found that Samlbach falsified client information new account forms and subscription agreements that the firm kept and maintained caused its books and records to be inaccurate. FINRA also found that as a result of these fraudulent misrepresentations, omissions and acts, Smalbach caused customers to sustain approximately $840,116 in net out-of-pocket losses on the $925,000 investment they purchased, and Smalbach received $74,000 in gross commissions from his activities. Furthermore, FINRA found that Smalbach failed to adequately respond to FINRA requests for information and documents.
(FINRA Case #2010021972801)
 

The information from FINRA’s website has ended.
 
Securities Lawyer, Lars K. Soreide, of Soreide Law Group, PLLC, has represented clients nationwide.
For a free consultation with an attorney, please call 888-760-6552, or visit our website at: www.securitieslawyer.com.

· · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · ·

Feb/12

7

Florida Rep Barred by FINRA

Comments off · Posted by Securities Lawyer in FINRA

The following information was found on FINRA’s website’s “Disciplinary Actions, January 2012.”
 
Richard Paul Counts (CRD #3241105, Registered Representative, Belleair, Florida)
 
submitted a Letter of Acceptance, Waiver and Consent in which he was barred from association with ny FINRA member in any capacity. Without admitting or denying the findings, Counts consented to the described sanction and to the entry of findings that he misappropriated approximately $18,000 from a customer’s checking account and approximately $73,500 from the same customer’s home equity line of credit; Counts converted these funds to his personal use. The findings stated that Counts failed to respond to FINRA requests for information.
(FINRA Case #2010024445201)
 
End of FINRA information.
 
Securities Attorney, Lars Soreide, of Soreide Law Group, PLLC, has represented clients nationwide. If you or a family member have sustained investment losses due to Richard Paul Counts, call for a free consultation on how to potentially recover your losses. To speak with an attorney call 888-760-6552, or visit our website at: www.securitieslawyer.com.
 
Soreide Law Group, PLLC., representing investors nationwide before FINRA the Financial Industry Regulatory Authority.

· · · · · · · · · · · · · · · · · · ·

Dec/11

30

Did you Invest with Jason May?

Comments off · Posted by Securities Lawyer in FINRA

Former Ameriprise broker, Jason May (CRD# 4255401), in Delray Beach and Boynton Beach, Florida, has been barred for life by FINRA for failing to respond to FINRA requests for information after he was suspended for 60 days.
 
Our investigation has uncovered that Mr. May may have encouraged his clients to take out loans through a friend of his at Wachovia. It has been alleged that Mr. May then invested the proceeds in options trading at Options Express. Ameriprise may be liable for the losses sustained by May’s clients at Options Express.
 
In addition, May failed to sit for the Series 63 or 66 state licensing exams. As a result, May was not properly registered in the state of Florida during his tenure with  Ameriprise. Accordingly, Ameriprise may be held liable for any losses sustained, or fees, commissions, or costs paid by those clients to Ameriprise.  It is believed that Ameriprise failed to disclose to May’s clients that he wasn’t properly registered. Instead Ameriprise advised clients that May had changed positions with the firm, which happened to be a non-registered paraplanner.
 
 After May continued acting in a registered capacity, our investigation has uncovered that Ameriprise failed to fully report the reasons for May’s departure from the firm on May’s CRD. Due to May’s improper registration, May’s clients at Ameriprise may be entitled to recovery for losses sustained. Furthermore, clients suffering losses through May at Options Express may also be entitled to recovery from Ameriprise for May’s selling away
 
If you had dealings with former Ameriprise broker Jason May please contact Soreide Law Group for a free consultation at (888) 760-6552 or locally at (954) 760-6552 or visit us on the web at http://www.securitieslawyer.com

· · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · ·

Older posts >>

Find it!

Theme Design by devolux.nh2.me
To top