Former Morgan Stanley broker Daniel Todd Levine (CRD#: 2874319, Greenwood Village, Colorado) is one of the latest securities brokers to be expelled from the industry. Evidently, Securities and Exchange Commission (“SEC”), Financial Industry Regulatory Authority (“FINRA”) and Colorado Division of Securities barred the securities broker, who worked for Morgan Stanley Smith Barney between 2013 and 2018. Also, the securities broker discloses 2 investor disputes on FINRA BrokerCheck. For more on the allegations against Daniel Levine, see below.
Securities Regulators Bar Daniel Levine
Evidently, on September 13, 2019, SEC issued Administrative Order #: 3-19445 barring Daniel Levine from associating with an investment adviser, broker, dealer, and more. The Order comes as a result of Colorado Division of Securities barring Levine.
Apparently, on March 5, 2019, Colorado Division of Securities issued Stipulation and Consent Order 2019-CDS-003 barring Daniel Levine. Notably, the Division contended that Levine concealed troubling information concerning bitcoin investments. Specifically, from 2017 to 2018, Levine introduced brokerage clients and investment advisory clients to an investment scheme involving discounted bitcoin. The Division indicated that Levine did not mention to clients that his brother, who was involved in the scheme, was a fugitive and had a criminal history.
Moreover, the Division indicated that Levine did not perform a satisfactory amount of due diligence on bitcoin transactions. Supposedly, through Levine’s failure to secure a proper transfer of client funds or bitcoin, his brother misappropriated $1,500,000.00. Also, the Division alleged that Levine failed to tell clients about investment risks, and he engaged in these activities without Morgan Stanley’s approval.
Evidently, FINRA barred Levine pursuant to Letter of Acceptance, Waiver and Consent #: 2018059393201. FINRA says that Levine stonewalled its investigation, violating FINRA Rules 8210 and 2010. The investigation concerned his purported outside business activities and unauthorized transactions, among other things.
Levine Allegedly Made Unauthorized Trades In Morgan Stanley Smith Barney Client
Apparently, a client of Morgan Stanley Smith Barney contested Daniel Levine’s actions by bringing a complaint dated September 13, 2019. Allegedly, Levine sold stocks to the client without Morgan Stanley’s authorization. Supposedly, common or preferred stocks which Levine sold were solicited away from Morgan Stanley. Consequently, the client demanded compensation from Morgan Stanley or Levine in the amount of $250,000 in this ongoing matter.
Daniel Levine Possibly Forged Signature Of Morgan Stanley Smith Barney Client
Evidently, on August 28, 2018, a Morgan Stanley client filed an investment dispute about Daniel Levine. Notably, the client indicated that Levine reused the client’s signature on documents relating to securities or insurance transactions. Therefore, the client requested compensation from Morgan Stanley or Levine. Apparently, this complaint closed without resolution.
Did Morgan Stanley Smith Barney Securities Broker Daniel Levine Sell You Bad Bitcoin Investments?
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