Former Broker Pleads Guilty in $8million Investment Scheme

Herbert S. “Steve” Fouke, 54, a Lafayette, Louisiana, businessman pleaded guilty Friday, September 6, 2014, to federal fraud charges because of an investment scheme involving $8 million from clients. Fouke pleaded guilty to conspiracy to commit securities fraud, investment adviser fraud, wire fraud and mail fraud.

Allegedly, Fouke recruited friends and business associates to become clients of Richard Buswell and the Bowman Investment Group, also of Lafayette, Louisiana, and was allegedly present when Richard Buswell made false statements to the clients about his credentials, the commissions, and the return he guaranteed the clients would receive.

Richard Buswell was a licensed stockbroker from 2006 to 2009 for the Bowman Group, which he owned. Fouke became Buswell's client in 2006 and later recruited others to the scheme.

Richard Buswell pleaded guilty July 24, 2013 to engaging in frequent and excessive stock trades in order to earn commissions.

Fouke faces up to five years in prison, a $250,000 fine and restitution. Buswell faces up to 20 years in prison, a $250,000 fine and restitution. Sentencing dates have not been set.

According to FINRA's BrokerCheck, Herbert S. “Steve” Fouke was previously registered with FINRA at the following brokerage firms:

LASALLE ST SECURITIES, L.L.C.
CRD# 7191
ELMHURST, IL
04/2009 - 05/2009

BROOKSTONE SECURITIES, INC.
CRD# 13366
LAFAYETTE, LA
09/2008 - 04/2009

The following article appeared on our blog in October of 2011:

https://www.securitieslawyer.com/securitieslawyerblog/?s=Herbert++Fouke&submit=Go

If you or a family member have experienced a loss through Bowman Investment Group, Richard J. Buswell, or Herbert S. Fouke, call a Securities Arbitration Lawyer for a free consultation on how to potentially recover your losses. To speak with an attorney, call 888-760-6552.