Cadaret Grant Client Alleges Unsuitable OTC Trades By Broker Gerald Dewes

The Financial Industry Regulatory Authority (FINRA) contains new disclosures in regard to securities broker Gerald Roger Dewes (CRD#: 2465538, East Amherst, New York). Namely, Dewes, who used to work for securities firm Cadaret Grant Co., faces investor disputes. Not only that, but FINRA barred Dewes as a securities broker following an investigation into his potential private securities transactions. Here’s a summary of the recent disclosures on Dewes’ record.

Client Of Cadaret Grant Alleges Unsuitable Recommendations By Gerald Dewes Concerning Private Investments

Specifically, in April 2021, a client of Gerald Dewes filed a dispute alleging sales practice violations. This dispute alleges unsuitable recommendations, breach of contract, breach of fiduciary duty, and negligent supervision of the broker. The investor’s allegations concern Dewes’ private investment of the client’s funds in two over-the-counter equities. Supposedly, Cadaret Grant did not offer this investment on their platform, and Dewes recommended these investments to the client through his investment advisory. Allegedly, the client sustained losses. For this reason, they seek compensation in this ongoing matter.

Cadaret Grant Client Alleges Breach Of Fiduciary Duty Relating To Private OTC Purchases

Evidently, a second Cadaret Grant client took issue with Gerald Dewes’ sales practices. According to this May 2020 FINRA Arbitration Claim, Dewes acted in breach of fiduciary duty and breach of contract relating to his recommendation of the client’s purchase of two OTC equities. Supposedly, Dewes recommended these transactions away from Cadaret Grant. The client claims that Cadaret Grant negligently supervised Dewes. It seems that Cadaret Grant paid this client $2,500,000 in an April 2021 settlement of this dispute.

FINRA Bars Gerald Dewes For Purportedly Refusing To Testify In Investigation

Notably, FINRA indefinitely barred Gerald Dewes as a securities broker in March 2020. FINRA rules require securities brokers to cooperate in investigations, especially when investigations concern allegations of the broker’s misconduct. In this case, FINRA investigated the reason for Cadaret Grant’s termination of Dewes as a securities broker. Notably, the securities firm discharged Dewes for allegedly soliciting investments in Elite Roasters Inc. – a company that Dewes purportedly owned and directed through an outside business activity.

It appears that FINRA asked Gerald Dewes to testify about his potential undisclosed private securities transactions and outside business activities. However, Dewes’ lawyers told FINRA that Dewes would not cooperate. Dewes received the sanction of a bar for noncompliance.

Cadaret Grant Client Alleges Unsuitable REIT By Dewes

In a third dispute reported on BrokerCheck dated March 2020, a client of Cadaret Grant takes issue with Gerald Dewes’ sale of a REIT. Supposedly, the customer was “not aware” of a REIT that Dewes recommended. Supposedly, Dewes caused the client to experience damages because of an unsuitable real estate security purchase. However, Cadaret Grant denied this dispute.

Did You Sustain Damages Through Gerald Dewes?

Did Gerald Dewes cause you to experience losses? If so, call Soreide Law Group at (888) 760-6552 and speak with a securities lawyer about a potential recovery of your losses. Soreide Law Group represents clients on a contingency fee basis and advances all costs. The firm has recovered compensation for many United States investors who incurred losses because of their financial advisors and securities brokers. Please note that Dewes denies all allegations of his sales practice violations.

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