Ken Hutkin Allegedly Initiated Unsuitable Trades

Investment Disputes Allege That Ken Hutkin Made Unsuitable Trades

Investor Alert! The Financial Industry Regulatory Authority (“FINRA”) reports troubling information in regard to securities broker Kenneth Marc Hutkin (CRD#: 1344519, New York, New York). Particularly, four investors filed disputes about the securities broker, who worked for Morgan Stanley from 2010 to 2018 and now works for Wedbush Securities. Notably, Hutkins’ clients allege that as a securities broker or financial advisor, he caused them to experience losses or damages. Here’s more.

Morgan Stanley Client Suggests Ken Hutkin Sold Unsuitable Investments

First of all, a client of Morgan Stanley disputed Ken Hutkin’s sales practices in a February 2020 complaint. Namely, the client indicated that Hutkin had them invest in unsuitable investments from 2014 to 2019. It is possible that the securities broker may have overlooked this client’s suitability profile (e.g. risk tolerance, investment objectives, financial needs). However, Morgan Stanley denied this complaint on January 25, 2021.
Evidently, Morgan Stanley Wealth Management (MSMW) disaffiliated with Ken Hutkin in September 2018 because he allegedly engaged in an outside business activity. Under FINRA rules, a securities broker generally cannot engage in outside business activities without getting permission from their employing securities firm.

First Montauk Client Indicates That Hutkin Overcharged Them

A second client dispute comes from a First Montauk Securities Corp client in 2008. Primarily, the client took issue with Ken Hutkin allegedly overcharging them on corporate debt securities transactions. Apparently, the securities broker was not clear with the client regarding corporate debt markups. Because of this, First Montauk Securities Corp agreed to pay the client $52,958. It appears that Hutkin contributed $47,662 towards this settlement amount.

Prior Disputes About Hutkin Allege Churning

Evidently, two other investors disputed Ken Hutkin’s sales practices. Specifically, one client alleged that Hutkin was churning or excessively trading the client’s account. Not only that, but the client also alleged that the securities broker made unsuitable bond trades. It appears that this matter settled through a $23,000 payment to the client.
Moreover, in the first dispute reported on Ken Hutkin’s BrokerCheck report, an Oppenheimer client alleged churning and unsuitable trading. Supposedly, Hutkin omitted facts in connection with the client’s investment transactions. In addition, the client alleged that Oppenheimer failed to supervise. This dispute settled through a $130,000 payment to the client.

Did Ken Hutkin Cause You To Experience Losses?

Supposedly, Ken Hutkin denies allegations of his sales practice violations. Have you experienced losses by investing with this securities broker? If so, reach out to Soreide Law Group at (888) 760-6552 and speak with experienced counsel concerning a possible recovery of your investment losses. Soreide Law Group represents clients on a contingency fee basis and advances all costs. The law firm has recovered millions of dollars for clients who have incurred losses due to securities brokers and financial advisors.