February 2, 2024

Robert David Sanctioned, Involved In Investor Disputes

risky investments? call soreide law group

FINRA BrokerCheck shows regulatory sanctions and investor claims concerning Robert C. David Jr. [CRD: 5211223, Farmington Hills, Michigan]. Evidently, he worked for Morgan Stanley from June 1, 2009, to April 2, 2019. Notably, the sanctions concern allegations of falsifying information and overconcentrating investor accounts in risky products. Also, investor disputes center around allegations of misrepresentation and unsuitable recommendations. Here’s a closer look at the specific disclosures related to Robert David's activities in the financial industry.

FINRA's Sanction For Falsification And Overconcentration

On April 18, 2022, FINRA took disciplinary action against Robert David, imposing a $15,000 fine and a 20-month suspension in all capacities, ending on December 17, 2023. Namely, the regulator claimed that David falsified client account profile information and overconcentrated investments in high-risk fixed-income securities. Notably, the regulator stated that he manipulated the net worth of eight clients and modified the risk tolerance of one client's account, all to sidestep restrictions on solicitations and concentration limits. Also, FINRA says that these actions led to the firm maintaining inaccurate records.

Allegations Of Failure To Follow Instructions At Morgan Stanley

Evidently, a customer of Morgan Stanley contested Robert David’s sales practices, according to a complaint. Allegedly, David failed to follow instructions regarding investments in the customer's managed account between 2017 and 2019. It appears that David caused the client to experience damages. Therefore, Morgan Stanley opted to settle the matter on December 17, 2020, by compensating the customer in the amount of $60,000.

Client Alleged Misrepresentation Of Corporate Bonds

A Morgan Stanley Smith Barney (MSSB) client filed FINRA Arbitration No. 20-01168, accusing Robert David of misrepresenting corporate bond investments from September 24, 2014, to February 29, 2020. The client sought $183,000 in damages. MSSB resolved the matter on April 28, 2021, by compensating the client $85,000.

Unsuitability Allegations Made My Morgan Stanley Client

A separate complaint, involving unsuitability of investments, was filed against Robert David, covering the period from April 2015 to March 2019. The client, alleging damages on corporate debt products, was compensated $35,000 by MSSB on March 14, 2020. Another client pursued a similar claim of unsuitability against David for investment activities from March 2017 to March 2019, resulting in a $200,000 settlement by MSSB on April 21, 2020.

Exploring Recovery Options With Robert David

Investors who have faced losses due to the actions of Robert David are encouraged to contact Soreide Law Group for potential recovery options. Reach out online or at (888) 760-6552 to discuss your case with a securities attorney. Soreide Law Group operates on a contingency fee basis and assists investors across the United States. Despite the claims and settlements, David and Morgan Stanley deny any allegations of sales practice violations.

S H A R E   T H I S   P O S T

Recent Posts

November 26, 2024
Comprehensive Security Related Legal Services by Soreide Law Group

Navigating the complexities of business and securities law requires precision, expertise, and a forward-thinking approach. At Soreide Law Group, we specialize in providing tailored legal solutions for companies, investors, and entrepreneurs across a wide range of services. Whether you are preparing financial disclosures or structuring innovative funding mechanisms, our team ensures compliance, clarity, and efficiency. […]

November 26, 2024
JOHN F SCHLAGHECK

JOHN FRANCIS SCHLAGHECK (JOHN F SCHLAGHECK), according to FINRA’s BrokerCheck, available to the public on FINRA’s website, has been in the securities industry for 39 years and has been listed with 13 firms.  Schlagheck has 13 disclosures on his FINRA CRD report, with 10 of the disclosures “Customer Disputes.” The significance of JOHN F SCHLAGHECK’s […]

November 25, 2024
JAMES M ARMOUR of Ausdal Financial

Soreide Law Group has been contacted by investors who claimed they had experienced losses due to the alleged purchase of GPB Automotive stock through JAMES MICHAEL ARMOUR (JAMES M ARMOUR), currently listed with AUSDAL FINANCIAL PARTNERS, INC. of Wayzata, Minnesota since 2011. In February of 2021, GPB Automotive Portfolio, LP, was found to be a […]

Contact us Nationwide USA
2401 E. Atlantic Blvd., Suite 305, Pompano Beach, FL 33062
Helping clients recover money across the USA
search
Copyright © 2022 Soreide Law Group, PLLC  |  All Rights Reserved