ells Fargo Sued For Excessive Trading, Unsuitability
Soreide Law Group is investigating claims of unsuitability on behalf of customers who invested with Wells Fargo Clearing Services, LLC (CRD#: 19616, St. Louis, Missouri) securities brokers and financial advisors Robyn Zitzewitz Rose, David Michael Bellia, Richard Clarence DeYoung Jr. and Nathan Berry Hooker, all who disclosed disputes.
March 27, 2017 Complaint Involving Wells Fargo Broker Robyn Zitzewitz Rose
Robyn Zitzewitz Rose (CRD#: 2548769, Jenkintown, Pennsylvania) is a Wells Fargo employee. Rose indicated on her FINRA BrokerCheck Report that the daughter of a Wells Fargo Advisors customer filed a complaint about Rose on March 27, 2017. The complaint alleged that Rose did not tell the customer about managed/wrap account fees. In addition to the allegations of omitting fees, the customer claimed that the fees were excessive. Apparently, this misconduct persisted over a ten year period. After reviewing the matter, Wells Fargo Advisors acquiesced to settle, paying the customer $55,978.00 in damages on July 25, 2017. Rose joined Wells Fargo Clearing Services on July 1, 2003.
May 22, 2017 Complaint Concerning Wells Fargo’s David Michael Bellia
Wells Fargo financial advisor David Michael Bellia (CRD#: 2594455, Raleigh, North Carolina) commenced employment with the firm on March 21, 2014. At least one of Bellia’s customers has disputed Bellia’s sales practices from July 2016 to May 2017. Particularly, on May 22, 2017, the customer filed a complaint claiming that Bellia wrongfully encouraged the customer to sell mutual funds and use the proceeds to purchase investments in the customer’s wrap account. However, those recommended investments allegedly failed to meet the customer’s investment objectives or financial needs. Apparently, the customer needed to access the funds but Bellia’s recommended investments were illiquid. Further, the customer claimed that by following Bellia’s recommendations, the customer encountered tax problems. For this reason, Wells Fargo Advisors agreed to pay the customer $117,500.00 to settle the matter.
June 7, 2017 Arbitration About Wells Fargo Broker Richard Clarence DeYoung Jr.
Richard Clarence DeYoung Jr. (CRD#: 863849, Houston, Texas) is a registered representative of Wells Fargo Clearing Services. As indicated on DeYoung’s FINRA BrokerCheck Report, one of DeYoung’s customers took issue with his sales practices. Apparently, on June 7, 2017, a customer of Wells Fargo Clearing Services brought FINRA Arbitration #17-01426. DeYoung allegedly gave inappropriate investment advice for the customer’s variable annuity. The customer claimed that investments recommended by DeYoung were unsuitable. Given these allegations, the customer alleged that Wells Fargo Clearing Services should pay $650,000.00 in damages. Although the customer’s claims may be true, the matter is still pending. DeYoung joined Wells Fargo Clearing Services on October 31, 2012.
April 23, 2018 FINRA Arbitration Involving Wells Fargo Broker Nathan Berry Hooker
Wells Fargo broker Nathan Berry Hooker (CRD#: 2813468, Memphis, Tennessee) is another employee whose sales practices were contested. That is, Hooker disclosed on his FINRA BrokerCheck profile that a customer of the firm filed FINRA Arbitration #18-01451 on April 23, 2018. This matter concerned Hooker’s alleged unsuitable recommendations to the customer regarding stock investments. From the customer’s perspective, Hooker’s bad advice caused the customer to incur investment losses. Because of this, the customer has demanded a whopping $1,500,000.00 in damages. The arbitration is still underway. Hooker has been a Wells Fargo Clearing Services representative since June 7, 2014.
Wells Fargo Clearing Services Made 449 Disclosures Regarding Allegations Of Its Misconduct
Wells Fargo Clearing Services is a brokerage firm regulated by the Financial Industry Regulatory Authority (“FINRA”) and investment adviser firm regulated by the Securities and Exchange Commission (“SEC”). FINRA BrokerCheck shows that Wells Fargo Clearing Services has made 449 disclosures which consist of allegations and findings against the firm of regulatory infractions and sales practice violations. The firm has also been named in many additional customer-initiated, investment-related disputes relating to allegations against the firm and its own brokers of sales practice violations. Some of the disputes, such as those described above, allege that Wells Fargo or the brokers were responsible for selling customers unsuitable investments, and misrepresenting and omitting investment information.
Investors who have incurred losses from Wells Fargo brokers including Robyn Zitzewitz Rose, David Michael Bellia, Richard Clarence DeYoung Jr. and Nathan Berry Hooker are encouraged to contact Soreide Law Group at (888) 760-6552 for a free consultation. Our firm has recovered millions of dollars for investors who have suffered losses due to broker and brokerage firm misconduct. We represent clients on a contingency fee basis and advance all costs.