Securities Fraud Lawyer Blog

Raymond James owes investor $600,000 says FINRA panel.

In February, 2016, a three member FINRA arbitration panel sitting in Albany, NY issued a $600,000 binding arbitration award against brokerage house Raymond James and Associates.

The underlying matter involved allegations that  Raymond James and Associates mismanaged a customer account, breached their fiduciary duty, engaged in fraud, violated the federal securities alws, churned their clients account, made unsuitable investments, failed to supervise their reps, and violated the Florida Securities Laws.

Ami Forte and Morgan Stanley ordered to pay investor $33,000,000.

In March, 2016, a three member FINRA arbitration panel sitting in Tampa Florida issued a staggering $33,000,000 binding arbitration award against Ami Forte and her firm Morgan Stanley.

The underlying matter involved allegations that  Ami Forte and Morgan Stanley mismanaged a customer account, breached fiduciary duties, failed to follow industry rules and standards, churned the account, engaged in unauthorized trading, engaged in financial elder abuse and violated state and federal securities laws.

National Securities Corp. ordered to pay investor over $500,000.

In July, 2016, a three member FINRA arbitration panel sitting in Houston, TX issued a $500,000 binding arbitration award against  National Securities Corp and registered rep John Labarca..

The underlying matter involved allegations that National Securities Corp and John Labarca breached their fiduciary duty, were negligent, engaged in unauthorized trading and churning, violated the Texas Securities Act and failed to supervise in relation to the excessive trading in risky, speculative stocks, including Cree Corp, Monster Beverage and salesforce.com.

Stern Fisher Edwards was ordered to pay an investor $300,000.

In June, 2016, a three member FINRA arbitration panel sitting in Los Angeles, CA issued a $300,000 binding arbitration award against  Stern Fisher Edwards and Charles Bohlen..

The underlying matter involved allegations that Stern Fisher Edwards and Charles Bohlen breached their fiduciary duty, were negligent and failed to supervise in relation to the improper withdrawal of funds from Claimant’s account.

Morhan Stanley was ordered to pay an investor $8.5 Million.

In June, 2016, a three member FINRA arbitration panel sitting in Los Angeles, CA issued a $8,500,000 binding arbitration award against Morgan Stanley and Peter Doyle and Wendy Feldman for the sale of unsuitable investments.

The underlying matter involved allegations that Morgan Stanley and Peter Doyle and Wendy Feldman made unsuitable investments, engaged in unauthorized trading, breached their fiduciary duty, engaged in financial elder abuse and failed to supervise, all in relation to the handling of the Claimants’ account, and in investments in securities such as NQ Mobile.

Centaurus Financial was ordered to pay $150,000 to an investor.

In June, 2016, a three member FINRA arbitration panel sitting in Albuquerque, NM issued a $150,000 binding arbitration award against Centaurus Financial for the sale of  illiquid, unsuitable investments.

The underlying matter involved the sale of non-traded REITs, including Inland American REIT, Phillips Edison – ARC Shopping Center REIT, Carter Validus Mission Critical REIT and Cole Credit Property Trust.  The Claimants’ allegations were that Centaurus Financial made unsuitable recommendations, violated FINRA rules and violated New Mexico law in selling the risky investments to an elderly investor.

Royal Alliance ordered to pay investor $870,000.

In January, 2015, a three member FINRA arbitration panel sitting in Los Angeles, CA issued an $870,000 binding arbitration award against Royal Alliance Associates for the sale of a variable universal life policy.

The underlying matter involved the surrender of a Provident Mutual variable universal life policy.  The Claimants allegations were that Royal Alliance breached its fiduciary duties, failed to follow industry rules, engaged in unfair and deceptive trade practices and violated state and federal securities laws.

Cornerstone Wealth Management hit with FINRA award.

In June, 2015, a three member FINRA arbitration panel sitting in San Diego, CA issued a $176,500 binding arbitration award against Cornerstone Wealth Management and Chris Meacham, which included $90,000 in punitive damages.

The underlying matter involved an investment in Scripps Investment Mortgage Fund.  The Claimants allegations were that Chris Meacham and Cornerstone mismanaged a customer account, breached fiduciary duties, failed to follow industry rules and standards and made intentional and negligent misrepresentations. The causes of action pertained to Meacham and Cornerstone’s sale of the Scripps fund which invested in risky second, third and fourth trust deeds and high-risk construction loans, when the offering materials represented that the fund invested solely in first trust deeds on real property.