Investor Sues Kalos Capital Over GPB Capital Losses A widower retiree in his eighties is suing Kalos Capital for losses he suffered in GPB Capital Holdings’ private placements and other risky investments that were recommended to him by Kalos broker, Jason Mosher. The claimant contends that Mosher, who operates his…
FINRA Accuses SunTrust Investment Services of Failing to Properly Supervise Brokers The Financial Industry Regulatory Authority (FINRA) has ordered SunTrust to pay $634K to settle charges accusing the broker-dealer of not properly supervising 17 of its brokers when they recommended that customers hold non-traditional exchange-traded funds (ETFs) for long periods–a…
Alabama Retiree Lost Retirement Savings To Broker Fraud and Negligence An investor in Alabama has filed a Financial Industry Regulatory Authority (FINRA) arbitration complaint against Kestra Investment Services, Inc. for retirement losses that she suffered while working with the now-former broker, James Daughtry. The firm fired Daughtry earlier this year…
Broker-Dealers Accused of Not Properly Supervising Custodial Accounts The Financial Industry Regulatory Authority (FINRA) announced that it has fined five major firms $1.4M in total for not reasonably supervising custodial accounts. The broker-dealers are: Citigroup (C), which will pay $300K. Morgan Stanley Smith Barney (MS), which will pay $300K. JP…
Collateral Yield Enhancement Strategy (CYES) Damages: SSEK Investigating Merrill Lynch Financial Advisor Shepherd Smith Edwards & Kantas (SSEK), a law firm specializing in representing wronged investors is looking into allegations against Gordon Harper, a financial advisor with Merrill Lynch out of Upper Montclair, New Jersey. Prior to that, he worked…
26-Year Old Mayor is Arrested and Accused of Investor Fraud Jasiel Correira, who is the mayor of Fall River, Massachusetts, has pleaded not guilty to multiple criminal counts of wire fraud and tax fraud. The 26-year-old was arrested this week following allegations that he defrauded investors of over $230K. Correira…
Deutsche Bank Securities Inc. and Deutsche Bank AG (DB) will pay a $30M civil penalty to resolve charges brought by the Commodity Futures Trading Commission accusing them of spoofing. According to the regulator, from at least 2/2008 through 9/2014, DB AG, with the help of a number of precious metal…
Investment Firm and Its CEO Are Expelled and Barred for Inflating the Price of Shares Before Selling Them The Financial Industry Regulatory Authority has expelled Hallmark Investments and barred Steven G. Dash, who is the firm’s CEO, over a securities scam that involved selling stocks at inflated prices. According to…
Apollo Global Management (APO) has agreed to settle for $52.7M allegations that the firm misled fund investors regarding fees and a loan agreement, as well as failed to supervise a senior partner. The settlement was reached with the U.S. Securities and Exchange Commission, which found during its probe that Apollo…
Gary Mitchell Spitz, a broker and a registered principal of an Iowa-based brokerage firm, is suspended from associating with any FINRA member for a year and must pay a $5,000 fine. The SRO says that Spitz did not perform proper due diligence of an entity—a Reg D, Rule 506 private…