SSEK Investigating Ex-Raymond James Advisor, Stuart Nichols
Another former Raymond James advisor has gotten into trouble over fraud allegations. The Financial Industry Regulatory Authority (FINRA) recently barred Stuart Nichols, a former broker with the firm, after he failed to participate in the self-regulatory authority’s probe into churning allegations made against him.
Churning involves engaging in excessive trading in a brokerage account for the purposes of making commissions.
Raymond James & Associates fired Nichols in December 2018. With 13 years in the industry, he also was previously a registered broker with both Morgan Keegan and Sterne Agee Financial Services.
Please contact our broker fraud lawyers if Stuart Nichols was your Raymond James broker and you suspect your losses may be due to churning or other wrongful or negligent actions. Shepherd Smith Edwards and Kantas, LLP (SSEK Law Firm) is investigating client claims involving Nichols, as well as complaints against other current and former Raymond James financial representatives.
Raymond James & Associates Pay Clients Of Eddie Lyons $3M
Just this week, a FINRA arbitration panel ordered Raymond James to pay a group of investors over $3M in their investor claim against another one of the firm’s former financial advisors, Eddie Lyons. He is also another broker that the SSEK Law Firm has been actively investigating over investor claims.
Lyons was fired by Raymond James & Associates a couple of years ago in the wake of unauthorized trading allegations. Already the subject of other customer complaints – including one alleging unsuitable investments and overconcentration that was settled for $677K last month – in this latest case, Eddie Lyons is accused of making reckless and unauthorized trades involving oil and speculative gas.
The claimants accused Raymond James of not properly supervising Lyons and failing to give his branch manager, Thomas O’Brien, the tools needed to properly oversee Lyons and other financial advisors.
Claimants losses in this investor case reportedly ranged from over $4K to more than $330K, plus interest.
Inadequate Supervision
When a failure to properly supervise brokers, financial advisors, and managers lead to lax practices and oversight that make it possible for fraudulent actions to occur. These may include churning, unauthorized training, overconcentration, unsuitable trading recommendations, and margin account abuse. When this happens broker-dealers can be held liable for losses suffered by clients as a result.
Contact SSEK Law Firm today so that we can help you explore your legal options.