Financial Firms

Texas Wells Fargo Broker Kurt Gunter Is Sanctioned Over Allegedly Unsuitable UIT Sales

Published on: December 4, 2020 | by Shepherd Smith Edwards & Kantas, LLP

FINRA Suspends Texas Broker For Three Months

Kurt Jason Gunter, a Wells Fargo Clearing Services (WRET) registered representative in Bee Cave, Texas, was recently sanctioned by the Financial Industry Regulatory Authority (FINRA).

The self-regulatory organization (SRO) contends that he allegedly made unsuitable unit investment trust (UIT) sales to customers. In addition to having to pay a $10K civil fine, Gunter is suspended for three months beginning December 20, 2020. The broker, who is also a registered Wells Fargo investment adviser, consented to the sanctions but is not denying or admitting to the findings.

OCC Orders JPMorgan Chase Bank to Pay $250M For Inadequate Risk Management Practices

Published on: December 3, 2020 | by Shepherd Smith Edwards & Kantas, LLP

Office of the Comptroller of the Currency Accuses Bank of Inadequate Internal Controls

JPMorgan Chase Bank has been ordered to pay a $250M penalty. The Office of the Comptroller of the Currency (OCC) contends that the bank engaged in “unsafe and unsound practices” related to its internal controls and an internal audit of fiduciary duties.

With fiduciary assets of $29.1 trillion, JPMorgan has one of the biggest and complex fiduciary businesses. It offers many types of investment strategies via different investment vehicles to its clients. The Bank is not denying or admitting to the agency’s findings.

Fired Morgan Stanley Brokers May Have Grounds for Wrongful Termination Claims

Published on: December 1, 2020 | by Shepherd Smith Edwards & Kantas, LLP

Morgan Stanley Fires Financial Advisors After Inherited Account Credits Investigation

Morgan Stanley (MS) announced recently that it has terminated a number of financial advisors after a months-long investigation into payments being made to retired Morgan Stanley financial advisors under Morgan Stanley’s own Legacy Account Payments Program.

Morgan Stanley’s “sunset plan” allows brokers who are retiring from the firm to split fees and commissions with brokers who inherit the retiring broker’s accounts.

Hannes Financial Services’ Ronald Hannes Allegedly Defrauded Woodbury Financial Customers

Published on: November 20, 2020 | by Shepherd Smith Edwards & Kantas, LLP

Banned Woodbury Financial Broker Allegedly Sold Fake Investments, Converted Client Monies

Ronald Walter Hannes, a Spokane, Washington-based investment advisor and former Woodbury Financial Services broker, is accused by the Washington State Department of Financial Institutions of defrauding 19 clients of over $2.9M.

Hannes had operated out of Hannes Financial Services and he was also a registered Woodbury Financial Services broker for 25 years until 2019. He has 33 years of experience working in the industry. Hannes was fired by Woodbury Financial Services last December. Financial Industry Regulatory Authority (FINRA) barred him in February.

Sierra Income Investors are Losing Money

Published on: November 17, 2020 | by Shepherd Smith Edwards & Kantas, LLP

Risky, Illiquid Business Development Company Was Not Suitable for Many Investors

If you are someone who invested in the Sierra Income Corporation, you may have lost money. This business development company (BDC) is a non-traded investment.

Earlier this year, Sierra Income suffered losses after its announced merger with Medley Capital Corp. and Medley Management Inc. was terminated because of the economic uncertainty caused by COVID-19. Not long after that, the company announced that it was suspending monthly distributions.

Widow Blames David Lerner Associates, Broker Gary Isler For Retirement Losses

Published on: October 7, 2020 | by Shepherd Smith Edwards & Kantas, LLP

Retiree Alleges Overconcentration in Spirit of America Energy Fund

David Lerner Associates and its registered representative, Gary Walter Isler, are once again the subject of a Financial Industry Regulatory Authority (FINRA) arbitration claim. The claimant, an elderly widow, is accusing them of causing her to suffer significant retirement losses by unsuitably overconcentrating her portfolio in the Spirit of America Energy Fund.

This is not the first customer dispute naming Isler, who has been a David Lerner Associates stockbroker for almost 30 years.

SEC Says Fired LPL Financial Broker Stole $300K From 73-Year Old Retiree

Published on: October 6, 2020 | by Shepherd Smith Edwards & Kantas, LLP

Former LPL Financial Investment Advisor Was Also Was Let Go By Integrated Wealth Concepts

The Securities and Exchange Commission (SEC) has filed civil charges accusing former LPL Financial (LPLA) registered representative, Matthew O. Clason, of defrauding an older investor of over $300K.

In August, Clason, who worked out of Glastonbury, Connecticut, was let go by LPL Financial. He also was fired by Integrated Wealth Concepts, where he was an investment advisor. In September, the Financial Industry Regulatory Authority (FINRA) barred Clason.

Barred Securities America Broker Jaime Westenbarger Faces Securities Fraud Allegations

Published on: October 5, 2020 | by Shepherd Smith Edwards & Kantas, LLP

Michigan Stockbroker Was Fired By Securities America

Jaime Michael Westenbarger, a former Securities America registered representative in Michigan, is currently named in three pending customer complaints accusing him of negligence and stockbroker fraud. Westenbarger, who was fired by the broker-dealer last year, has been barred by the Financial Industry Regulatory Authority (FINRA).

He worked 16 years in the securities industry. Our securities fraud lawyers at SSEK Law Firm are offering free case consultations to former customers of Jaime Westenbarger who’ve suffered significant investment losses. You may have grounds for a FINRA arbitration claim to recover damages.

Ex-Kalos Capital Broker Curtis Whipple Accused of Unsuitability & Misrepresentation Involving UDF IV

Published on: September 28, 2020 | by Shepherd Smith Edwards & Kantas, LLP

Latest FINRA Arbitration Claim Allege REIT Losses

A number of investors recently filed a customer complaint against former Kalos Capital broker, Curtis Leroy Whipple, who was with the firm out of Plymouth, Michigan until this year. He faces allegations of unsuitability, misrepresentations, and lack of due diligence related to the claimants’ United Development Funding IV (UDF IV) losses.

UDF IV is a real estate investment trust (REIT) that mostly invests in secured loans for acquiring and developing land into single-family home lots, as well as to construct homes and model homes. UDF IV and the other UDF non-traded REITs have been accused in recent years of being part of a $1B Ponzi scam. United Development Funding is based out of Dallas, Texas.

FINRA Bars Ex-Newbridge Securities Broker Marshall Isaacson Following Unsuitability Claims

Published on: September 23, 2020 | by Shepherd Smith Edwards & Kantas, LLP

Stockbroker Marshall Owen Isaacson Named in Four Customer Complaints Since 2019

The Financial Industry Regulatory Authority (FINRA) recently barred Marshall Owen Isaacson, an ex- Newbridge Securities stockbroker based out of Boca Raton, Florida. Isaacson is accused by customers of making unsuitable investment recommendations and committing broker negligence. With 35 years in the industry, the now ex-registered representative worked at 12 broker-dealers.

Our Florida securities fraud attorneys have been speaking to former customers of Marshall Isaacson who may have suffered significant losses. Contact our securities fraud attorneys at Shepherd Smith Edwards and Kantas (SSEK Law Firm) online today.