FINRA Files Complaint Vs. Fort Worth Broker James Elward Scott

On July 14, 2014, the Financial Regulatory Authority (FINRA) Department of Enforcement filed a complaint against James Elward Scott of Fort Worth, Texas, alleging that assisted an individual in the recommendation and sale of securities in Texas when the individual was not registered with the State of Texas or FINRA.

The complaint further alleges that Scott collected over $117,000 in commissions which he shared with the non registered individual and that during his on the record interview with FINRA he knowingly supplied  false information.

According to FINRA records, Scott most recent registration includes:

  • International Assets Advisory         2/2013-7/2014
  • IMS Securities                 2/2013-2/2013
  • Kovack Securities          12/2012-1/2013
  • FSC Securities Corp.     3/2012-12/2012
  • Southwest Securities    5/2008-4/2012

 

Rex Securities Law provides nationwide representation to investors seeking recovery of investment losses due to the negligence or fraud of stockbrokers and broker dealers. If you have questions about how your account has been handled, call to speak with an experienced securities attorney.  Most cases handled on a contingent fee basis meaning that you do not pay legal fees unless we are successful.

Rex Securities Law

561 391 1900

Ashik A. Kapasi Barred From Securities Industry

Ashik Akberall Kapasi of Spring, Texas, was barred from the securities industry by FINRA upon findings that he provided false responses to FINRA requests for information relating to his outside business activities and related loans.

According to FINRA records Kapasi was registered with Raymond James 8/2011-2//2013 and prior to that was registered with Merrill Lynch until 5/9/2011 when he was discharged for engaging in outside business activities without knowledge or consent of Merrill Lynch.

Rex Securities Law provides nationwide representation to investors seeking recovery of investment losses due to the negligence or fraud of stockbrokers and broker dealers. If you have questions about how your account has been handled, call to speak with an experienced securities attorney.  Most cases handled on a contingent fee basis meaning that you do not pay legal fees unless we are successful.

Rex Securities Law

561 391 1900

Jerry M Hill Barred From Securities Industry by FINRA

Jerry Moore Hill  of Dallas, Texas (aka Jerry M. Allen, Jerry Margaret Hill, Jerry Margaret Moore) was barred from association with any FINRA to resolve FINRA allegations that she acted as a FINOP while suspended in that capacity and without ever requalifying by examination.

According to FINRA records, Hill was most registered until 2013 with the following firms:

  • RIdeau Lyons & Co.  
  • Southwestern Capital Markets, Inc. 
  • Golden Stream Securities
  • Charles W. Pace Securities
  • Laradorbecker Securities Corporation
  • Petrogrowth Energy Advisors
  • Northgate Securities

If you had an account with any of these firms and suffered significant losses, call to discuss how you may be able to recover damages.

Rex Securities Law provides nationwide representation to investors seeking recovery of investment losses due to the negligence or fraud of stockbrokers and broker dealers. If you have questions about how your account has been handled, call to speak with an experienced securities attorney.  Most cases handled on a contingent fee basis meaning that you do not pay legal fees unless we are successful.

Rex Securities Law

561 391 1900

Garland Texas Broker Sanctioned by FINRA

Lloyd J. Chappell of Garland, Texas was suspended for four months and received a deferred fine of $5,000 by the Financial Industry Regulatory Authority (FINRA) on findings that on two occasions he contacted an investment company where one of his former customers held an account and impersonated the customer.  According to the findings, Chappell altered his voice and provided personal data in order to obtain  information related to the account, without the customer’s knowledge or consent.

According to FINRA records, Chappell was registered with BFT Financial Group of Bedford, Texas 8/2013-12/2013 and with Park Avenue Securities from 1/2000-4/2013.

Rex Securities Law provides nationwide representation to investors seeking recovery of investment losses due to the negligence or fraud of stockbrokers and broker dealers. If you have questions about how your account has been handled, call to speak with an experienced securities attorney.  Most cases handled on a contingent fee basis meaning that you do not pay legal fees unless we are successful.

Rex Securities Law

561 391 1900

Quantlab Securities Censured and Fined By FINRA

Quantlab Securities, LP, of Houston, TX, was censured and fined $17,500 by FINRA and was also required to revise its written supervisory procedures.

The FINRA findings stated that the firm’s supervisory system did not provide for supervision reasonably designed to achieve compliance with respect to certain securities laws and regulations concerning anti-intimidation/coordination, sales transactions and other rules.

To review Quantlab’s entire FINRA disciplinary record on the BrokerCheck website, see our ‘Research Your Broker” page.

Rex Securities Law provides nationwide representation to investors seeking recovery of investment losses due to the negligence or fraud of stockbrokers and broker dealers. If you have questions about how your account has been handled, call to speak with an experienced securities attorney.  Most cases handled on a contingent fee basis meaning that you do not pay legal fees unless we are successful.

Rex Securities Law

561 391 1900

IBN Financial Broker Anthony Diaz Sued by FINRA for Multiple Securities Violations

In August 2014, the Financial Industry Regulatory Authority (FINRA) filed a complaint against stockbroker Anthony Diaz if IBN Financial Services, Scotrun, PA.

The complaint, FINRA Disciplinary Proceeding No. 2011030254902, alleges a myriad of wrongdoing by Diaz, including:

  • From March 2010-May 2011, Diaz solicited 80 customers to exchange variable annuities without a reasonable basis for recommending those exchanges. (This is know as annuity swapping, a form of churning)
  • During 207-2010, DIaz falsely told customers that direct participation partnerships and real estate investment trusts (REITs) were guaranteed.
  • He recommended an illiquid product to an 88 year old customer, violating suitability requirements.
  • He falsified the liquid net worth, net worth and/or income information of at least nine customers to make it appear that they were eligible to invest in REITs and direct investment partnerships when in fact they were not. He also changed dates and forged documents.
  • Diaz made unauthorized trades in the accounts of at least 7 customers

Diaz was first registered as a stockbroker in 2000. During this 14 years he has worked for eleven firms:

  • IBN Financial Services
  • Sandlapper Securities
  • International Financial Solutions
  • Kovack Securities
  • Matrix Capital Group
  • SII Investments
  • First Allied Securities
  • Round Hill Securities
  • Raymond James Financial Services
  • Edward Jones
  • Horwitz & Associates (now InSight Securities) 

According to FINRA records Diaz was fired or allowed to resign from half of the firms where he worked for reasons including:

  • Solicited sales of variable annuities to clients without being properly appointed with annuity company
  • Complaints that Mr. Diaz entered unauthorized trades
  • Violated firm’s prohibition against unauthorized trading

If you suffered losses in an account handled by Mr. Diaz you may be able to recover damages. If you suffered damages in an account handled by your broker as a result of churning annuities, unauthorized trading or forgery, call to discuss your legal options.

Rex Securities Law provides nationwide representation to investors seeking recovery of investment losses due to the negligence or fraud of stockbrokers and broker dealers. If you have questions about how your account has been handled, call to speak with an experienced securities attorney.  Most cases handled on a contingent fee basis meaning that you do not pay legal fees unless we are successful.

Rex Securities Law

561 391 1900

Failure to Heed “Red Flags” In Ponzi Scheme Results in $280,000 Fine For Morgan Stanley Smith Barney

September 15, 2014, Washington, DC

Morgan Stanley Smith Barney was fined  $280,000 and ordered to disgorge commissions in connection with a  $35 million Ponzi Scheme being operated in a purported  British Virgin Island hedgefund, SureInvestment.

Under Morgan Stanley’s compliance procedures, the British Virgin Islands is deemed a “high risk jurisdiction”. According to the release from the U.S. Commodity Trading Futures Commission (CFTC) , in Morgan Stanley Enhanced Due Diligence and Customer Identification Program procedures they are required to “know its customer” and to be alert for any “red flags” regarding suspicious activity.

Earlier this year, the owner of SureInvestment, Benjamin Wilson, was sentenced to seven years by the U.K. Financial Conduct Authority.

Rex Securities Law provides nationwide representation to investors seeking recovery of investment losses due to the negligence or fraud of stockbrokers and broker dealers. If you have questions about how your account has been handled, call to speak with an experienced securities attorney.  Most cases handled on a contingent fee basis meaning that you do not pay legal fees unless we are successful.

Rex Securities Law

561 391 1900

FBI (Florida) Indicts Three–Assured Capital Consultants Ponzi Scheme

September 16, 2014- Ocala, Florida

The Federal Bureau of Investigation (FBI) announced the unsealing of an indictment of three people in conncetion with a $10 million dollar fraud in a company call Assured Capital Consultants:

  • Jenifer E. Hoffman, 37, Clermont, FL
  • John C. Boschert, 43, Apopka, FL
  • Bryan T. Zuzga, 37, Coldwater, MI

According to the FBI press release, Hoffman, Boschert and Zuzga defrauded over 100 victims who were told that their money would be invested in a Performing Private Placement Investment, that the investments were safe and that none of the money would leave the escrow account of Zuzga who held himself out to be an attorney licensed in Florida.

Zuzga was not an attorney and none of the money was put into any escrow account controlled by him, instead some of it  was paid out to early investors and some spent by the three, a classic Ponzi Scheme.

If you invested in Assured Capital Consultants and/or Performing Private Placement Investment through a registered stockbroker, call to learn how you may be able to recover damages.

Rex Securities Law provides nationwide representation to investors seeking recovery of investment losses due to the negligence or fraud of stockbrokers and broker dealers. If you have questions about how your account has been handled, call to speak with an experienced securities attorney.  Most cases handled on a contingent fee basis meaning that you do not pay legal fees unless we are successful.

Rex Securities Law

561 391 1900

SEC Charges DDBO Consulting and CalPacific Equity Group and Principals with Fraud in Sale of Thought Development

On September 15, 2014, the U.S. Securities and Exchange Commission (SEC) announced that it filed civil actions in U.S. DIstrict Court against three companies, DDBO Consulting, DBBF Consulting and CalPacific Equity Group, and four individuals, Dean R. Baker of Coral Springs, FL, Daniel R. Baker of Valley Village, CA, Bret A. Grove of Delray Beach, FL, and Demosthenes Dritsas of Newhall, CA, in a boiler room scheme that hyped a new technology purportedly to be used in the Super Bowl.

Senior citizens were pressured into purchasing stock in Thought Development (TDI) a Miami Beach company that represented it had a signature invention—a laser line system that generates a green line on the football field for a first down marker that is visible to the players, officials and fans, as well as the TV viewing audience. According to the SEC there was no imminent IPO and over half the money raised was paid to the companies and individuals as sales commissions.

About $1.7 million was raised from 110 people who were told that an initial public offering was imminent.

Rex Securities Law provides nationwide representation to investors seeking recovery of investment losses due to the negligence or fraud of stockbrokers and broker dealers. If you have questions about how your account has been handled, call to speak with an experienced securities attorney.  Most cases handled on a contingent fee basis meaning that you do not pay legal fees unless we are successful.

Rex Securities Law

561 391 1900

B.C. Ziegler Fined $150,000 Over Church Bond Sales

In July 2014, to resolve allegations that the firm failed to establish and maintain a supervisory system reasonably designed to ensure that economic information about the viability of church bonds sold on the secondary market was disclosed to the sales staff, Chicago based B.C. Ziegler and Company paid a fine of $150,000 to the FInancial Industry Regulatory Authority (FINRA).

B.C. Ziegler, without admitting or denying the findings, accepted and consented to the securities regulator’s findings, which include:

  • A primary business of B.C. Ziegler was the sale of Church Bonds and Senior Living Bonds
  • From 1/1/2009-5/30/2012 the firm failed to implement a supervisory system to ensure economic information on Church Bonds was disclosed to brokers
  • B.C. Ziegler used Church Bond sales material with customers that was not fair and balanced.

If you suffered losses on Church Bonds purchased from B.C. Ziegler, call to discuss your legal options.

Rex Securities Law provides nationwide representation to investors seeking recovery of investment losses due to the negligence or fraud of stockbrokers and broker dealers. If you have questions about how your account has been handled, call to speak with an experienced securities attorney.  Most cases handled on a contingent fee basis meaning that you do not pay legal fees unless we are successful.

Rex Securities Law

561 391 1900

 

Current information for investors seeking information on recovery of investment losses due to the negligence or fraud of stockbrokers and brokerage firms. Nationwide representation.