Category Archives: Elder Financial Abuse

RIchard G. Cody-Former Concorde Investment Services Broker-Charged With Fraud by SEC-Spring Lake, NJ

April 2017- Spring Lake, New Jersey

According to publicly available records Richard G. Cody , (CRD# 2794558) ,  a  currently unregistered stockbroker who last worked for IFS Securities  , has numerous disclosures: 

  • 1 pending and 1 prior regulatory event
  • 1 civil lawsuit
  • 8 currently pending customer diputes
  • 3 prior customer disputes
  • 3 currently pending regulatory investigations
  • 1 termination from employment
  • 1 outstanding judgment/lien

The Financial Industry Regulatory Authority (FINRA) is the agency that licenses and regulates stockbrokers and brokerage firms. FINRA requires brokers and brokerage firms to report customer complaints and disputes as well as regulatory sanctions. In addition brokers are required to disclose certain financial matters such as personal bankruptcies, judgments and liens.

In December 2016 the SEC instituted litigation charging Cody with defrauding his retired clients by concealing the fact that their retirement accounts had suffered extensive losses and that the monthly payments they were receiving were exhausting their retirement savings. The SEC alleges that Cody concealed their substantial losses by making materially misleading statements, leading the clients to believe that their investments were maintaining steady value and that their monthly withdrawals were being financed by investment gains.

Richard G. Cody‘s employment in the securities industry includes IFS Securities, Concorde Investment Services and Westminster Financial Securities.

In September 2016 Cody was discharged by IFS Securities.

We are interested in speaking with former customers of Richard G. Cody. 

Rex Securities Law , with offices in Boca Raton, FL,  and  Austin, TX,   provides representation to  investors  nationwide who are 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.

Nationwide Representation

Rex Securities Law

TollFree: 877-224-3199

Florida-561 391 1900 

Texas-512-329-2870

Austin W. Morton-Former Edward Jones Broker-Named in Theft Complaint-Sallisaw, OK

March 2017-Sallisaw, OK

According to publicly available records Austin W. Morton , (CRD# 5538108) ,  a  currently unregistered stockbroker who previously worked for Edward Jones  disclose a pending regulatory matter, a pending customer dispute and a termination from employment.

The Financial Industry Regulatory Authority (FINRA) is the agency that licenses and regulates stockbrokers and brokerage firms. FINRA requires brokers and brokerage firms to report customer complaints and disputes as well as regulatory sanctions. In addition brokers are required to disclose certain financial matters such as personal bankruptcies, judgments and liens.

In FINRA case 2016052347901, the regulator named Morton alleging that he converted $36,000 from an 82 year old former customer with dementia. The complaint alleges that Morton first took $20,000 in cash from the customer after taking he took the customer to the bank to withdraw the money. He then had the customer loan him $6,000 for non existent medical expenses, but actually had the customer give him a signed blank check which Morton made out for $22,000 according to FINRA. He also had the customer give him $2,000 for a purported outside business investment.

Edward Jones discharged Morton in November 2016.

Rex Securities Law , with offices in Boca Raton, FL,  and  Austin, TX,   provides representation to  investors  nationwide who are 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.

Nationwide Representation

Rex Securities Law

TollFree: 877-224-3199

Florida-561 391 1900 

Texas-512-329-2870

Scott Sibley-Former Raymond James Broker-Discloses Multiple Customer Disputes Alleging Abuse of the Elderly-Boca Raton, FL

March 2017-Boca Raton, FL

According to publicly available records Scott Allen Sibley  , (CRD# 1523981) ,  a   former stockbroker who last worked for Moors & Cabot,  discloses 2 prior regulatory events, 2 pending customer disputes, 15 prior final customer disputes, a regulatory investigation, a termination from employment and an outstanding judgment/lien.

The Financial Industry Regulatory Authority (FINRA) is the agency that licenses and regulates stockbrokers and brokerage firms. FINRA requires brokers and brokerage firms to report customer complaints and disputes as well as regulatory sanctions. In addition brokers are required to disclose certain financial matters such as personal bankruptcies, judgments and liens.

In the most recent regulatory matter in 2015,  Sibley was fined $15,000 and suspended for 15 days to resolve allegations by the Florida Office of Financial Regulation that  he made unauthorized trades in a client account.

In January 2017, FINRA commenced an investigation to determine if Sibley willfully failed to disclose material information on FINRA disclosure forms.

The prior final customer disputes include:

  • FINRA arbitration 15-0881 in which a Raymond James customer alleged exploitation of a vulnerable adult, exploitation of a disabled adult and other claims. That case was settled for $325,000.

In pending FINRA arbitration 17-0066, a Raymond James customer alleges damages of $300,000 for negligence, fraud and violations of the Florida Investor’s Protection Act.

In pending FINRA arbitration 16-01493, a Raymond James customer alleges damages of $675,000 for negligence, fraud, unsuitable recommendations, exploitation of the elderly and other claims.

Sibley was discharged by Raymond James in 2/2015 after the firm received multiple customer complaints alleging unauthorized trading.

Sibley was employed by Moors & Cabot from 3/2015-2/2017 and by Raymond James 11/2007-3/2015.

If you have losses in an  investment account handled by Scott Sibley  , you may be entitled to recover damages. Call for a no charge consultation.

Rex Securities Law , with offices in Boca Raton, FL,  and  Austin, TX,   provides representation to  investors  nationwide who are 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.

Nationwide Representation

Rex Securities Law

TollFree: 877-224-3199

Florida-561 391 1900 

Texas-512-329-2870

Peter Martorana, Former Toms River, NJ, Financial Advisor, Pleads Guilty to

February 2017-Toms River, NJ
New Jersey 101.5 reports that Wall Township financial advisor Peter Martorana, 62, who worked for Retirement Benefit Specialists, pleaded guilty to accepting checks from clients in the 70s, 80s, and 90s but used the money for his own benefit.

Martorana was charged with one count of financial facilitation of criminal activity in excess of $500,000. Sentencing is scheduled for July 2017. The prosecutor has recommended a sentence of 10 years with a period of parole ineligibility of four years.

Rex Securities Law , with offices in Boca Raton, FL,  and  Austin, TX,   provides representation to  investors  nationwide who are 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.

Nationwide Representation

Rex Securities Law

TollFree: 877-224-3199

Florida-561 391 1900 

Texas-512-329-2870

LPL Financial Ordered to Pay $3.7M Over Variable Annuity Sales-Polaris Platinum III

UPDATE Jan 2017LPL Financial  ordered to pay up to $3.7 million in restitution and fines as a result of an investigation into sales of unsuitable variable annuities by former top producer, Roger Zullo.

Original Post –December 2016- Boston, MA

LPL Financial LLC and one of its former brokers Roger S. Zullo were named in an administrative complaint filed by Massachusetts’s securities regulator William Galvin alleging that LPL Financial failed to supervise Zullo who allegedly commited fraud in selling unsuitable variable annuities to retirees.  Link to Massachusetts complaint. 

According to the Massachusetts complaint:

  • Zullo fabricated the financial suitability profiles of numerous LPL clients, selling them scores of large, illiquid, unsuitable, high commission variable annuities, thereby generating large profits for LPL and Zullo, to the detriment of retiree victims.
  • Over a three year period Zullo and LPL received over $1.8 million in commissions on the sale of variable annuities, nearly all of which was generated from one annuity product, the Polaris Platinum III (B shares)
  • “Zullo’ s greed for commissions at times led him to disregard the well being of his clients. Zullo knew one client personally for more than twenty years – a single, retired healthcare worker, with no financial sophistication, no assets at her disposal except those in Zullo’s hands,  and no nearby family to assist her financially. In 2008, Zullo sold the client a variable annuity, which thereafter generated income payments that the client relied on as her primary source of income. In 2015, with the client past the age of 80 and experiencing cognitive impairment, and with the client seeking out assisted living arrangements, Zullo had the client meet him at a subway station near his office to sign paperwork for a switch into a new variable annuity with a fresh, seven-year surrender schedule. The switch was unnecessary, unsuitable, and unwanted; cost the client $1,391.03 in surrender charges; and deprived the client of income she relied on to pay for the basic costs of living.”

Zullo was discharged by LPL Financial in 12/2016 following the filing of the Massachusetts complaint.

If you have questions about an annuity, including Polaris Platinum III,  you purchased from LPL Financial, call to learn about options for recovery of damages.

Rex Securities Law , with offices in Boca Raton, FL,  and  Austin, TX,   provides representation to  investors  nationwide who are 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.

Nationwide Representation

Rex Securities Law

TollFree: 877-224-3199

Florida-561 391 1900 

Texas-512-329-2870

Ronald Dunn-Former Pruco Securities Broker-Indicted for Theft-N Richland Hills, TX

North Richland Hills, Texas

Ronald T. Dunn, a former stockbroker who previously worked for PruCo Securities, was indicted in Tarrant County, TX, for theft of property between $100,000 and $200,000. The victims named in the indictment are 65 years of age or older, making the charge a first-degree felony.

According to publicly available records, Dunn was employed by Pruco Securities from 11/1985-12/2013, when he was discharged for accepting money from a client’s policy and depositing the funds in his personal bank account. Dunn was permanently barred by the Financial Industry Regulatory Authority (FINRA) from acting as a broker or otherwise associating with firms that sell securities to the public.

Several customer complaints are pending against Dunn and he has previously settled three other customer disputes.

If you have questions about an account handled by Ronald T. Dunn, call to discuss your options.

Rex Securities Law , with offices in Boca Raton, FL,  and  Austin, TX,   provides representation to  investors  nationwide who are 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.

Nationwide Representation

Rex Securities Law

TollFree: 877-224-3199

Florida-561 391 1900 

Texas-512-329-2870

Stanley Niekras-Former Purshe Kaplan Broker-Charged in Regulatory Complaint Alleging Financial Abuse of Elderly

November 2016-Watertown, New York

The FINRA records of  Stanley C. Niekras,  a  stockbroker who was formerly  employed by  Purshe Kaplan Sterling Investments disclose 7 prior customer disputes that have been resolved and a currently pending regulatory event.

The Financial Industry Regulatory Authority (FINRA) is the agency that licenses and regulates stockbrokers and brokerage firms. FINRA requires brokers and brokerage firms to report customer complaints and disputes as well as regulatory sanctions. In addition brokers are required to disclose certain financial matters such as personal bankruptcies, judgments and liens.

In the currently pending regulatory matter, FINRA case 2013037401001 , FINRA alleges that Niekras attempted to collect $70,000 in estate and financial planning fees from an elderly couple that he was not entitled to.

Niekras told the clients, who were in their 90’s and declining mentally and physically, that he he had spent hundreds of hours working on their estate plan and charged them at the rate of $250 per hour, notwithstanding the fact he had no agreement entitling him to such a fee.

The  prior customer disputes include several cases involving variable annuities which resulted in significant six figure settlements.

Niekras, who is not currently registered,  was last employed by Purshe Kaplan Sterling Investments from 5/2014-10/2015. Prior to that he was employed by MML Investors Services.

If you have losses in an account in an account handled by Stanley C. Niekras  contact us to discuss how you may be able to recover damages for those losses.

Rex Securities Law , with offices in Boca Raton, FL,  and  Austin, TX,   provides representation to  investors  nationwide who are 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.

Nationwide Representation

Rex Securities Law

TollFree: 877-224-3199

Florida-561 391 1900 

Texas-512-329-2870