Category Archives: Misrepresentation

Investigation-William A. Hightower-Former UBS/Legacy Asset Broker-Houston, TX

OCTOBER 2017- Houston, TX

We are currently investigating former stockbroker William A. Hightower of Houston, TX, on behalf of a former UBS Financial Services client who alleges Hightower recommended that she invest in an unsuitable and illiquid investment, Reproductive Research Technologies.

Hightower was employed by UBS Financial Services from 2007-2013 and then by Legacy Asset Securities from 2013-2015.

In October 2015 Hightower was permanently barred from the securities industry by the Financial Industry Regulatory Authority (FINRA). Without admitting or denying the findings, Hightower agreed to the bar and to entry of findings that while employed by UBS Financial he failed to respond to requests for information  in connection with a FINRA investigation that he improperly referred customers to an unapproved private securities transaction. Specifically, Hightower failed to provide a list of any customers he referred to the private securities transaction.

FINRA records report that former UBS Financial Services stockbroker William A. Hightower is named in  currently pending FINRA arbitration case #15-03387 by a former customer who is seeking damages of $150,000 from UBS Financial Services.

The former UBS Financial Services customer alleges that in 2012 Hightower recommended the purchase of a high risk, illiquid and unsuitable private placement. Claimant further alleges omissions and misrepresentations regarding the recommended investment.

 

If you have losses in an account handled by William Hightower, call to learn how you may be able to recover damages from his former employer.

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

Bill A. Holubec-Former Royal Alliance Stockbroker-Subject of Customer Suit-San Angelo, TX

October 2017-San Angelo, Texas

We are investigating former Royal Alliance Associates stockbroker Bill A. Holubec.

Publicly available records of Bill A. Holubec, (CRD# 1304064) , disclose that a Royal Alliance customer has filed an arbitration , FINRA Case #17-0068,  alleging damages of $500,000 for misrepresentation,  suitability and failure to supervise in connection with the sale of junk bonds and non-traditional exchange traded funds (ETF).

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.

Holubec  was employed by Royal Alliance Associates from 12/1994 until 5/2017. He is not currently registered as a broker. Holubec discloses business affiliations with The Financial Services Center and Royal Advisory Services in San Angelo, TX.

If you have losses in an account handled by Bill Holubec, contact us to discuss how you may be able to recover damages from his former employer.

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

Jonathan T. Pyne-Update on Investigation-Minneapolis, MN

October 2017-Minneapolis, MN

Jonathan Todd Pyne (aka Jon Pyne )  ,  a  stockbroker who is currently registered with Berthel Fisher & Co. Financial Services discloses 2 pending customer disputes and 3 prior final customer disputes on his FINRA record.

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 of the currently  pending  disputes, received in 7/2017 , a customer of Berthel Fisher alleges damages in excess of $5,000 and claims that she was misled by Pyne into purchasing a real estate investment that she did not know was illiquid.

In another currently pending matter received in 9/2016, a Berthel Fisher customer is upset with the overall performance of the account which was invested in oil & gas, real estate securities and a business development company. Damages are not specified, but exceed $5,000.

In September 2016 Berthel Fisher settled a complaint brought by one of Pyne’s customers alleging that oil and gas and real estate securities purchased in 2008 and 2009 were unsuitable and misrepresented. That matter was settled for $48,175.

In FINRA arbitration 14-0952 a customer of Pyne’s alleged damages of $250,000 in connection with the sale of unsuitable investments sold to her in 2007 and 2008 in equipment leasing, oil and gas and real estate securities. That case was settled in 11/2015 for $110,000.

Pyne has been employed by Berthel Fisher & Co.   since 2/2007. Pyne discloses a business affiliation with Evergreen Financial Group.

See this for our prior investigation of Jonathan T. Pyne over the sale of the following alternative investments:

  • Gulf Coast Rig & Equipment
  • Reef Income & Development
  • Leaf Equipment Leasing Fund
  • Inland American
  • Cornerstone Properties (now Summit Health Care)
  • Columbia Properties

If you have questions about an account  handled by Jonathan T. Pyne , contact us to discuss your options.

Alternative investments include non publicly traded real estate investment trusts (REITS) , equipment leasing, oil and gas, hedge funds, real estate, commodities and derivatives contracts and, managed futures.  These investments tend to be complex, illiquid, nontransparent, hard to value and expensive. Many of the alternative investments sold over recent years are not traded on any public market making them difficult to value and even more difficult to liquidate if cash is needed.

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

William J. Paynter, Jr. Is Subject of Investor Suit by Elderly Couple Over Oil and Gas Investments-Scottsdale, AZ

October 2017-Scottsdale, AZ

William J. Paynter, Jr., (CRD#2835535) ,  a  stockbroker who is currently employed by Wells Fargo is the subject of a  currently pending customer dispute involving energy sector investments.

In FINRA Case 17-01658 an elderly couple alleges that Paynter recommended unsuitable investments and an over concentration in oil and gas and energy investments. They are seeking damages of $500,000 for negligence, breach of fiduciary duty, negligent supervision and breach of contract. During the time period in question Paynter was employed by Morgan Stanley  (2/2011-11/2014) and then UBS Financial (10/2014/5/2017).

Paynter has been employed by Wells Fargo since 4/2017.

Brokers are charged with the duty of making suitable recommendations to their customers taking into account their age, health and risk tolerance.

If you have losses in an account handled by  William J. Paynter, Jr., contact us to learn how you may be entitled to  recover damages through arbitration before the Financial Industry Regulatory Authority (FINRA). 

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

How to Recover Losses on Miller Energy Resources Investments

OCTOBER 2017

If you suffered losses as a result of following your broker’s recommendation to invest in Miller Energy Resources, contact us to find out how you may be able to recover damages from the brokerage firm through FINRA arbitration.

Miller Energy Resources filed for bankruptcy in October 2015 after the company and its officials were charged with inflating the value of its oil and gas properties by hundreds of millions of dollars.

Many investors were encouraged to invest in Miller Energy Resources and other oil and gas investments believing that such investments were safe and secure only to see the value drop dramatically.

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

Marc Reda-Spartan Capital Broker-Discloses Settlement of Customer Claims

OCTOBER 2017

According to FINRA records,  Marc A. Reda , a broker who is currently employed by Spartan Capital Securities, discloses 9 prior customer disputes a prior regulatory event, 2 terminations from employment and a currently 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 June 2017, without admitting or denying the findings, Marc Reda consented to a fine of $5,000 and a three month suspension. FINRA found that he exercised discretion in customer accounts without written authorization from the customers and that he failed to timely disclose on FINRA Form U4 a federal tax lien filed against him in the amount of $575,101.

The prior customer disputes include the following settlements:

  • FINRA Arbitration 16-1461-a customer of his prior employer PHX FInancial alleged breach of fiduciary duty and unsuitable recommendations, seeking damages of $100,000. That case was settled in 7/2016 for $26,000.
  • In 4/2016 a customer of PHX Financial alleged that Reda traded his account without authority and breach of fiduciary responsibility, seeking damages of over $500,000. That case was settled in 5/2016 for $85,000.
  • In 3/2016 a customer of his prior employer Phoenix Financial Services alleged that beginning in 11/2015 Reda failed to follow the customer’s instructions, made trades without authority and over concentrated investments causing damages of $500,000. That case was settled in 6/2016 for $112,500.
  • In 1/2016 a customer of Phoenix Financial Services alleged that Reda made unauthorized trades in her account causing damages of $400,000. That case was settled in 2/2016 for $120,000.

According to FINRA records, Reda  has been registered with Spartan Capital Securities  since 5/2016. Reda was registered with First Standard Financial from 2/2016-5/2016. Prior to that he was registered with PHX Financial from 10/2014-1/2016 and with Laidlaw & Company from 11/2013-10/2014.

In 1/2016 Marc Reda was “permitted to resign” from PHX Financial who alleged that Reda violated firm policy.

FINRA records disclose an Internal Revenue Service lien filed in the Supreme Court of Richmond County, New York,  against Reda in the amount of $575,101.

If you have losses in an account handled by Marc A. Reda contact us to learn how you may be able to recover damages through FINRA arbitration.

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

Joseph Sterling-Geneos Wealth Management Broker-Subject of Customer Suits Over Real Estate Investments-Apple Valley, MN

October 2017-Apple Valley, MN

The FINRA records of  Joseph H. Sterling ,  a  stockbroker who has been registered with Geneos Wealth Management since 2005 disclose 2 pending customer disputes.

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.

The pending customer disputes both relate to the sale of real estate securities.

  • FINRA Case 17-1906- A customer of Geneos Wealth Management alleges that Sterling recommended unsuitable real estate investments in 2012 and 2013 and is seeking damages of $290,000.
  • FINRA Case 17-1685-A customer of Geneos Wealth Management alleges unsuitable recommendations by Sterling to invest in real estate securities and other direct investments, including limited partnerships. Damages of between $500,000 and $900,000 are sought.

Brokers are required to only recommend investments to clients that meet the client’s investment objectives and risk tolerance. Call to discuss your options. If you have losses in an account in an account handled by Joseph H. Sterling , you may be able to recover damages through FINRA arbitration.

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