Category Archives: Unregistered Securities

Brian K. Hardwick-Former Red River Securities Broker-Discloses Sanctions Over Oil & Gas Deals

May 2017 – Carrollton, TX

According to publicly available records Brian K. Hardwick  (CRD#4522460) ,  a  former stockbroker who was barred by FINRA from acting as a broker or otherwise associating with firms that sell securities to the public discloses 2 final regulatory events and two 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.

In February 2017 Hardwick was fined $16,214, ordered to pay restitution of over $24 million and barred from the securities industry.  A FINRA hearing panel found that Hardwick violated securities laws by making material misrepresentations and omissions related to joint venture offerings that were set up as general partnerships for the purpose of engaging in oil and gas drilling. The findings stated that Hardwick did not provide authorizations for expenditures (AFEs) to investors and wildly inflated income distributions on prior wells and failed to disclose conflicts of interest.

A petition pending in Nueces County, Texas, seeks damages of $5.8 million and alleges misrepresentations in connection with an oil and gas investment. 2011-PR-00490-4

Hardwick’s registration history includes:

  • Red River Securities of Plano, TX                12/2009-2/2014
  • Sethi Financial Investments, Plano, TX    2/2009-3/2009
  • Texas Securities Inc, Carrollton, TX            11/2002-3/2007

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

Patrick D. Combs-Former Morgan Stanley Broker-Discloses Customer Dispute and Suspension by FINRA-Southlake, TX

May 2017-Southlake, TX

The FINRA records of  Patrick D. Combs  ,  a  stockbroker who is currently suspended by FINRA and who was last registered with IMS Securities disclose a pending customer dispute, a final regulatory event 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.

Combs discloses case 048-283087-16 pending in Tarrant County District Court alleging unspecified damages related to a 2012 non-broker affiliated investment.

IN 3/2017 Combs was suspended by FINRA for 7 months and fined $7,500 to resolve allegations that he participated in a private securities transaction without providing written notice to Morgan Stanley. The customer invested $500,000 in a promissory note in a privately held sports drink company. FINRA findings state that Combs submitted false answers concerning the private securities transaction in annual compliance questionnaires.

Combs  was employed by Morgan Stanley  from 6/2009-3/2016He was terminated by Morgan Stanley who made the following allegation on his FINRA record: “Allegations regarding employee’s conduct regarding the use of personal email to facilitate a private securities investment for a firm client.”

Combs was then employed briefly 3/2016-4/2016 by Houston-based IMS Securities.

If you have questions about an account  handled by Patrick D. Combs , contact us 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

Neal & Natalie Moon-Former Waddell & Reed Brokers-Named in Regulatory Complaint-Dallas, TX

July 2016- Dallas, TX

FINRA Department of Enforcement filed Disciplinary Proceeding 2015046926801 against Neal Charles Moon (CRD 3271716) and his wife Natalie E. Fogiel Moon (CRD 5010360) alleging that from 2/2012-8/2015 they participated in nine private securities transactions that raised $2.64 million without providing their employer Waddell & Reed with written notice as required by NASD and FINRA rules.

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 complaint also alleges that Neal Moon lied to an investigator from Waddell & Reed about his participation in the private securities transactions in violation of FINRA Rule 2010.

The securities set forth in the FINRA complaint are:

  • Boxx Technologies
  • NMN Boxx
  • Total Operating LLC
  • Hoffbrau Steaks
  • CCBRAU Ltd.

Neal Moon was registered with Waddell & Reed from 10/2009-10/2015 when he was permitted to resign following his admission that he participated in private securities transactions.

If you have questions about an account in an account handled by Neal Charles Moon, contact us to discuss your legal 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

Erryn Michael Barkett-Former NEXT FInancial Broker-Discloses Sanctions and Customer Disputes Over Unregistered Securities-The Woodlands, TX

February 2017-The Woodlands, TX and Fincastle, VA

According to publicly available records Erryn Michael Barkett , (CRD# 4102279) ,  a  stockbroker who is employed by LPL Financial, disclose that he was sanctioned by the Virginia State Corporation Commission who alleged that he sold unsuitable and unregistered securities and omitted material information in the sale of those securities causing investors to lose $330,000.

Barkett was ordered to pay restitution of $15,000.

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.

Public records disclose that  Barkett’s prior employer  NEXT Financial Group paid over $310,000 to settle the claims of four customers who alleged that Barkett sold them fraudulent unregistered products involving structured military pension investments.

In pending FINRA Case 17-0132 a customer of NEXT Financial Group is seeking damages of $310,000 and alleges that between 2009 and 2013 Barkett recommended that they invest in various fraudulent companies and recommended nearly $650,000 in illiquid and poor performing alternative investments, REITs and annuities.

If you have questions about an account in an account handled by Erryn Michael Barkett, contact us to discuss your legal 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

Stuart G. Dickinson-Former WFG Investments Broker-Barred by Securities Regulagtor-Highland Park, TX

November 2016-Highland Park, Texas

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.

According to publicly available records Stuart G. Dickinson, (CRD# 1047824) ,  a  former stockbroker who is was last employed in the securities industry by WFG Investments disclose that FINRA has permanently barred him from acting as a broker or otherwise associating with firms that sell securities to the public. FINRA alleged that Dickinson failed to conduct reasonable due diligence on private placement investments involving automated teller machines ( ATM Alliance, LP ) which were fraudulent.

FINRA ordered Dickinson to pay restitution in the amount of $924,000.

In 12/2012 a customer of WFG Investments was paid $35,000 to resolve allegations that certain investments sold to him by Dickinson were not suitable.

In FINRA arbitration 12-1202 filed by a customer of WFG Investments, a customer was paid a settlement of $130,000 to resolve allegations of fraud, suitability, misrepresentation and lack of supervision with respect to the purchase of a private placement and unsuitable exchange traded funds (ETFs).

Dickinson  was employed by WFG Investments from 10/2005-9/2013.  He was discharged by WFG Investments 9/2013 after the company received an inquiry relating to a private securities transaction. He is not currently registered as a broker.

If you have questions about an account in an account handled by Stuart Graham Dickinson , contact us to discuss your legal 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

Lizabeth Gotuaco Ty-Former Park Avenue Securities Broker-Discloses Customer Disputes Over Unregistered Promissory Notes

UPDATE February 2017Lizabeth Beth Ty, also known as Lizabeth Gotuaco Ty discloses that another customer of Park Avenue Securities has filed a FINRA arbitration (case #17-429) alleging damages of $1.9 million related to the sale of unregistered promissory notes.

Original Post–November 2016-Houston, Texas

The FINRA records of  Lizabeth “Beth” G. Ty,  a  former stockbroker with Park Avenue Securities disclose three pending customer disputes and a prior regulatory matter that is final.

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 against Beth Ty are:

  • FINRA Case 16-0871-in which a customer of Park Avenue Securities alleges damages of $250,000 related to the purchase of an unregistered promissory note.
  • FInra Case 16/0481 in which a customer of Park Avenue Securities alleges damages of $500,000 in connection with the purchase of unregistered promissory note investments.
  • FINRA Case 16-0424 in which a customer of Park Avenue Securities alleges damages of $400,000 in connection with investments in unregistered promissory notes.

On April 16, 2016, during the course of an investigation into allegations that Beth Ty sold unregistered securities, FINRA requested that Ty provide documents and information pursuant to FINRA Rule 8210. Through her attorney, Ty indicated that she would not produce the information or documents at any time. In May 2016, FINRA permanently barred Beth Ty from acting as a broker or otherwise associating with firms that sell securities to the public. FINRA Disciplinary Action 2016049315001.  

Ty was registered with Park Avenue Securities from 1/2006-7/2015.

If you have losses in an account in an account handled by Lizabeth “Beth” Gotuaco Ty , contact us to discuss how you may be able to recover damages for those losses 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

Ian C. Kass-Former WIlson-Davis Stockbroker- Charged with Securities Fraud-Ft. Lauderdale, FL

October 2016-Ft. Lauderdale, Florida

The FINRA records of  Ian C. Kass,  a  former stockbroker who  was last employed by  Wilson-Davis & Co.   disclose a pending regulatory event, a pending investigation and a recent employment separation after allegations. In September 2016, the U.S. Attorney’s Office for the Southern District of Florida reported that Kass, 45, of Ft. Lauderdale had been charged with one count of conspiracy to commit securities fraud in connection with a scheme to fraudulently register shell companies with the SEC, issue shares in the companies with were secretly owned by the other conspirators and sell the shares to the public at a profit.

Sheldon R. Rose, 77, of Sarasota was also charged with conspiracy to commit securities fraud. The other co-conpirators who previously pled guilty for their role in the fraud are:

  • Daniel McKelvey, 49, Foster City, CA
  • Jeffrey L. Lamson, 51, El Dorado Hills, CA
  • Steven Sanders, 73, Lake Worth, FL
  • Alvin S. Mirman, 78, Sarasota, FL

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 July 2016, Kass was discharged by Wilson-Davis & Co. who made the following allegations on Kass’s FINRA record in connection with the discharge:” With the assistance of outside counsel, reviewed documents, public filings, representative’s performance and compliance history, interviewed representative and concluded to terminate representative based on the pending government investigations.”

Kass was employed by Wilson-Davis & Co. from 7/2012-7/2016. Prior to that he was employed by Delaney Equity Group 7/2011-7/2011 and before that Gordon & Co. 6/2011-6/2011.

If you have losses in an account handled by Ian C. Kass , 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