Category Archives: PNC Investments

Securities Regulators Fine 12 Firms over $14 million for Failing to Protect Records

December 2016- Washington

In a News Release, the Financial Industry Regulatory Authority (FINRA) announced that the following firms were fined a total of $14.4 million for deficiencies relating to the preservation of brokerage firm records and customer records in a format that prevents alteration:

  • Wells Fargo Securities & Wells Fargo Prime Services, fine $4 million jointly
  • RBC Capital Markets & RBC Capital Markets Arbitrage fined $3.5 million jointly
  • RBS Securities, fined $2 million
  • Wells Fargo Advisors, Wells Fargo Advisors Financial Network & First Clearing, fined $1.5 million jointly
  • SunTrust Robinson Humphrey, fined $1.5 million
  • LPL Financial, fined $750,000
  • Georgeson Securities, fined $650,000
  • PNC Capital Markets, fined $500,000

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

Donald Watson-Former Jeffrey Matthews Broker- Discloses Discharge from Employment

November 2016-Sarasota, FL

The FINRA records of  Donald Lee Watson ,  a  former stockbroker with Jeffrey Matthews Financial Group,  who is not currently  employed disclose a prior customer dispute that has been resolved and two terminations from employment after allegations.

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.

Watson’s FINRA record discloses that on 1/5/2015 he was discharged by FirstTrust LLC. The company made the following allegations in connection with the discharge: “Disregard for compliance procedures. Failure to repay debt to company. Donald Watson did not comply with requests for personal securities transaction reports and repeatedly violated email compliance protocols. Furthermore, Watson collected a 4-month series of loan payments secured by his personal and unconditional guarantee. He is now disputing the loan and expressing his intent to default.”

His record further discloses that on 12/15/2015, Watson was discharged by The Jeffrey Matthews Financial Group who made the following allegations in connection therewith: “Don Watson (DW) alleged he produced over $700k/yr in gross production at his prior employer. He produced a W2 as evidence to Jeffrey Matthews (JM). JM relied on his assertion adn W-2 as the basis for issuing a corporate advance of $200K. While employed at JM from 9/29/15-12/15/15 DW did not transition any client assets to the firm and had no gross production. DW misrepresented the W2 information as production-related, but JM subsequently learned it was not. In addition, we learned DW’s client spreadsheet presented to JM was also fraudulent.”

Jeffrey Matthews Financial Group filed a FINRA arbitration against Watson seeking recovery of the $200,000 advance plus costs and fees. In November 2016, a FINRA arbitration panel ordered Watson to pay the company $260,000. FINRA Case 16-0548. 

Watson’s prior employment in the securities industry includes:

  • Stifel, Nicolaus & Co.
  • International Assets Advisory
  • PNC Investments
  • LPL Financial
  • UVest Financial Services Group
  • Raymond James Financial Services

 

If you have losses in an account in an account handled by Donald Watson , 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

Stockbroker Sanctioned for Trading Without Customer’s Permission

March 17, 2015  

Armen Bahadourian   entered into a Letter of Acceptance, Waiver and Consent  (AWC) with the Financial Industry Regulatory Authority (FINRA) to resolve allegations that  in late 2012, while registered with UnionBanc Investment Services, he executed a total of 15 unauthorized transactions in municipal securities in the accounts of nine customers in violation of MSRB Rule G-17.

Bahadourian was suspended for 18 months and fined $10,000 and ordered to repay the commission s of $6,880 earned on the unauthorized trades.

FINRA Case # 2013035744301

Young was previously registered as follows:

  • McNally Financial Services                        4/2014-8/2014
  • UnionBanc Investment Services                  10-2008-1/2013
  • PNC Investments                                               3/2008-10/2008

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

PNC Investments Broker Barry Millinovich Sanctioned by Securities Regulators

Loveland, Ohio

Barry John Millinovich was barred by FINRA from the securities industry to resolve allegations that he made unauthorized withdrawals of $10,100 from the savings account of a customer and used the funds for personal expenses.

FINRA records indicate that Millinovich was registered with PNC Investments from 5/2011-10/2013. Prior to that he was registered with Fifth Third Securities. If you had losses in an account handled by Millinovich, you may be able to recover damages for those losses.

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

PNC Investments Fined $275K by FINRA Over ETF Sales

By Robert H. Rex, Esq.

The Financial Industry Regulatory Authority (FINRA) fined PNC Investments, Inc. $275,000 in February 2014 for supervisory and compliance inadequacies related to the sale of leveraged, inverse and inverse-leveraged Exchange Traded Funds (ETFs). In addition FINRA ordered the company to pay restitution of over $33,000 to certain customers. 
FINRA found that PNC failed to establish and maintain a supervisory system reasonably designed to achieve compliance with applicable NASD and/or FINRA rules in connection with the sale of the ETFs. FINRA stated that non-traditional ETFs have certain risks that are not found in traditional ETFs, such as risks associated with a daily reset, leverage and compounding. The performance of non-traditional ETFs over longer periods of time can differ significantly from the performance of their underlying index or benchmark, especially in volatile markets. 
If you have questions about losses on Exchange Traded Funds or other investments in your brokerage account, call to speak with an experienced securities attorney. No charge for initial consultation.
Nationwide representation.
561 391 1900

Maxwell B. Smith Sentenced to 15 Years for Securities Fraud

In July 2013, former New Jersey broker Maxwell B. Smith III, age 73, of Fair Haven, was sentenced to 15 years after pleading guilty to first-degree money laundering. Smith operated a Ponzi scheme for 17 years, preying on elderly clients who thought they were giving Smith money to invest in health-care facilities. Instead he used the money for personal expenses, including trips to Gordes, France.

Smith told his victims that the purported investments (Health Care Financial Partnership Direct Municipal Loans ) were safe, tax free and would yield high semi-annual interest payments. In June 2013, Smith was sentenced to seven years after pleading guilty to federal mail fraud charges. The sentences will be served concurrently.

Smith was ordered to pay over $7 million in restitution to victims.

Accordimg to FINRA records, Smith worked for the following firms:

Cantone Research, Inc.
1/2005-4/2009

PNC Investments
1/2004-1/2005

J.J.B. Hilliard, W.L.Lyons, Inc.

12/1999-1/2004

If you were a victim of Smith’s fraud you may be able to recover damages.

Rex Securities Law , located in Boca Raton, FL, 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.

Rex Securities Law

561 391 1900