Category Archives: Alabama Securities Commissioner

Douglas Hardwick-Former Texas Securities Broker-Sanctioned for Sale of Oil & Gas Investments

May 2017 – Carrollton, TX

According to publicly available records Douglas R. Hardwick  (CRD#4522610) ,  a  stockbroker currently not registered, but who was previously registered with  Texas Securities, Inc.,  discloses a pending regulatory matter.

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 Alabama securities regulators issued a cease and desist order naming Hardwick and others for the solicitation and selling of working interests in oil and gas ventures to Alabama residents without being properly registered as an agent. Admin Order CD 2016-0011. 

 

Hardwick  has not been registered as a securities broker since he left Texas Securities in 8/2009.

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

Terry Joe Bagwell – Former Pruco Securities Broker-Discloses Numerous Customer Dispute Settlements-Birmingham, Alabama

 Birmingham, Alabama

UPDATE MAY 2017

FINRA records disclose that Terry Joe Bagwell has 3 currently pending and 11 prior final customer disputes.  Bagwell is not currently registered as a stockbroker. He previously worked for Pruco Securities and MetLife Securities, Inc. (MSI).

The currently pending arbitrations include:

  • FINRA Case # 16-03568- a customer of MSI Financial Services alleges unstated damages for failing to take steps to supervise another previous advisor involved in the misappropriation of funds that would go on to become a Ponzi Scheme.
  • FINRA Case #16-0442- a customer of Pruco Securities alleges unstated damages for misrepresentation of the terms of a life insurance policy.

ORIGINAL POST-April 6, 2016  

FINRA Sanction

In February 2015, Terry Joe Bagwell   entered into a Letter of Acceptance, Waiver and Consent  (AWC) with the Financial Industry Regulatory Authority (FINRA) to resolve allegations that he was the designated supervisor of a registered representative who sold approximately $8.4 million in unapproved investments that were part of an ongoing Ponzi scheme. In addition, FINRA alleged that Bagwell personally participated in some of the unapproved private transactions.

Bagwell has been permanently  barred from engaging in certain activities.

Alabama Securities Commission Investigation

In November 2015 the Alabama Securities Commission initiated an investigation after receiving reports from Alabama residents who had purchased variable life insurance policies through MetLife/Bagwell who transferred the policies to Pruco and then, upon Bagwell’s recommendation, sold the Pruco policies and invested in a purported “hedge fund”. SC 2015-0023

Customer Disputes

Bagwell has been named in 9 customer disputes that have been resolved. Settlement amounts were as high as $1 million. There are currently 3 cases pending against Bagwell alleging fraud and the sale of unregistered securities.

Bagwell who is not currently registered. He was registered with Pruco Securities from 10/2011-3/2015 and prior to that, was registered with MetLife Securities from 4.2002-10/2011.

If you have losses in an account handled by Terry Joe Bagwell, contact us 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

William Blane of Vero Beach, FL, Pleads Guilty to Securities Fraud

January 29, 2015-Montgomery, Alabama

The Alabama Securities Commission announced that William Chris Blane of Vero Beach, FL, pleaded guilty to four counts of securities fraud in connection with the offer and sale of securities in EyeWonder, Inc. , an Atlanta, GA, company and Poly-Triplex Technologies/Poly Triplex Investors, a Florida based company.

Sentencing is set for February 26, 2015. His brother Martin Blane and Robert Robinson were named as co-defendants and have pled guilty and been sentenced.

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 Frye Asks to Serve Sentences for Securities Fraud Concurrently-Alabama

January 21, 2015-Coffee County, Alabama

Scott Alan Frye, formerly of Knoxville, Tennessee, who in April 2011 was found guilty of selling unregistered securities and sentenced to 20 years in prison in by Judge Tom Head of the 12th Judicial Circuit was then sentenced to 25 years in a securities fraud case in Jefferson County.

In June 2014, Head asked that the sentences be served concurrently. A hearing on that request is set for Feb 2.

According to the Alabama Securities Commission, Head used money raised from victims retirement plans to purchase unregistered securities and for personal purchases.

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

Former Houston County Attorney Mitch McNab Pleads Guilty to Securities Fraud

December 17, 2014-Montgomery, Alabama

The Alabama Securities Commission announced that Frederick Mitchell “Mitch” McNab of Dothan, Alabama, pleaded guilty to 55 criminal charges , including 25 securities related charges which include:

  • Sale of Securities by Unregistered Agent
  • Sale of Unregistered Securities
  • Acting as an Unregistered Investment Adviser
  • Securities Fraud
  • Financial Exploitation of an Elderly Person

McNab’s victims lost over $10 million in the Ponzi scheme which involved using funds from new victims to pay “returns” to earlier victims.

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

Securities America Broker James McLaughlin Barred by Regulators for Churning Accounts

November 25, 2014-Westover, Alabama

James Mark McLaughlin was permanently barred from the securities industry by the Financial Industry Regulatory Authority for excessive trading (churning) customer accounts, unsuitable short term trading of A-Share mutual funds and for exercising discretion in customer accounts, also known as exercising discretion.

According to the FINRA letter of Acceptance Waiver and Consent, McLaughlin engaged in the following violative conduct:

Excessive Trading is measured by the  turnover rate and the cost to equity ratio. FINRA found that McLaughlin excessively traded in four accounts. In one of the accounts there were 459 purchases and sales resulting in a turnover rate of nearly 16 times the value of the account and a cost to equity ratio of nearly 70%. The cost to equity ratio is the amount the account would have to make to break even.

Unsuitable Short-Term Trading of A-share Mutual Funds, purchase and sale within a year, resulted in customers paying unnecessary mutual fund fees and commissions to McLaughlin. The customers would have paid 75% less in fees had they purchased C-shares.

Unauthorized Trading occurs when a broker places trades in an account without having discussions with the customer first. McLaughlin traded four customer accounts without obtaining written authority to do.

According to FINRA records, McLaughlin was registered with Securities America from 10/2000 until 10/2012 when he was discharged for violating firm policy related to excessive trading.  Prior to that he was registered with Prudential Securities Inc.

He was also barred by the Alabama Securities Commission in November 2013.

If you believe your account has been excessively traded or that the broker has traded it without your authority, contact us to learn how you may be able to recover damages.

Rex Securities Law , located in Boca Raton, FL, provides representation to  investors  in Alabama and 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

Alabama Securities Commission Warns of Swindlers in Church

The Alabama Securities Commission warns of swindlers who claim loyalty to your group, whether it be a church group or other group or association. Fraud targeting  religious groups continues to be a problem according the Commission’s Investor Tips/ Investor Education website. 

To avoid Affinity Group Fraud, the regulator warns investors to beware of the use of testimonials from other group members since some scam artists frequently pay out high returns to early investors using money from later investors to give the appearance of a legitimate investment, a technique know as a Ponzi scheme.

Visit their website for more information and examples.

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