Category Archives: FINRA

Additional Individuals Indicted In Chimera Energy Corp. Fraud-Houston, Texas

Houston, Texas – July 2017

According to a press release from the US Attorney’s Office for the Southern District of Texas, a second superseding indictment has been issued by a  federal grand jury naming additional individuals and companies related to the Chimera Energy Corp. pump and dump fraud. Losses due to the fraud may exceed $25 million.

The following individuals were  named in September 15, 2016 indictment for a securities fraud scheme involving the stock of Chimera Energy Corp:

  • Andrew Ian Farmer, 38 , Houston, TX
  • Thomas Galen Massey, 46, Houston, TX

In a superseding indictment April 26,2017, a federal grand jury charged five additional individuals for their roles in the Chimera Energy fraud:

  • Eddie Douglas Austin, Jr. , 66, Houston, TX
  • Carolyn Price Austin, 62, Houston, TX
  • Charles Earl Grob, Jr. 37, Houston, TX
  • John David Brotherton, 57, League City, TX
  • Scott Russell Sieck, 58, Winter Park, FL

On July 20, 2017, a grand jury returned a second superseding indictment against Farmer, Eddie and Carolyn Austin, Brotherton, Sieck and Grob for roles in a broader securities fraud conspiracy involving at least 12 other companies from 2011 to 2017.

The release indicates that Massey pleaded guilty to his role on April 18,2017, and is set for sentencing in June 2018.

Pump and Dump Scheme

In a pump and dump scheme, the fraudsters engage in fraudulent trading practices in a company’s stock by publishing false and misleading information about the company with the intention of inflating the price of the stock. Once the stock rises as a result of this fake information, the fraudsters dump their stock on the market to the investors who have been misled by the false information.

Victims who may have been advised by a registered stockbroker to invest in any of these companies may be able to recover damages through FINRA arbitration. Call to learn about 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

Investigation-Frank T. Dunn, Jr.-Concorde Investment Services-The Woodlands, TX

The Woodlands, Texas

We are investigating the sales practices of Frank Timothy Dunn, Jr. a broker who has been employed by Concorde Investment Services since 10/2014. In publicly available records Dunn discloses a business affiliation with Capstone Financial Consultants LLC , 1031 TaxSavings.com and an accounting practice located in the Woodlands, TX.

Dunn also discloses two prior regulatory events, one with the NASD, now known as FINRA, and one with the Oregon Division of Finance and Corporate Securities, both of which resulted in monetary sanctions.

 

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 16-0611 a  customer of Waveland Capital Partners sought damages of $452,388, alleging misrepresentation, breach of fiduciary duty in relation to a tenant in common investment (1031 exchange). That case was settled for $22,500.

In FINRA case 12-3742 a customer of EPlanning Securities sought damages of $1 million alleging misrepresentation, negligence and breach of fiduciary duty in connection with tenant in common investments. That case settled for $67,000.

Prior to his employment with Concorde Investments Services, Dunn was registered with Steven L. Falk & Associates from 5/2010-10/2010 , EPlanning Securities 4/207-12/2008, and with Waveland Capital Partners from 7/2003-4/2007.

If you have information which you believe is helpful to this investigation we would appreciate hearing from you.

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

Ameriprise Financial Ordered to Pay Customer $440K For Making Improper Distributions From Retirement Account

JUNE 2017

A FINRA arbitration panel of three public arbitrators in Omaha, Nebraska ordered Ameriprise Financial Services to pay a customer $440,000 in compensatory damages. The customer alleged breach of fiduciary duty, omission of facts and breach of contract and that Ameriprise made improper distributions to an individual who was not a proper beneficiary of a non-qualified account and two IRA accounts. Larson v Ameriprise, FINRA Case 16-01613.

The Financial Industry Regulatory Authority (FINRA) is a not-for-profit organization authorized by Congress to protect America’s investors by making sure the broker-dealer industry operates fairly and honestly.

As stated on  the FINRA website:

Arbitration is a method of resolving a dispute between two or more parties by neutral, qualified individuals, who serve as decision-makers after weighing the facts of each case presented. The decision-makers are called arbitrators. Arbitration of securities disputes against brokerage firms, brokers, or both provides a prompt and inexpensive means of resolving issues. There are certain laws governing the conduct of an arbitration proceeding. The most important of these is perhaps the fact that an arbitration award is final and binding, subject to review by a court only on a very limited basis. Parties should also recognize that arbitrating their claims precludes them from pursuing the same claims  through the courts.

If you have questions about an account with Ameriprise Financial Services or any other brokerage firm , call to learn about 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

Wells Fargo Securities Fined $3.25M For Supervisory Deficiencies

JUNE 2017

Wells Fargo Securities   entered into a Letter of Acceptance, Waiver and Consent (AWC) with the Financial Industry Regulatory Authority (FINRA) to resolve allegations that they failed to report, or had inaccurately reported over-the-counter options trades between 2008 and March 2017.

Although FINRA’s investigation of this issue in 2008 led to an agreement by Wells Fargo to remedy this deficiency, the firm’s reporting system was never fully developed or implemented due to deficient written supervisory procedures.

AWC 20140403261-01

Wells Fargo Securities was censured, assessed a fine of $3.25 million and agreed to an undertaking requiring the firm to review its supervisory systems and take adequate steps to remedy the deficiencies within 120 days.

If you have questions about an account with Wells Fargo Securities , call to learn about your remedies.

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

Gregg Templeton – Former Oppenheimer & Co. Broker – Discloses $6.75M Customer Dispute – NYC

JUNE 2017- New York, NY

According to publicly available records Gregg D. Templeton (CRD#2412775) ,  a  former stockbroker who was previously registered with Oppenheimer & Co., discloses a prior regulatory event, a currently pending customer dispute, 6 prior customer disputes 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 4/2017, Templeton was permanently barred from the securities industry by FINRA to resolve allegations that he failed to provide documents and information requested by FINRA in the course of an investigation into allegations that he misused customer funds and committed other sales practice violations.

In 7/2016, a customer of Oppenheimer & Co. alleged unauthorized trading and sought damages of $61,475.  The case was settled for $62,475.

In FINRA case #16-00111  a customer of  Oppenheimer sought damages of $220,000 for unsuitable investments, fraud, breach of fiduciary duty and negligent supervision.   The case settled for $562,500.

In currently pending FINRA case 16-02363  a customer of Oppenheimer & Co. alleges fraud and breach of contract and seeks damages of $6,750,000.

Templeton was employed by Oppenheimer & Co. from 1/2007 to 8/2015.   Since that time he was employed briefly by FSC Securities Corporation and Aegis Capital Corp .

If you have questions about an account in an account handled by Gregg D. Templeton 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

Jill Cody (Tramontano)-Former Concorde Investment Services Broker-Barred From Securities Industry-Spring Lake, NJ

According to publicly available records Jill M. Cody , (CRD# 4333419) ,  a  former stockbroker who last worked for Concorde Investment Services  , has numerous disclosures: 

  • 1 prior regulatory events
  • 7 currently pending customer disputes
  • 1 currently pending regulatory investigation

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 2/2017 Jill Cody (aka Jill Tramontano)  was permanently barred from the securities industry by FINRA to resolve allegations that she permitted Richard Cody, to whom she was then married, and who had been suspended by FINRA to engage in the securities business while suspended.

Currently pending customer disputes include:

  • 3/2017-A customer of Westminster Financial Securities & Concorde Investments  seeks damages in an unstated amount and alleges that funds were taken by Cody.
  • 3/2017-A customer of Merrill Lynch, Park Avenue Securities, Columbia Management, Westminster Financial Securities and Concorde Investment Services seeks damages in an unstated amount and alleges that Cody misappropriated funds and forged documents.

For information on Jill Cody’s former husband, Richard Cody, follow this link. Cody discloses a business affiliation with Boston Investment Partners.

We are interested in speaking with former customers of Jill Cody (aka Jill Tramontano ) and 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

First Dallas Securities Sanctioned by Regulators for Overcharging Commissions-Dallas, TX

March 2017- Dallas, TX

According to publicly available records First Dallas Securities Inc.  (CRD# 24549) ,  a  brokerage firm with about 24 brokers headquartered in Dallas, Texas, discloses a recent regulatory sanction.

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.

First Dallas Securities consented to the entry of findings that it improperly charged ticket charges in at least 449 transactions involving 129 accounts for clients of its affiliated registered investment advisor (RIA). FIrst Dallas did not have an adequate supervisory system to ensure that customers of its affiliated RIA were not overcharged, according to FINRA.

First Dallas Securities was censured and fined $45,000.

 

If you have questions about how your account has been handled at First Dallas Securities, 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

Investment Loss Recovery-Information on recovery of investment losses due to the negligence or fraud of stockbrokers. Nationwide representation.