Tag Archives: avoid financial exploitation of elderly

Investigation of Capital Financial Services Brokers-Mark & Herminia Sitter-The Woodlands, TX

August 2017- The Woodlands, Texas

We are investigating  Capital Financial Services stockbroker Mark Raymond Sitter of the Woodlands, TXand  his wife Herminia C. Sitter, who until June 2017, was also a  broker with Capital Financial Services TX.

Our investigation is on behalf of an elderly Texas retiree who alleges that they recommended she invest most of her retirement funds into unsuitable real estate investments, including American Realty Hospitality Trust and Cole Office and Industrial REIT.

The FINRA records of Mark Sitter disclose an outstanding lien to the Internal Revenue Service of $83,527. Mark Sitter has been registered with Capital Financial Services since 1/2006. Mark Sitter discloses a business affiliation with Chasewood Wealth Management of the Woodlands, TX.

The FINRA records of Herminia Sitter disclose an outstanding lien to the Internal Revenue Service of $83,527. Herminia Sitter was registered with Capital Financial Services from 9/2005-6/2017.

Capital Financial Services has been a FINRA member since 1981 and is headquartered in Minot, North Dakota.

If you have information you believe may be helpful to this investigation please contact our office.

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

Wedbush Securities Ordered to Pay Customer $1.8M For Elder Abuse-Los Angeles, CA

Los Angeles, CA-July 2017

A Financial Industry Regulatory Authority (FINRA) arbitration panel comprised of three public arbitrators ordered Wedbush Securities to pay two former customers (husband and wife) compensatory damages of $250,000. In addition the arbitration panel, who found that Wedbush subjected the couple to elder abuse,  awarded punitive damages of over $1 million and attorney fees of $277,000 pursuant to the California Elder Abuse and Adult Civil Protective Act, interest and costs.

The former customers alleged a number of causes of action, including unsuitable recommendations, failure to supervise the broker, misrepresentation and elder abuse in connection with investments in long term municipal bonds and structured certificates of deposit. Dancy, et al vs. Wedbush Securities, FINRA Case #16-0847.

FINRA ARBITRATION

Arbitration is similar to going to court, however it is generally less costly and a shorter process than court litigation. Most cases are resolved in about 12-14 months. If you have losses in your brokerage account which you believe are the result of negligent or fraudulent advice given to you by the broker, or if you believe your broker has made trades in your account without your permission (unauthorized trading) call 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

Stephen Hatch-Texas Real Estate Investor Sentenced to Five Years on Ponzi Scheme Targeting Christians

The Arizona Republic reports that Texan Stephen J. Hatch, 68, pleaded guilty to felony fraud and was sentenced to five years for operating a $70 million Ponzi scheme that targeted Christians who were promised double digit returns on real estate investments.

According to the press release, Hatch solicited investments in partnerships named after biblical verses and sent emails containing biblical quotes to his investor victims. Hatch told investors he was already a wealthy man and that he didn’t need the money but rather was trying to help them make money in the name of God.

Rather than use the victim’s money to invest in real estate as represented, Hatch used it for extravagant salaries for his children and friends, an investment in a restaurant, luxury items for himself, including a California ranch.

AFFINITY FRAUD

This type of fraud is known as ‘affinity fraud’Affinity fraud refers to investment scams that prey upon members of identifiable groups, such as religious or ethnic communities, the elderly, or professional groups. See this for more information about affinity fraud. 

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

Elder Financial Exploitation Seminar-Williston, VT-May 18, 2017

May 16, 2017-Williston, VT

The New England Federal Credit Union is holding a seminar on Elder Financial Exploitation on Thursday, May 18th, at their main branch located at 141 Harvest Lane in Williston, from 5:30-7:00pm.

The seminar is free and open to the public.

If you are concerned about losses in your brokerage account or the investment accounts of your parents or loved ones, call for a no charge consultation to discuss your options. We have been helping investors recover damages for investment losses for over 25 years.

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

SEC Shuts Down LottoNet Boiler Room-Pompano Beach, FL

March 2017

The U.S. Securities and Exchange Commission announced the filing of a complaint against Florida based LottoNet Operating Corp. , its CEO David Gray and Joseph A. Vitale, a sales agent for the company.

The SEC alleges that they misrepresented to investors how their money was to be used. According to the SEC about 35% of the money raised was paid to boiler room sales agents and LottoNet allegedly siphoned investor funds for personal spending on clothes, a wedding and strip clubs.

Investors were touted $8,500 monthly returns for a $25,000 investment. About $4.8 million was raised.

The SEC says that Vitale raised about $1.4 million from investors using the alias Donovan Kelly in an apparent attempt to conceal the fact that he had been permanently barred by FINRA. According to his FINRA record Vitale was permanently barred by FINRA in 10/2011. Vitale was last employed in the industry by J.P. Turner & Co. 

Link to SEC complaint.

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

SEC Warns Investors– Beware of Fake News

April 2017- Washington, DC

The U. S. Securities and Exchange Commission issued an Investor Alert warning that articles on an investment research website appearing to be an unbiased source of information may be part of an undisclosed paid stock promotion designed to promote the sale of the stock.  Link to SEC Investor Alert. 

“Stock promotion schemes may be conducted through investment research websites,” said Lori Schock, Director of the SEC’s Office of Investor Education and Advocacy.  “Investors looking for objective investment information should be aware that fraudsters may use these websites to profit at investors’ expense.”

The SEC recently commenced enforcement actions against companies and individuals for generating deceptive articles on investment research websites. They have charged 27 parties (individuals, public companies, firms and writers) with fraud. See this for more details. 

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 of Former National Securities Corp Broker Marshall Isaacson-Boca Raton, FL

April 2017- Boca Raton, FL

The FINRA records of  Marshall O. Isaacson ,  a  stockbroker who formerly was employed by  National Securities Corp.  disclose 2 pending  customer disputes, a prior financial event and 2 currently pending judgment/liens .

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 currently pending FINRA Case 16-0627 a customer of National Securities Corp. alleges damages of $300,000 for unsuitable investments and unauthorized trading.

Isaacson discloses discharge from Chapter 7 bankruptcy in 8/2010, US Bankruptcy Court Southern District of Florida.

Isaacson discloses two currently outstanding IRS liens, one in the amount of $24,372 and another for $41,279, County Courthouse Palm Beach County, FL.

Isaacson was employed by National Securities Corp. from 8/2007-7/2016. He is currently employed by Newbridge Securities Corp. 

We are investigating Marshall Isaacson on behalf of an elderly retirees who alleges that their accounts were over-traded and that they were put into high risk, unsuitable, investments.

If you have losses in an account in an account handled by Marshall Isaacson  , 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