Tag Archives: lpl financial issues with regulators

Joeann Walker-Former LPL Financial Broker-Sanctioned Over Annuity Sales-Brockton, MA

December 2017-Brockton, MA

According to FINRA  records Joeann M. Walker, (CRD# 2210194) ,  a   stockbroker who formerly worked for NEXT Financial Group and LPL FInancial  was barred from the securities industry for failing to cooperate with a 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.

According to FINRA Letter of Acceptance Waiver and Consent #2016049354501 , FINRA requested financial records and other documents from Walker in connection with an inquiry into the unsuitable sales of variable annuities to one of Walker’s clients. While Walker did provide some documents to FINRA , and  acknowledged that her response was incomplete, she refused to cooperate fully, resulting in a bar from the securities industry.

In 11/2016 a customer of NEXT Financial Group and LPL Financial alleged unauthorized sales of stocks, unauthorized and unsuitable purchases of variable annuities and unauthorized mutual fund switches. That matter was settled for $175,000, with Walker contributing $50,000 toward the settlement.

 

 

Walker was employed by LPL Financial from 8/2006-4/2015 and by NEXT Financial Group from 4/2015-11/2017.

If you have questions about an account handled by Joeann M. Walker, 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

Brent V. Lott-Former LPL Financial Broker-Discloses Pending Customer Disputes-Orem, UT

Orem, Utah-December 2017 UPDATE

According to FINRA records,  Brent V. Lott   a stock broker currently  employed by Cetera Advisors Network , discloses two pending customer disputes, a prior customer dispute, a currently pending regulatory investigation 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 October 2013, Brent Lott, was discharged by LPL Financial who made the following allegations on Lott’s FINRA record: “Submitted equity indexed annuity applications without meeting or discussing with clients and violation of the firm’s document signature policy.” Lott was employed by LPL Financial from 4/2006-12/2013.

A customer while Lott was employed by LPL Financial alleges that a third party, acting in concert with Lott, forged customer signature on contract to acquire insurance policy issued by Pacific Life. No specific damages are listed. This matter is currently pending.

A second customer while Lott was employed by LPL Financial alleges that he never met Lott who is listed as the selling agent for his variable annuity contracts and that Mr. Lott may be aware that the signatures on the contract delivery receipts are not those of the customer. No specific amount of damages is alleged. This matter is currently pending.

In July 2017 FINRA commenced an investigation of Lott for violations of FINRA Rules 2010 and 4511.

FINRA Rule 2010, Standards of Commercial Honor and Principles of Trade states: “A member, in the conduct of its business, shall observe high standards of commercial honor and just and equitable principles of trade.”

FINRA Rule 4511 relates to the the preservation of accurate books and records and requires brokers and firms to maintain them in accordance with applicable SEC rules.

After leaving LPL Financial in 11/2013, Lott was employed by Girard Securities until 11/2017, when he joined Cetera Advisor Network.

If you have questions about an account handled  by Brent Lott, call for a no charge consultation.

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

Brian Brunhaver Investigation Update-Former LPL Broker-Discloses Numerous Customer Complaints-Snohomish, WA

April 1, 2016-Snohomish, WA

In 2013 Brian Brunhaver, a former stock broker with LPL Financial, was sanctioned the Washington State Securities regulators for the sale of non publicly traded real estate investment trusts (REITs). His wife Stacey Brunhaver and his investment advisory firm Brunhaver Financial Services were also named in regulatory sanction which assessed a fine of $60,000. See this for more details. 

FINRA records report that in June 2014 Brunhaver was permanently barred from the securities industry for various regulatory violations, including making false statements in connection with the sale of a REIT that had significant risks. FINRA Case 2011026852001.

Brian Brunhaver has been named in 8 customer disputes that have been settled, including:

  • FINRA Case 13-01742- customer alleged sale of REITs were unsuitable. Case was settled for $637,100.
  • FINRA Case 13-1302-customer alleged investments in REITs were unsuitable. Case settled for $256,600.
  • FINRA Case 13-0195-customer alleged investments and mutual funds between 1990-2011 were unsuitable. Case settled for $747,900.

Brian Brunhaver is named in two customer disputes that are currently pending, including:

  • Washington Attorney General’s Office Complaint-customer alleges that signatures were forged on a $50,000 investment and was made for more that he and his wife had authorized.

Brian Brunhaver was employed by LPL Financial from 5/1995-6/2011 when he was terminated for cause for violation of LPL Financial policies and procedures. He was next employed by Pacific West Securities from 8/2011-12/2011.

If you have suffered losses in an account handled by Brian H. Brunhaver, call to discuss your options with an experienced securities attorney.

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

Garrett “Drew” Ahrens- Former LPL Financial Broker-Discloses Sanction and Settlements Over REIT Investments-Lafayette, LA

May 2017- Lafayette, Louisiana

Garrett A. Ahrens  (aka Drew Ahrens) , entered into a Letter of Acceptance Waiver and Consent (AWC) with the Financial Industry Regulatory Authority (FINRA) to resolve allegations that between January 2011 and June 2013, Ahrens prepared about 65 consolidated reports for at least four customers. The consolidated reports reflected the current value of investments including private placements and non-traded real estate investment trusts (REITs).

According to the AWC, the values of some of the investments were inaccurate and overstated the actual value of the accounts.

AWC No.  2013036001201

Ahrens was fined $5,000 and suspended for one month.

According to FINRA recordsAhrens  was registered with LPL Financial  from 6/1998 until 9/2015. He is not currently registered.

Ahrens discloses two prior customer disputes involving REITs that were settled.

In FINRA case 13-0316 a customer of LPL Financial alleged that limited partnerships and REIT investments were not suitable and that risks were not explained. That case was settled for $97,500.

In FINRA case 10-3678 a customer of LPL Financial alleged unsuitable investments in REITs (real estate investment trusts) , breach of contract, breach of fiduciary duty and other claims. That case was settled for $875,000.

If you have losses in an account handled by Ahrens, call to discuss your options with an experienced securities lawyer.

Alternative investments include non publicly traded real estate investment trusts (REITS) , equipment leasing, oil and gas, hedge funds, real estate, commodities and derivatives contracts and, managed futures.  These investments tend to be complex, illiquid, nontransparent, hard to value and expensive. Many of the alternative investments sold over recent years are not traded on any public market making them difficult to value and even more difficult to liquidate if cash is needed.

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

 

Kevin Luby, Former Stifel Nicolaus/LPL Financial Broker Sanctioned by Securities Regulator

January 15, 2015-Daytona Beach, Florida

Kevin Luby  entered into a Letter of Acceptance, Waiver and Consent  (AWC) with the Financial Industry Regulatory Authority (FINRA) to resolve allegations that he failed to disclose to his member firm the fact that he had been appointed co-successor trustee of an elderly client’s trust, co-personal representative of her estate and that he also had been named as a beneficiary in her will.

NASD and FINRA rules require stockbrokers to report to their member firms business activities they are  involved with  other than their roles as stockbrokers. This is referred to as ‘outside business activities’ in the financial services industry. The AWC found that Luby did not disclose the fact that he had been appointed as a fiduciary in his elderly client’s trust and estate, nor did he report that he had been named in her will to receive several investment properties, thereby violating NASD Rule 3030, FINRA Rule 3270 and FINRA Rule 2010.

Luby was suspended for 10 months and fined $25,000 by FINRA.

According to FINRA records was registered with Stifel Nicolaus & Company in Daytona Beach, FL from 8/2009-3/2012, and then with LPL Financial in South Daytona, FL, from 3/2012-8/2013.

In October 2013 a customer filed a complaint against Luby making the following allegations:

“Complaint alleges that Kevin Luby manipulated an elderly client to become the trustee of her LPL brokerage accounts and a beneficiary under her will”

That complaint, which alleged damages of $600,000 was closed according to FINRA records. Luby was discharged by LPL Financial for “violation of firm policy regarding outside business activities” in July 2013. According to FINRA records, Luby  is not currently registered.

Case # 2013038108802

If you suspect that a financial advisor is taking advantage of you or of one of your family members, call for a free consultation with an experienced securities attorney.

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

LPL Financial Agrees to Pay $541,000 For Churning Variable Annuities

On October 14, 2014, WIlliam Galvin, secretary of state of Massachusetts announced that LPL Financial had agreed to reimburse nearly $550,000 to investors to resolve claim that they had allowed brokers to engage in “annuity switching”.

Annuity switching occurs when a broker has an investor sell one annuity to purchase another with no justifiable basis therefor.

Just a couple of months ago, in June 2014, Illinois regulators ordered LPL Financial to pay a $2 million fine and $820,000 in restitution for failing to maintain accurate books and records related to variable annuity exchanges, also known as 1035 exchanges.

Earlier in the year, in March FINRA fined LPL Financial $950,000 for supervisory issues related to the sale of alternative investment products, REITs, oil and gas partnerships, hedge funds and other illiquid investments.

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 Files Cease and Desist vs. Former LPL Financial Broker Paul Edward Lloyd, Jr. , Waxhaw, N. Carolina

On September 30, 2014, the SEC filed an Administrative Proceeding against Paul Edward Lloyd, Jr. , a certified public  accountant and former LPL Financial broker from Waxhaw, North Carolina, seeking a Cease and Desist order in connection the fraudulent offer and sale of conservation easements and misappropriation of investor funds.

According to the SEC, Lloyd, who a registered broker with LPL Financial from 10/2006-4/2013,  offered interests to his tax clients in the following entities:

  • Forest Conservation 2011, LLC
  • Forest Conservation 2012, LLC
  • Forest Conservation 2012, II, LLC

Lloyd is charged with making various misrepresentations about the investments as well as the purported tax benefits to be derived therefrom.

If you suffered damages in an account handled by Lloyd, call to discuss your legal options.

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