Category Archives: Stockbroker Malpractice

Reuters Reports Oppenheimer Under Investigation on Penny Stock Trading, Money Laundering

On August 5th, 2014, Reuters reported that Oppenheimer had received a ‘Wells Notice” from the Financial Industry Regulatory Authority (FINRA) asking why the firm should not be charged with rules violations related to supervision and other matters involving a “former financial advisor”.

The US Securities & Exchange Commission and the Justice Department charged Vladimir Eydelman with securities fraud in March 2014 for trading in undisclosed merger deals and tender offers. According to FINRA records Eydelman was registered with Oppenheimer from 1/2003-9/2012 when he left for Morgan Stanley, which he left in 4/2014. He is not currently registered.

According to the Reuters article, Oppenheimer reported that it expects the SEC and FinCEN, a division of the US Treasury that investigates money laundering.,  to file actions against it related to the sale of low-priced securities, penny stocks, for the time frame of August 2008 to September 2010.

Oppenheimer paid FINRA a $1.43 million fine in 2013 to resolve allegations that its policies and procedures related to penny-stock sales were inadequate.

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

William Kupets, Former Fortune Financial Services Broker Barred by FINRA

June 2014-Hopwood, PA

The Financial Industry Regulatory  Authority (FINRA) barred William Thomas Kupets, Jr. from association with any FINRA member to resolve allegations that he failed to respond to requests for information and documents concerning potential disclosures on his form U4.  According to FINRA records, Kupets was registered with Fortune Financial Services from 07/2002-09/2013.

A form U4 is the Uniform Application for Securities Registration or Transfer. Stockbrokers must use this form to become registered and qualified to sell securities and must  update it from time to time as required by regulators. It contains information related to:

  • States where the broker is registered
  • Professional designations
  • Residential history
  • Employment history
  • Other businesses
  • Criminal disclosure
  • Regulatory action disclosure
  • Civil judgment disclosure
  • Customer complaints
  • FInancial disclosure, including bankruptcy

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

Former Spire Securities Broker Richard Holliday Barred by FINRA in Connection With Loans from Customers

August 2014-Belton, South Carolina

Richard Edward Holliday, formerly registered with Spire Securities, was barred by FINRA to resolve allegations that he borrowed $155,000 from customers and did not disclose the loans to his firm. The allegations stated that he provided false information in response to annual compliance questionaires which asked about the existence of loans from customers.

Brokerage firms have written supervisory procedures requiring brokers to disclose whether they have borrowed money from customers and most firms prohibit such borrowing.

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.

Rex Securities Law

TollFree: 877-224-3199

Florida-561 391 1900 

Texas-512-329-2870

Former Olgilvie Security Advisors Broker Steven Heinz Barred by FINRA

August 2014-Orem, Utah

The Financial Industry Regulatory Authority (FINRA) barred Steven Bruce Heinz from association with any FINRA member to resolve allegations that Heinz refused to appear and provide testimony related to 1035 annuity exchanges.

According to FINRA records, Heinz was registered with Olgilvie Security Advisors from 4/2004-10/2012.

If you have questions about annuity transactions or unexplained losses in your brokerage account, call to speak with an experienced securities attorney 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

NY LIfe Securities Broker Mark Garrison Fined/Suspended

August 2014-Easley, South Carolina

FINRA assessed a deferred fine of over $37,000 which included disgorgement of commissions to Mark Steven Garrison, a former broker with NY Life Securities, to resolve allegations that he participated in a private securities transaction without notifying his member firm’s approval.

According to FINRA Garrison participated in the sale of about $865,000 in a ‘Silver Program’ knows as Atlantic Bullion & Coin, an investment that was not approved by his firm and was determined to be a ponzi scheme. Garrison was suspended for 14 months.

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