Category Archives: Theft

Cambridge Investment Research, Failure to Supervise, Finra Investigation of Stockbroker, Fraud, Misrepresentation, Stockbroker Discharged, Stockbroker Malpractice, StockBroker Misconduct, Theft

Lynn Cawthorne-Cambridge Investment Research Broker- Charged With Wire Fraud-Shreveport, LA

October 2020- Shreveport, LA

Shreveport Times photo of Lynn Cawthorne

According to publicly available records, Lynn Dale Cawthorne, a former broker who last worked for Cambridge Investment Research  has been charged in the U.S. District Court for the Western District of Louisiana with conspiracy to commit wire fraud, a felony. Link to US Atty Office press release. 

FINRA suspended Cawthorne’s license to sell securities in 1/2020. In 8/2020 FINRA filed a complaint alleging that Cawthorne failed to comply with requests for information in connection with an investigation into his failure to disclose multiple felony charges.  In addition to the wire fraud charges it is alleged that Cawthorne misappropriated $536,000 from a government program that provided meals to children in low income areas.

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 9/2018 Cawthorne was discharged by Cambridge Investment Research where he had been employed since 4/2013. Cawthorne discloses affiliations with Advocare, Goodwill Industries, Christian Services and Cawthorne Financial Group, all located in Shreveport.

If you have losses in an account handled by Lynn Cawthorne, 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

Failure to Supervise, Finra Investigation of Stockbroker, Fraud, Mutual of Omaha Investor Services, Stockbroker Discharged, Stockbroker Malpractice, StockBroker Misconduct, Theft, Thrivent Investment Management

Edward Earl Matthes-Former Mutual of Omaha Investment Services, Inc. Broker-Barred from Securities Industry for Alleged Theft-Oconomowoc, WI

October 2020- Oconomowoc, WI

According to publicly available records, former Mutual of Omaha Investor Services, Inc.,   financial advisor Edward Earl Matthes ,  discloses 5 regulatory events, a civil event, 15 prior customer disputes, a pending FBI investigation regarding alleged misappropriations,  and 2 terminations 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 January 2020,  the United States Securities and Exchange Commission  permanently barred Matthes from the securities industry to resolve allegations that he defrauded 26 customers out of approximately $2.4 million by convincing his customers to invest in what he described as a safe investment that would earn a guaranteed minimum yield of 4% per year.   As alleged in the complaint, the purported investment did not exist and the representative stole approximately $1.4 million for his personal use.   Matthes allegedly stole an additional $1 million by making unauthorized  sales and withdrawals from his customers’ variable annuities.   To cover up his fraud, the representative allegedly created fake account statements and paid approximately $170,000 in Ponzi-like payments to customers.

In May of 2019, Wisconsin filed case #S-239626 with allegations that Matthes misappropriated over $1 million from his insurance clients, created fictitious investments and fictitious account summary forms.   His sanctions were to Cease and Desist and being Barred from the State of Wisconsin Department of Financial Institutions Division of Securities.

In March of 2019 the Federal Bureau of Investigation launched an investigation alleging misappropriation of funds by Matthes. 

From December of 2015  until April of 2019,  at least 12  customer brought cases alleging that Matthes misappropriated funds by diverting client’s assets for his personal use, provided fictitious account statements,  provided client documentation including copies of checks written directly to Matthes that were deposited directly into his personal account and unsuitability.   These cases were collectively settled for about $1.7 million.

Matthes was employed with Mutual of Omaha Investor Services, Inc., from March of 2012 until  March of 2019 when he was discharged after allegations of creating fictitious account statements and diverting customer funds for his own personal use.  Before that time he was employed with Thrivent Investment Management, Inc.

If you have losses in an account handled by Edward Earl Matthes, 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

LPL Financial, Stockbroker Malpractice, StockBroker Misconduct, Theft, Unauthorized Trading

James Booth-Former LPL Financial Broker-Barred from Industry-Subject of Multiple Theft Claims-Norwalk, CT

June 2020- Norwalk, CT

According to publicly available records, former LPL Financial financial advisor James T. Booth,  has been barred from the securities industry by FINRA. He  discloses 3 regulatory events, a pending criminal charge,  a pending civil event, 21 settled and 15 pending 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  2019 FINRA (FINRA case 2019062787101) and United States Securities and Exchange Commission (case #3-19596) permanently barred Booth from the securities industry to resolve allegations that he converted funds, totaling at least approximately $1,000,000 that multiple customers of his gave him to invest on their behalf, he however, deposited the funds into an account he controlled and used them for his own personal use.

In February 2020 the State of Connecticut filed case #CDFR-20-8535 alleging that Booth had violated the anti-fraud provisions of the Connecticut Uniform Securities Act and engaged in dishonest or unethical practices.    More specifically, Booth allegedly used investor funds for his personal expenses and that he fabricated client account statements to reflect investments that were, in fact, never made.   Booth allegedly misappropriated approximately $5 million in investor funds.

In September 2019 formal charges were brought against Booth in Federal Court in the U.S. District for the Southern District of New York  of 1 felony count of securities fraud, one felony count of investment advisor fraud and one felony count of wire fraud.   Booth pleaded guilty to one count of securities fraud.   The criminal case is still pending.

In September 2019 the United States Securities and Exchange commission filed civil charges in the United States District Court for the District of Connecticut alleging that Booth conducted a multi- year scheme that defrauded approximately 40 investors of nearly $4 million.   Many of Booth’s clients and customers were unsophisticated investors, including seniors who utilized Booth’s services for their retirement savings.   In furtherance of the scheme, Booth fabricated elaborate account statements, which were provided to the investors.   The fabricated account statements reflected various ownership positions, transactions and earnings, all to create the false appearance that the investors’ money had been invested as promised; some statements even included fictitious securities and values.   When investors requested withdrawals, Booth routinely used assets fraudulently acquired from other investors to cover those withdrawals.   Relief sought in this case are civil and administrative penalties and fines, disgorgement, injunction and monetary penalties and other fines.  This case is pending.

In 2019, 10 of Booth’s customers of LPL Financial and Invest Financial Corporation settled customer disputes in the collective amount of over $2,266,000.

From July 2019 until December 2019 there were 22 customer disputes filed alleging among other things that Booth misappropriated funds by depositing customers funds into an account for an entity which he controlled, that Booth converted their funds to support a Ponzi scheme using multiple shell companies and misconduct.    Many of these cases are all still pending.

Booth  was employed by LPL Financial  from February 2018  until June 2019  when he was discharged.   Before that Booth was employed with Invest Financial Corporation  and with Cadaret, Grant & Co..

If you have losses in an account handled by James Booth 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

Failure to Supervise, Merrill Lynch, Stockbroker Discharged, Stockbroker Malpractice, StockBroker Misconduct, Theft

Linan Abrego-Former Merrill Lynch Broker-Barred from FINRA-Misappropriation of Client Funds- McAllen, TX

April 2020- McAllen, TX

The FINRA records of Ma Rosa Linan Abrego, a broker previously employed  by  Merrill Lynch, Pierce, Fenner & Smith, Incorporated disclose a regulatory event resulting in a termination from employment and a  bar from the securities industry.

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 November  2019, Abrego was permanently barred from the securities industry by FINRA after  she refused to appear for on-the-record testimony as requested by FINRA in connection with an investigations that she had engaged in misappropriation of client funds.

Abrego was employed with Merrill Lynch, Pierce, Fenner & Smith, Incorporated  from March of 2012 until 6/2019 when she was discharged for allegations that she  misappropriated client funds.

If you have problems in an account  handled by Ma Rosa Linan Abrego,  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.

International Representation

Rex Securities Law

TollFree: 877-224-3199

Florida-561 391 1900 

Texas-512-329-2870

Brookstone Securities, Crown Capital Securities, Elder Financial Abuse, Lincoln Investment, Stockbroker Malpractice, StockBroker Misconduct, Theft

Lester Burroughs-Former Lincoln Investment Broker- Discloses 2 Regulatory Events, A Criminal Charge, Pending Customer Disputes, 8 Prior Customer Disputes and a Termination-Torrington, CT

January 2020-Torrington, CT

According to publicly available records.  Lester William Burroughs (CRD#1413972), a  former stockbroker who last worked for Lincoln Investment  discloses 2 regulatory events, a criminal charge,  a pending civil event,  3 pending customer disputes,  14 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 1/2020 the Securities & Exchange Commission  permanently barred Burroughs from the securities industry after Burroughs pled guilty to one count of wire fraud.   The information to which Burroughs pled guilty alleged that Burroughs misappropriated about $575,000 from three investors.

The Insurance Commissioner of the State of Connecticut filed case #MC 03-06 alleging improper handling of premium payment on traditional universal life insurance payment, misrepresentation and failure to properly handle request for disability waiver.

In December 2019,  Federal court case 3:19cr292 was filed in U.S. District Court for the District of Connecticut with formal charges of wire fraud to which Burroughs entered a guilty plea.   His sentencing has not been scheduled.

From 1994 to 2009, eight customer complaints alleging among other things improper sales practices and speculative recommendations inconsistent with their objective and risk tolerance, failing to place stop loss orders and misrepresentation.  Over $134,365 was paid to settle these cases.

In12/2019, a  customer of Burroughts  filed FINRA case #19-03658 alleging elder abuse, misappropriation and unsuitable investments recommended by Burroughs.   Alleged damages are $445,000.

In December of 2019, Lincoln Investment Planning discharged Burroughs after they became aware of charges that were filed by the U.S. Securities Exchange Commission and the U.S. Attorney’s Office wherein Burroughs  pled guilty to one count of wire fraud in the sale of fictitious insurance contracts to four individuals.

Burroughs was employed by Lincoln Investment from September 2012 until December 2019.  Prior to that time he was with Crown Capital Securities, Brookstone Securities, Woodbury Financial Services and Tower Square Securities.

If you had an account with Lester William Burroughs that suffered losses, you may be entitled to collect damages from his prior employer. 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