Category Archives: Cetera Advisors

Scott Kozak-Former Cetera Advisors Broker-Subject of Regulatory Investigation-Highland Ranch, CO

August 2018-Highland Ranch, CO

The FINRA records of  Scott P. Kozak ,  a  unregistered broker who was last employed by  Cetera Advisors disclose  4 prior customer disputes, a currently pending investigation and a termination of 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 2009 a customer of Kozak’s prior employer, Multi-Financial Securities Corp. was awarded $51,750 to resolve allegations of securities fraud, breach of fiduciary duty and other claims.

In 2008, another customer of Multi-Financial Securities was paid $27,500 to resolve allegations that Kozak did not follow instructions resulting in substantial tax losses.

In May 2018 FINRA sent a Wells Notice to Kozak recommending that Kozak be disciplined for potential violations related to the sale of private securities and outside business activities. That investigation is currently pending.

Kozak was employed by Cetera Advisors from 7/2001 until 7/2018 when he was discharged for violating firm policy related to private securities transactions.

If you have losses in an account  handled by Scott Kozak or on private securities purchased upon his recommendation , contact us for a no charge consultation 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

Peter Klaass and Heath Bowen-Former Allegis Investment Advisors-Sued Over Option Trading-Idaho Falls, ID

June 2018-Idaho Falls, ID 

The FINRA records of two former Allegis Investment Advisors stockbrokers , Peter Gerhard Klaass and Heath Shayne Bowen   disclose that the Colorado Division of Securities alleged that both Klaass and Bowen placed their advisory clients in high risk and complex options trades that their clients did not understand.

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 2/2018, the Colorado Division of Securities issued a cease and desist and revoked Klaass‘ investment adviser representative license in Colorado. Bowen was sanctioned with a cease and desist.

Klaass has settled three customer suits over option investments and discloses a pending FINRA arbitration by a customer of Allegis seeking over $450,000 in damages related to option investments. Klaass was employed by Allegis Investment Services from 5/2014-3/2017 and thereafter with Cetera Advisor Network. He voluntarily resigned from Cetera in 4/2018 following the cease and desist order issued by Colorado securities regulators.

In 12/2017 Bowen was ordered to pay a customer $575,000 in FINRA Case 17-3131. There are currently three pending arbitrations by customers which relate to option investment and seek cumulative damages of over $600,000.

If you have questions about an account handled by Peter Klaass and/or Heath S. Bowen, contact us for a no charge consultation. 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

David J. Schmerber-Former LPL Financial Broker-Settles Dispute Over Unsuitable Investments-Centerville, OH

May 2018- Centerville, OH

According to FINRA records, David Joseph Schmerber,  a  stockbroker who was  formerly employed by LPL Financial Services, disclose  the recent settlement of a customer dispute.

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 17-0659 a customer of his prior employer LPL Financial  alleged that between 2008-9/2016, Schmerber invested their accounts in various complex, volatile and speculative securities which were unsuitable for their investment objectives. That case was settled in 11/2017 for $395,000.

Schmerber was employed by LPL Financial Services from 3/19997-3/2017. He is currently employed by Cetera Advisors in Centerville, OH.

If you have questions about an account handled by David J. Schmerber, call for a no charge consultation 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

Utah Regulators Move to Fine Cetera, LPL an CUSO Financial Services Over Credit Union Operations

May 2018-Salt Lake City, Utah

The Utah Division of Securities filed actions against Cetera Advisor Network, Paul W. Neuenswander and Financial Network FID West LLC, d/b/a Peak Financial Network Solutions over credit union violations. Link to the Utah pleading here. 

Neuenswander is a licensed stockbroker who is employed by Cetera.  Peak Financial Network is the DBA for Financial Network FID West LLC and is a registered branch of Cetera.

The Utah regulator conducted examinations of Cetera’s business operations being conducted in the following credit unions:

  • Jordan Credit Union
  • Granite Credit Union
  • Deseret First Credit Union 
  • Utah Community Credit Union

The regulator found that Cetera failed to comply with regulatory requirements governing networking arrangements between broker-dealers and credit unions, approved the use of misleading sales and advertising materials provided to the public and failed to supervise the business being conducted from their operations within the credit unions. As a result customers were not adequately informed that investments were being provided by Cetera and not the financial institution.

The Utah Division of Securities has filed similar proceedings for similar violations against LPL Financial and CUSO Financial Services.

If you have suffered losses as a result of investments you made with Cetera, LPL or CUSO Financial Services at a credit union, you may be able to recover damages. Call for a no charge consultation 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

Mohamed Debbagh-Former Cetera Advisors Broker-Discloses Pending Customer Suit-Boca Raton, FL

April 2018 -Boca Raton, FL

According to FINRA records, Mohamed Debbagh,  a   stockbroker who was recently  employed by Cetera Advisors  , disclose  a pending dispute by a former customer.

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 18-0840 a customer of Debbagh while he was employed by  Cetera Advisors and Fintegra is seeking damages of $209,000. The customer alleges breach of fiduciary duty, negligence, misrepresentation, common law fraud, unsuitable trading and violations of securities laws.

Debbagh is currently employed by Merrill Lynch. He was employed by Cetera Advisors from 3/2013-11/2017. Prior to that he was employed by Fintegra, LLC from 3/2010-3/2013. Fintegra withdrew their FINRA registration in 9/2015 and filed for bankruptcy that same month.

If you have questions about an account handled by Mohamed Debbagh contact us 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