UPDATE JUNE 2017-FINRA records disclose that Lek Securities has 20 currently pending regulatory events and 7 prior regulatory events.
March 27, 2017
Lek Securities and its CEO Samuel F. Lek have been targeted in disciplinary proceedings filed by the Financial Industry Regulatory Authority (FINRA) , the New York Stock Exchange (NYSE) and a number of other exchanges. The complaints allege that Lek and his company were involved in manipulative trading in a customer account known as ‘Avalon” impacting both equities and options markets.
According to the FINRA press release, which can be accessed here, Avalon’s manipulative trading involved practices known as ‘layering‘ and ‘spoofing‘ which entails one or more traders moving the price of a security by placing bogus orders and then modifying or cancelling them so that they never become actual trades. Once there is an appearance of interest in the stock, the trader can buy or sell it on the other side at a better price.
The firm is also charged with violating the know your customer rules, failure to properly preserve electronic communications, maintenance of CRD information, supervision of outside business activities and other violations.
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.
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