April 2019 – Albertville, AL
According to publicly available records Floyd Earl Powell (CRD#2220029) , a stockbroker who is currently not registered, discloses a regulatory event, 2 pending and 3 final customer disputes.
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 February 2019, after FINRA case 2018058504901 was filed, “without admitting or denying the findings, Powell consented to the sanction and to the try findings that he engaged in private securities transactions totaling approximately $3.49 million without providing notice to his member firms prior to participating in these securities transactions, nor did he obtain approval for them. The findings stated that Powell solicited investors to purchase promissory notes relating to the Woodbridge Group of Companies, LLC (“Woodbridge”), a purported real estate investment fund. Ultimately, Powell sold notes to 13 investors, 11 of whom were customers of his associated firms. As result of this investigation, Powell was permanently barred from FINRA.
In November 2018, an MSI Financial Services, Inc., customer alleged that Powell made inappropriate and unsuitable investment recommendations and transactions for the Complainant, beginning in early 2017. Civil litigation case 28-CV-2018-9-0308.00 was filed in Circuit Court of DeKalb County, Alabama and the case was settled for $17,455.
In August 2018, an MSI Financial Services, Inc., customer alleged violation of securities law regarding the former representative’s recommendation to invest in unregistered and fraudulent investment program in July 2016. The case settled for $139,000.
In April 2018, in FINRA case #18-01491, an MSI Financial Services, Inc. customer alleged Powell recommended unregistered and fraudulent investment programs. The case was settled for $65,000.
In March 2019, an MSI Financial Services, Inc. customer filed FINRA case 19-00817 alleging that Powell recommended that she invest in unregistered and fraudulent investment programs, made false representations and failed to disclose material facts about the investments. She alleges $100,001 damages and this case is pending.
In October 2018, an MSI Financial Services, Inc. and MML Investors Services, customer filed FINRA case #18-03540 alleging the rep recommended unregistered and fraudulent investment programs, made false representations and failed to disclose material facts about the investments. Alleged damages are in excess of $3 million and this case is still pending.
Powell was employed with MML Investors Services from March 2017 to February 2018. Before that he was with MSI Financial Services . Powell discloses a business affiliation with Faithway Financial Solutions in Albertville, AL.
If you have questions about an investment account handled by Floyd Earl Powell contact us for a no charge consultation to learn about your legal options.
In their press release, the SEC describes the Woodbridge Group of Companies as a Ponzi scheme. “We allege that through aggressive tactics, Woodbridge and Shapiro swindled seniors into a business model built on lies, which the SEC’s Miami Regional Office staff moved to halt,” said Stephanie Avakian, Co-Director of the SEC’s Enforcement Division.
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.
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