Category Archives: FINRA

Energy Securities, FINRA, Finra Investigation of Stockbroker, Lack of Due Diligence, Misrepresentation, Oil & Gas Investment, Oil and Gas Partnerships, Oil related investments, Private Placements, Reef Securities Inc., Reg D Offerings(private placements), Stockbroker Malpractice, StockBroker Misconduct, Unsuitable Investments

How to Recover Losses on Reef Oil and Gas Fund Investments

April 2018-Richardson, TX

Reef Securities Inc. and its owner and president Frank Mauceli were sanctioned by FINRA on April 11, 2018, for failing to timely notify investors in an Oil and Gas Drilling and Income Fund L.P. , sold in 2014, of revisions to an offering prospectus and of the investors’ rights to rescind his or her investment.

In addition Reef was sanctioned for advertising violations in another Reef offering. According to the FINRA sanction the subject advertising communications:

“failed to provide a balanced presentation or a sound basis for evaluating the investments being promoted, contained misleading and unwarranted claims, and, in addition, made prohibited profit projections.”

FINRA noted the following as being inconsistent and unwarranted statements in the subject advertising materials:

  • a 3 year profit range of 45%-75% in one communication vs a 35-45% range in another communication
  • a divest period of 24-36 months in one communication vs. 3-5 years in another communication
  • prohibited investor performance projections such as “Total Anticipated Profit 45%-75%”

Reef Securities was censured and fined $40,000. Mauceli was fined $5,000 and suspended 4 months from association from any FINRA member firm in all principal capacities. FINRA AWC2015043469001

Reef Oil and Gas, an affiliate of Reef Securities, engages in the developing, exploiting and producing oil and natural gas.

A partial list of recent Reef oil and gas offerings we have been investigating:

  • Reef 2015 Oil & Gas Opportunity Fund
  • Reef 2015 Income Fund
  • Reef Bakken Bear Cat Drilling Fund
  • Reef 2012-A Private Drilling Fund
  • Reef 2011 Private Drilling Fund
  • Reef 2010 Drilling Fund
  • Reef 2009 Drilling Fund
  • Reef 2007-2009 Drilling Program
  • Reef Oil & Gas Drilling & Income Fund
  • Reef Oil & Gas Income & Development Fund III
  • Reef Oil & Gas Income & Development Fund IV

Reef Oil and Gas investments were sold by many brokerage firms, including Reef Securities. These investments can be unsuitable for certain individuals, including the elderly and retired. If you have losses on an investment in one of the Reef Oil and Gas offerings, 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

Failure to Supervise, FINRA, Misrepresentation, REITs, Stockbroker Malpractice, Unsuitable Investments

Losses on an Investment in The Parking REIT ?

March 2018

The Parking REIT, Inc. , a Maryland real estate investment trust announced suspension of cash distributions and stock dividends on March 23, 2018.

According to a press release issued by the company, the board is focused on preserving capital in order to maintain sufficient liquidity to continue to operate the business and maintain ability to service debt.

The Parking REIT (formerly MVP REIT II) is an unlisted, publicly traded REIT that invests primarily in parking lots and garages in the U.S. Assets include 44 parking facilities in 15 states.

Unlisted REITs are not traded on a national exchange and therefore are difficult, and sometimes impossible, to sell should an investor need liquidity.

Many investors were sold REITs with the promise of a steady and dependable income stream and now are faced with a reduction of income. For retirees on fixed income, this can present serious financial issues.

If the broker who recommended an investment in The Parking REIT misrepresented the risks associated with it or if the broker did not have reasonable basis to make such a recommendation, losses may be recoverable from the firm employing the broker. 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

Failure to Cooperate with Regulatory Investigation, Failure to Supervise, FINRA, Finra Investigation of Stockbroker, Lincoln Financial, Lincoln Financial Advisors, Lincoln Financial Network, Stockbroker Discharged, Stockbroker Malpractice

Jose M. Canales-Former Lincoln Financial Broker/Agent-Barred From Securities Industry-El Paso, TX

April 2018- El Paso, Texas

According to FINRA records,  Jose M. Canales , a currently unregistered broker who last worked for Lincoln Financial Securities Corp. , discloses a prior final regulatory event, a prior customer dispute 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.

Jose M. Canales  entered into a Letter of Acceptance Waiver and Consent (AWC) with the Financial Industry Regulatory Authority (FINRA) to resolve allegations that  he failed to provide documents and to appear for testimony in connection with a FINRA investigation into the events leading up to his termination of employment from Lincoln Financial Securities Corporation. 

According to FINRA records, Canales was discharged from Lincoln Financial Securities on 5/2/2014 “for accepting cash from customers for deposit into his account, contrary to firm policy, in order to pay life insurance premiums on behalf of his customers.”

Canales, through his attorney, advised FINRA that he would not appear for testimony or provide documents and information in connection with the FINRA investigation. AWC No.  2014041231501

Canales was permanently barred from association with any FINRA member in all capacities.

FINRA records disclose that Canales was registered with Lincoln Financial Securities Corporation from 9/2002-5/2014.

If you suffered losses in an account handled by Jose Canales, you may be able to recover damages from his employer. 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 

Concentrated Positions, Discretionary Trading, Failure to Cooperate with Regulatory Investigation, Failure to Supervise, FINRA, Finra Investigation of Stockbroker, Forgery, LPL Financial, Stockbroker Discharged, Stockbroker Malpractice, Unauthorized Trading, Unsuitable Investments

Sanders Spangler-Former LPL Financial Broker-Barred From Securities Industry-San Antonio, TX

March 2018-San Antonio, Texas

On March 26, 2018, former LPL Financial stockbroker  Sanders Spangler was permanently barred from the securities industry by the Financial Industry Regulatory Authority (FINRA).

In connection with a FINRA investigation into potential unauthorized trading in five customers’ accounts, FINRA requested that Spangler appear for on the record testimony pursuant to FINRA Rule 8210. Spangler acknowledged receiving the request and stated that he will not cooperate with the investigation.

By refusing to appear for on the record testimony Spangler violated FINRA Rules 8210 and 2010 and was barred from associating with any FINRA member in any capacity.

The FINRA records of Sanders Spangler disclose 1 pending and 4 prior customer disputes, including:

  • August 2017-a customer of LPL Financial alleged unauthorized trading, poor account performance from 1/2012-5/2017. The case was settled for $20,000.
  • July 2017-a customer of LPL Financial alleged that discretion was used in the account resulting in poor performance for the period from 10/2009-4/2017. The case was settled for $40,000.
  • June 2017-a customer of LPL Financial alleged poor investment performance  for the time period of 3/9/16-6/16/16 and claimed damages of $500,000. That case was settled for $500,000
  • December 2017-a customer of LPL Financial alleged unsuitable investments made without client knowledge and damages of $100,000-$500,000. That case (FINRA Case 17-1513) was settled for $225,000.

In currently pending FINRA case 17-02661 a customer of LPL is alleging that Spangler over concentrated their accounts with energy stocks and that the account was liquidated without the client’s knowledge. In addition the customer alleges that Spangler altered monthly statements. Damages are unspecified.

 

In February 2017 Spangler was discharged by LPL Financial. LPL made the following allegation on Spangler’s  FINRA record:“Exercising discretionary power in customer account(s) in violation of firm policy. ” Spangler had worked for  LPL Financial since 10/2005.

Brokers have a responsibility to make suitable recommendations to customers, taking into account their age, net worth, investment experience and risk tolerance. Oil and gas investments can be very risky and over concentrating the account of a retiree in such investments is generally not appropriate.

If you have losses in an account in an account handled by Sanders Spangler , you may be able to recover damages through FINRA arbitration. 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.

Nationwide Representation

Rex Securities Law

TollFree: 877-224-3199

Florida-561 391 1900 

Texas-512-329-2870

Cetera Advisors, Cetera Financial Group, Discretionary Trading, Failure to Supervise, FINRA, Finra Investigation of Stockbroker, Limited Partnerships, Misrepresentation, Reg D Offerings(private placements), REITs, Stockbroker Discharged, Stockbroker Malpractice, Unsuitable Investments

Martin Brooks-Former Cetera Advisors Broker-Discloses Settlement of $490K Customer Dispute-Lee’s Summit, MO

March 2018- Lee’s Summit, MO

The FINRA records of Martin Earl Brooks , a stockbroker who is currently employed  by United Planners Financial Services of America , disclose a prior final customer dispute, a recent regulatory matter 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 March 2018, Brooks was suspended for 15 days and fined $5,000 by FINRA to resolve allegations that while employed by Multi-Financial Securities (now known as Cetera Advisors) he purchased shares in a real estate fund for five different customers, without their permission. Brooks failed to mark the trades as solicited , and improperly marked them as unsolicited.

In July 2017, a customer of Cetera Advisors was paid $490,000 to resolve allegations that real estate investments recommended by Brooks were unsuitable.

Brooks was employed by Cetera Advisors from 10/2006-4/2016, when he was discharged by Cetera who made the following allegation on Brooks‘ FINRA record: “allegation by client that representative recommended unsuitable investments.” 

Brooks has been employed by United Planners since 7/2016.

If you have questions about an account handled by Martin Brooks , 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

National Toll Free: 877-224-3199

Florida-561 391 1900 

Texas-512-329-2870