Category Archives: FINRA

Windsor Street Capital (f/k/a Meyers Associates) Has Numerous Regulatory Events

May 2018 —According to FINRA records,  stock brokerage firm Windsor Street Capital LP (formerly known as Meyers Associates) discloses 3 pending regulatory events, 20 regulatory events that are final and 12 final arbitrations.

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.

Windsor Street Capital is an independent full-service broker-dealer and has been a FINRA member since 1994. They are headquartered in New York City and are registered in 50 U.S, states and territories. Windsor Street Capital has branch offices in New York, Florida, Virginia, Pennsylvania and Arizona.

The pending regulatory matters include:

  • FINRA Case 2015046971701-alleging failures in the supervisory systems designed to detect churning and excessive trading in customer accounts.

Windsor Street Capital is currently appealing the following regulatory matters:

  • In November 2016 a FINRA hearing panel fined Windsor Street Capital $350,000 and assessed other sanctions for supervisory failures related to the dissemination of sales literature and research and supervisory failures related to the detection of potentially suspicious activity relating to the manipulative trading of securities. FINRA Case 2013035533701. 
  • In 1/2018, a FINRA hearing panel fined Windsor Street Capital $700,000 and assessed other sanctions related to the distribution of misleading and unbalanced advertising materials. FINRA Case 2010020954501.

Windsor Street Capital‘s prior regulatory events include:

  • January 2017- Cease and desist issued by Securities and Exchange Commission and $200,000 fine to resolve allegations related to the sale of hundreds of millions of penny stock shares without performing adequate due diligence.
  • December 2015-Fine and disgorgement of $19,265 assessed by Montana Securities Commissioner for failing to supervise one of its brokers excessive trading in accounts of 3 Montana residents.
  • March 2015- Cease and desist and $50,000 fine assessed by Connecticut regulators to resolve allegations that the firm failed to discharge their supervisory responsibilities, sold unregistered securities and engaged in dishonest or unethical practices in the securities business.

If you have questions about how to recover losses in an account you had with Windsor Street Capital , 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

LPL Financial to Pay $26M to Resolve Regulatory Investigation

May 2018

The North American Securities Administrators Association (NASAA) announced that a settlement has been reached between state securities regulators and LPL Finanical requiring LPL Finanical to repurchase from investors certain securities sold since October 2006 and to pay civil penalties that could total $26 million or more.

The settlement was led by regulators from Alabama and Massachusetts and relates to unregistered, non exempt securities sold by LPL.

Regulatory sanctions are nothing new for LPL Financial. Their FINRA record discloses 111 prior regulatory events.

If you have questions about how your account has been handled by your advisor contact us for a no charge consultation to discuss your legal 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

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

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

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