Tag Archives: finra arbitration attorney

Borrowing from Customer, Elder Financial Abuse, Fraud, Stockbroker Malpractice, Theft

Ft. Lauderdale Man Charged with Defrauding Retiree of Retirement Savings

November 2019- Ft. Lauderdale, FL

According to a recent press release from the United States Attorney’s Office for the Southern District of Florida, Michael Jerome Atkins, 60, was arraigned on mail fraud and aggravated identity theft charges on November 21, 2019.

The indictment alleges that Atkins defrauded a retiree out of her retirement savings of more than $400,000 by promising her that if she loaned him her savings he would use it for his business, All Points Aviation and Associates, and repay her in two months.

According to the allegations Atkins used the funds for his personal benefit and dd not repay the victim.

An indictment is a charging instrument containing accusations.  A defendant is presumed innocent unless proven guilty, beyond a reasonable double, in a court of law.

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.

International Representation

Rex Securities Law

TollFree: 877-224-3199

Florida-561 391 1900 

Texas-512-329-2870

Churning, J.D. Nicholas & Associates, Misrepresentation, Stockbroker Malpractice, StockBroker Misconduct, Unsuitable Investments, Worden Capital Management

Douglas Lee-Former Worden Capital Management Broker-Discloses Customer Disputes-Garden City, NY

November 2019 – Garden City, NY

The FINRA records of Douglas Lee , a stockbroker who was last employed by  Worden Capital Management , disclose a pending customer dispute and  3 prior 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 August 2019 a  customer of Lee’s former employer ,Worden Capital Management, was paid $19,999 in FINRA case #19-00369 to  resolve allegations that Lee charged excessive commission, churned the account and made unsuitable transactions.

In May 2017, a customer of Worden Capital Management,  was paid $12,500 in FINRA case #17-01266 to resolve allegations of  fraud, negligent misrepresentation, breach of fiduciary duty and breach of covenants of good faith .

In July 2013 a customer of J.D. Nicholas & Associates, Inc.  settled a claim alleging unsuitable option investments and was paid  $25,000.

In pending  FINRA case #14-03697 a customer of  J.D. Nicholas & Associate alleges churning, negligence, unsuitability, over concentration and failure to supervise and is seeking damages of $57,130.

Lee  was employed by Worden Capital Management   from November 2014 until June of 2015 and with J.D. Nicholas & Associates, Inc.  from September 2009 until November 2014.

If you have questions about an account  handled by Douglas Lee  call for a no charge consultation to learn more about 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.

International Representation

Rex Securities Law

TollFree: 877-224-3199

Florida-561 391 1900 

Texas-512-329-2870

Failure to Supervise, FINRA, Promissory Notes, Securities & Exchange Commission (SEC), Stockbroker Malpractice, StockBroker Misconduct, Theft, Western International Securities

Bradley Mascho-Former Western International Securities Broker- Charged with Securities Fraud- Frederick, MD

November 2019 – Frederick, MD

The FINRA records of Bradley Mascho  , a currently unregistered stockbroker who was last employed by  Western International Securities, discloses 2 regulatory events , a criminal event, a civil event, 9 pending customer disputes, 5 prior customer disputes 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 1/2018, FINRA  permanently barred Mascho after he refused to appear for a FINRA-requested on- the -record testimony during an investigation into his potential serious violations, including fraud, undisclosed outside business activities, and private securities transactions.

In 12/2017, United States Securities and Exchange Commission filed case 8:17cv2453 alleging violations of Section 5(a) and (c), Section 17(a) of Securities Act of 1933, Section 10(b) and 10b-5 of the Securities Exchange Act of 1934.   Sanctions sought are Civil and Administrative Penalties/Fines, Disgorgement, monetary penalty other than fines and injunction.   This case is pending.

In 11/2017 Mascho was charged with a felony count of conspiracy to commit securities fraud, one felony count of wire fraud conspiracy and one count of Securities Fraud; aiding and abetting,   Charges are currently pending in the US DIstrict Court of Maryland.

In 12/2017 the SEC charged Mascho and his company DJB Holdings with fraud in connection with raising over $20 million through the sale of convertible and promissory notes in the company.

From 3/2015 until  4/2019, 5 customer disputes were filed by customers of Western International Securities, Inc.,  alleging unsuitable recommendations, negligence and breach of fiduciary duty.  These cases were settled in the cumulative amount of nearly $500,000

The following cases , filed by customers of Western International, are still pending.

  1. Case #19-00748 alleging damages of $427,538.
  2. Case #19-00977 alleging  damages of $100,000.
  3. Case #19-00517 alleging damages of $2,444,388.
  4. Case #18-03902 alleging damages of $500,000.
  5. Case #18-03888 alleging damages of $200,000.
  6. Case #18-03080 alleging damages of $353,000.
  7. Case #18-03958 alleging damages of $150,000.
  8. Case #18-03941 alleging damages of $250,000.
  9. Case #18-00968 alleging damages of $5,000.

Mascho worked for Western International Securities  from 10/2009-12/2017.

Prior to that Mascho was employed by Royal Alliance Associates, Inc., Legg Mason Wood Walker, and  American Express Financial Advisors.  

If you have questions about an account  handled by Bradley Mascho  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.

International Representation

Rex Securities Law

TollFree: 877-224-3199

Florida-561 391 1900 

Texas-512-329-2870

Finra Investigation of Stockbroker, Fraud, Morgan Stanley, Outside Business Activities, Stockbroker Discharged, Stockbroker Malpractice, StockBroker Misconduct, Theft, Wells Fargo

Herbert “Elias” Hafen-Former Morgan Stanley Broker-Pleads Guilty to Fraud- New York, NY

November  2019- New York, NY

The FINRA records of  Herbert “Elias” Hafen ,  a  financial advisor previously employed by  Morgan Stanley, disclose a prior regulatory event,  a pending criminal matter, a pending civil matter, 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.

In 2/2019  Hafen failed to respond to FINRA request for information in connection with a FINRA investigation and was permanently barred from the securities industry.

In September 2019 Hafen pled guilty to investment adviser fraud. Sentencing is scheduled for January 2020.

The Securities and Exchange Commission filed a complaint against Hafen in 9/2019 alleging that from July 2011-April 2018 Hafen defrauded clients of the financial institutions he worked for at that time. VIctims were promised 6% interest in an investment that had little risk. In reality there was no investment and Hafen used the money for personal expenses. Of the $1.6 million he raised from victims only about $650,000 was returned.

In 5/2019, a Morgan Stanley Smith Barney customer was paid $430,000 to resolve allegations that Hafen  misappropriated funds.

In 8/2018 Hafen was discharged from Wells Fargo Clearing Services  after he admitted to entering into financial arrangements with clients that were not approved by the firm.

Hafen was registered with Wells Fargo Clearing Services  from March to September of 2018.  Prior to that he was employed by Morgan Stanley Smith Barney from 6/2009-4/2018.

If you have losses in an account  handled by Herbert “Elias” Hafen , 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

Berthel Fisher and Company, Failure to Supervise, Independent Financial Group, Royal Alliance, Stockbroker Malpractice, StockBroker Misconduct, Unsuitable Investments, WFG Investments

Shawn B. Davis-Former Independent Financial Group Broker-Discloses 6 Pending Customer Disputes And A Prior Customer Dispute – Auburn, CA

October 2019 – Auburn, CA

The FINRA records of Shawn Bruce Davis  , a stockbroker who was last employed by  Independent Financial Group , disclose 6 pending customer disputes and  2 prior 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 August 2013, a Berthel Fisher & Company Financial Services customer filed FINRA case #13-02524 alleging that investments purchased from 2005 to 2008 were unsuitable and misrepresented by Davis.  The case settled for $52,500.

In August of 2018, a customer of Berthel Fisher & Company Financial Services, WFG Investments, Inc. , and Independent Financial Group,  filed FINRA case #18-02735 alleging that the investments they purchased in 2012 were unsuitable and misrepresented to them by the representative.   The clients also allege the firm failed to conduct adequate due diligence and filed to supervise the representative.   No monetary damages are stated and the case is pending.

In June of 2018, a WFG Investments customer filed FINRA case #18-02173 alleging investments, including REITs, were unsuitable.    The damages sought are $560,000.    The case is pending.

In April of 2018, a Berthel Fisher & Company Financial Services customer filed FINRA case #18-01268 alleging the investments they purchased between 2007 and 2011 were unsuitable and misrepresented to them by Davis.   The clients also allege that the firm failed to supervise Davis and are seeking damages of $500,000.

In March of 2018, a Berthel Fisher & Company Financial Services and Royal Alliance Associates, Inc., customer filed FINRA case #18-01092 alleging the investments, including REITs and limited partnerships purchased between 2005- 2006 are unsuitable and were misrepresented by Davis.   The claimants allege that the firm failed to supervise the actions of Davis and are seeking damages of $1,500,000.

In September of 2016, a Berthel Fisher & Company Financial Services customer filed FINRA case #16-02660 alleging the investments, including REITs and oil and gas securities. purchased 2005- 2010 are unsuitable and were misrepresented by Davis.   Claimants allege that the firm failed to supervise Dais and are seeking damages are $800,000.

In September of 2017 a WFG Securities and Independent Financial Group customer filed FINRA case #17-02219 alleging that they were not fully informed of the risks associated with REIT offerings purchased from 2013 to 2015.   No specific damages set forth in the claim.

Davis  was employed by Independent Financial Group  from February 2014 until May 2017, and with WFG Investments, Inc. from August 2012 until January 2014.   Before that he was with Berthel Fisher & Company Financial Services  and Royal Alliance Associates, Inc. Davis discloses business affiliations with Davis Financial Advisors, Uncommon Capital and Leads from the Vine in Roseville, CA.

If you have problems in an account  handled by Shawn Bruce Davis  call for a no charge consultation to learn more about 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.

International Representation

Rex Securities Law

TollFree: 877-224-3199

Florida-561 391 1900 

Texas-512-329-2870