Broker William Siegel Discharged by Morgan Stanley and Permanently Barred by FINRA

Allegations of churning, unsuitability, and questionable exercise of discretion surround barred broker.

William Siegel began his securities industry career in 2001 with Citigroup Global Markets Inc. in New York. Shortly after moving to Morgan Stanley & Co. in 2007, Siegel received his first complaint arising out of the sale of an auction rate security (ARS). The timing of the sale preceded the widespread auction failure and illiquidity that took place in mid-February 2008 and resulted in damages granted in the amount of $500,000.00.

In 2011, another complaint was registered against Siegel alleging churning in the customer’s account. Churning is the term used when a broker excessively trades within a customer account largely to generate commissions, without regard to the customer’s investment objectives.

Finally, in March 2015, an additional complaint alleging unsuitability was filed against the broker. In June 2015, Morgan Stanley discharged Siegel due to concerns regarding his exercise of discretion in several clients’ accounts. These events prompted FINRA to request information from Siegel, however, the broker failed to respond to such requests. As a result, in October 2015, FINRA permanently barred Siegel from acting as a broker or otherwise associating with firms that sell securities to the public.

If you have invested with William Siegel, it is important to be aware of the allegations against him. Review your accounts and transactions to ensure you are not a victim of his misconduct.

If you have concerns regarding your broker’s behavior, or if you have lost money as a result of doing business with your broker, you should seek the services of an experienced securities attorney.

The attorneys at Silver Law Group are industry leaders in the field of FINRA and securities arbitration, representing individual and institutional investors across the United States who have lost money at the hands of trusted financial advisors. Our services are on a contingency-fee basis, which means we are only compensated if there is a recovery of losses. Contact us today for a complimentary consultation.