Blog Category Archives — Page 4 of 8 — Securities Arbitration Lawyers Blog Published by Securities Arbitration Lawyers

Timothy David Ballard First Suspended and Now Permanently Barred by FINRA

September 22, 2017 | Silver Law Group

Outside business activities involving elderly clients cost him his career

As of April 2017, Timothy David Ballard is no longer allowed to act as a broker or have anything to do with firms that sell securities to the public. It was then that he was permanently barred by the Financial Industry Regulatory Authority (FINRA).

Ballard had three months to appeal a suspension from FINRA, but because he failed to do so, the agency had no choice but to bar him. The suspension and subsequent barring were related to Ballard’s outside business activity. For a year, Ballard worked at Sunrise Senior Living in Danville, CA, while reportedly also selling securities to residents of the center through his firm, Securities America, Inc. out of Livermore, CA.

SEC Announces Charges in Massive Telemarketing Boiler Room Scheme Targeting Seniors

September 18, 2017 | Silver Law Group

A Long Island-based cold-calling scam allegedly stole more than $10 million from clients

The Securities and Exchange Commission (SEC) recently brought charges against 13 defendants who allegedly operated two cold-calling investment scams in Long Island, NY. According to the complaint, the companies involved defrauded investors out of more than $10 million. The firms’ salespeople reportedly convinced clients to purchase a number of penny stocks while making a wide variety of outlandish and misleading claims about the investments themselves.

The telemarketing scam reportedly operated by artificially inflating the prices of penny stocks

Elder Financial Fraud Has an Impact on the Financial Well-Being of Caregivers

September 7, 2017 | Silver Law Group

A new study from Allianz Life Insurance Company of North America offers tips on how to protect yourself and your loved ones against financial abuse

Elder financial abuse affects not only the elderly victims, but those who care them as well. According to a recent study by Allianz Life Insurance Company of North America, the average financial loss of elderly victims was $36,000; and this financial impact often resulted in “financial ruin.” What’s more, the financial impact on active and potential caregivers equaled an average cost of $36,000 as well, given the necessity to compensate for a loved one’s loss. Elder financial fraud clearly has a far-reaching impact beyond its senior victims.

The cost of caregiving

Broker Leon Vaccarelli Has Been Charged with Fraud by the SEC

September 5, 2017 | Silver Law Group

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The former Connecticut broker allegedly stole over $1 million from elderly clients

On August 31, Leon Vaccarelli and Lux Financial Services were charged by the Securities and Exchange Commission (SEC) with defrauding at least nine clients, several of which were elderly. According to the SEC, Vaccarelli told the clients that he would be investing their money in conventional brokerage accounts, but what he actually did was have them write checks payable to him. He reportedly then used that money to pay for personal expenses.

The SEC says that over a five-year period, Vaccarelli defrauded his clients of more than $1 million, with a large portion of that total coming from the sale of over $450,000 in securities that were in a trust intended for the care of a beneficiary.

Protecting an Elderly Parent from Financial Abuse from another family member.

September 5, 2017 | Silver Law Group

Often, it’s family members taking advantage of the elderly and their finances

It’s “eyes wide open” when it comes to elder financial fraud. While we may think that those who prey upon the elderly are professional criminals scheming ways to take advantage of people, the sad truth is that often, it’s a family member doing the scheming. A recent study by Merrill Lynch estimated that 70 percent of all elder financial fraud cases involved relatives.

Of course, most family members actively protect their loved ones, but anyone caring for the elderly needs to be aware of the possibilities. Elder fraud perpetrated by family members shows itself in subtle ways, such as changes in whom the senior individual considers a core influencer or decision maker, as well as changes in the senior’s wishes for gifting or investing.

What’s Being Done to Stop Elder Financial Abuse?

September 1, 2017 | Silver Law Group

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Learn about the new initiatives – and tech – that can keep you and your loved ones protected

Elder fraud is in the news a lot, but something is finally being done to help combat this growing problem. Many banks and brokerage firms are now beginning to take measures to keep their older customers protected. However, brokerage firms will frequently protect themselves to avoid lawsuits. If you feel that a stockbroker has abused your trust, counsel should be sought to try and recover damages.

Wells Fargo Advisors has been examining the issue for over a decade, and in 2010 the company started tracking cases of elder financial fraud. Then they were getting an average of about 30 every month. But four years later, that number climbed to almost 100. And now? It’s about twice that.

State Attorneys General Working to Stop Elder Fraud

September 1, 2017 | Silver Law Group

What they’re doing to fight this ‘silent epidemic’

One in 10. That’s an estimate of how many people 65 and older suffer some form of abuse, be it physical, financial, or otherwise. And it is likely that the numbers are much worse than that, as only about one in 24 cases of elder abuse is ever reported.

Fortunately, efforts are being made to tackle this growing problem. Derek Schmidt, Kansas Attorney General and president of the National Association of Attorneys General (NAAG), is planning to collaborate with the other 55 AGs around the U.S. The goal will be to share information and figure out ways to stop the abuse.

FINRA Permanently Bars Former Janney Montgomery Scott, LLC Broker David Aaron Seigerman

August 31, 2017 | Silver Law Group

Failure to respond to regulatory agency requests ends the securities industry career of this New Jersey-based broker

According to the Financial Industry Regulatory Authority (FINRA), David Aaron Seigerman failed to respond to the agency’s requests for information concerning his compliance with arbitration awards or settlement agreements with his customers.

In two separate complaints, Seigerman’s customers filed claims against the broker for allegedly executing unauthorized transactions within their accounts, failing to follow instructions, and breach of fiduciary duty. Allegations against Seigerman also include “selling away,” which is when a broker recommends outside investments that are not authorized by his member firm.

Former Alexander Capital, L.P. Broker Peyton Nelson Jackson is No Longer Registered in the Securities Industry

August 31, 2017 | Silver Law Group

The New York-based broker is under investigation for alleged unsuitability, negligence, and financial fraud, among numerous other charges.

During the course of a Financial Industry Regulatory Authority (FINRA) investigation into his potential misconduct as a securities broker, Peyton Nelson Jackson reportedly failed to provide information to the regulatory agency. The investigation was prompted by allegations made by several former customers who complained that Jackson and his former member firms violated numerous industry rules. While this investigation continues, Jackson’s status is considered “Previously Registered,” which means he is not currently licensed to act as a broker or investment adviser.

According to his FINRA BrokerCheck report, Jackson’s 25-year career included 15 disclosures (a disclosure includes any customer complaints or arbitrations, regulatory actions, employment terminations, bankruptcy filings, or any civil or criminal proceedings in which the broker was involved), including two regulatory actions. In May 2016, Jackson was suspended in all capacities from the securities industry for a period of six months and was fined $20,000 for allegedly failing to disclose that he performed business outside his member firm’s knowledge.

New Jersey Broker Richard Grant Cody May Be Facing Serious Penalties

August 16, 2017 | Silver Law Group

The Spring Lake broker has been involved in numerous customer disputes and could receive sanctions from both FINRA and the SEC

Richard Grant Cody has been a broker for 18 years, during which time 16 customer disputes have been levied against him. As a result of the most recent claims, he is also currently being investigated by the Financial Industry Regulatory Authority (FINRA) and the Securities and Exchange Commission (SEC).

The numerous charges against Cody include misrepresentation, unauthorized trading, and even theft. But one of the most egregious allegations concerns some of his former retired clients. In late 2016, the SEC filed a complaint against Cody in a Boston federal court alleging that he defrauded at least three clients over several years.