FINRA Arbitration

FINRA Bars Broker Herbert Voss, Jr. After Allegations of Unauthorized Trading

September 5, 2018 | Silver Law Group

South-Florida-Broker-Brian-Michael-Berger-Permanently-Barred-by-FINRA-1024x683-300x200 Herbert Voss, Jr. (CRD #1014475) is a previously registered broker and investment advisor, whose was last registered with StockCross Financial Services, Inc. (CRD #6670) of Beverly Hills, CA. His previous employers include UBS Financial Services Inc. (CRD #8174), also of Beverly Hills, and Waterhouse Securities, Inc. (CRD #7870). No current employment information is available. He has been in the industry since 1982.

FINRA began investigating Voss after allegations that he engaged in unauthorized trading in a customer’s account. After FINRA sent Voss a letter on 4/25/2018 requesting on-the-record testimony in the investigation, his counsel responded that Voss declined the request to testify at any time. Voss was then barred in all capacities by FINRA from associating with any associated brokerage, effective 5/23/2018. StockCross then discharged Voss from his employment.

Voss’ most recent customer complaint was filed on 12/15/2017, alleging “Poor Performance, Fiduciary Breach and Failure to Supervise.” Damages requested total $550,000. Voss’ response was that the facts are being discussed by counsel for both parties. The case is currently listed as “pending.”

FINRA Bars Former Raymond James Broker Stephen Murray After Allegations, Tax Lien

September 5, 2018 | Silver Law Group

Stephen Allen Murray (CRD #343722) is a former registered broker and investment advisor who was last employed by Raymond James & Associates, Inc. (CRD #705) of Palm Beach Gardens, FL. He was previously employed by Morgan Keegan & Company, Inc. (CRD #4161) of Jupiter, FL and First Financial Equity Corporation (CRD #16507) of Scottsdale, AZ. No current employment information is available. He began in the industry since 1973.

Murray is the subject of 10 different disclosures, dating back to 1982. The most recent, a regulatory action, occurred after he failed to respond to a FINRA request for information. Three letters were issued regarding the suspension, and Murray did not respond to any of them. He became permanently barred from associating with any FINRA representative as of 8/7/2018. No additional information is available.

The next disclosure was filed on 05/26/2017, a customer dispute alleging “churning, unauthorized trading; negligence, violation of FINRA rules . . .breach of contract, and breach of fiduciary duty. Activity date is: 6/2010 thru 4/2017.” The customer requested damages of $100,000, and the case was settled for $60,000.

FINRA Bars Broker Meaghan Johnson After Allegations in Eight Customer Complaints Totaling $1.3M in Damages

September 5, 2018 | Silver Law Group

South-Florida-Broker-Brian-Michael-Berger-Permanently-Barred-by-FINRA-1024x683-300x200 Former broker and investment advisor Meaghan Marie Johnson (CRD #5754123) has been barred by FINRA after customers filed eight complaints in 2017. She was previously employed by Northwestern Mutual Investment Services, LLC (CRD #2881) of McLean, VA, and briefly by Signator Investors, Inc. (CRD #468) of Vienna, VA. She resigned from Northwestern on 01/19/2017, and began as a registered representative in the financial industry in 2010.

Johnson was, at the time of her resignation, under an internal review by Northwestern after client complaints filed towards her colleague. Multiple allegations of client signature forgery brought questions of Johnson’s potential for involvement in the same actions. The eight customer complaints were filed after Johnson left the firm. The total amount of these eight complaints is $1,314,616.13.

FINRA sent two requests to Johnson for documents and related information, but she did not comply and failed to provide the requested information. FINRA later sent a request to Johnson to appear in a hearing for on-the-record testimony on April 13, 2018. On April 12, 2018, Johnson refused, informing FINRA staff that she would not appear for testimony on the requested date, nor in the future.

Some of National Securities Corporation’s FINRA-Reported Brokers

September 5, 2018 | Silver Law Group

These four brokers have been accused of numerous infractions

National Securities Corporation has been operating for decades and has offices and brokers all over the U.S. Unfortunately, however, a significant percentage of their brokers have been involved in numerous customer complaints. Here are just a few examples of how National Securities employees have allegedly violated FINRA rules:

James Eichner

FINRA Bans Broker Ramon Herrera

August 31, 2018 | Silver Law Group

Ramon Arturo Herrera (CRD #6021170) is a former registered broker and investment advisor, barred by FINRA. His last registered employer was Wells Fargo Clearing Services, LLC (CRD #19616) of Union City, NJ.

A customer dispute was filed by a client’s POA on 01/13/2018. The POA alleged that from 04/17/2018 through 11/17/2018, one of two financial advisors assigned to her conducted excess trading and made and an unauthorized withdrawal of $75,010 from her personal savings account. The FA in question was not named in the complaint. The case was settled for $105,000.

The next customer dispute was filed on 04/04/2018, alleging that Herrera withdrew funds from multiple client accounts without their permission. That case is pending, and the requested damages total $20,000.

Bradley Tennison Discharged and Barred By FINRA After Selling Away Allegations

August 29, 2018 | Silver Law Group

South-Florida-Broker-Brian-Michael-Berger-Permanently-Barred-by-FINRA-1024x683-300x200 Bradley Joseph Tennison (CRD #1561988) is a former registered broker and investment advisor who has recently been barred by FINRA. He was last registered with Genos Wealth Management of Mesa, AZ. He was previously employed with Oberlin Financial Corp. (CRD #103717) of Bryan, OH, First Allied Securities, Inc. (CRD #32444) of San Diego, CA, and D.E. Frey & Company, Inc. (CRD #23595) of Denver, CO. No current employment information is available. He has been in the industry since 1989.

Tennison has six disclosures, three of which are related to a client dispute that is currently pending. On 4/24/2018, a former firm client contacted Genos Wealth with a written complaint requesting assistance with a $300,000 investment Tennison recommended, called “The Joseph Project.” The letter alleges no statements were ever issued, and she was unsuccessful in getting her capital back or any of the promised returns. The client was told by Tennison that it was a 12 month “investment” with a 5% enhancement. She wired the $300K from her bank directly to where Tennison instructed her.

Upon examination, it was discovered that this “investment opportunity” was not something recommended or offered by the firm, and there were no records available. Tennison was “minimally responsive” to the firm’s request for information. On 4/25/2018, Genos Wealth discharged Tennison after he admitted that the former client’s money was wired to a third party that wasn’t investment related.

Senior Citizens in Florida Reportedly Scammed into Investing in Fake Fish Farm

August 29, 2018 | Silver Law Group

Several older investors reportedly fell victim to the scam, including a former police officer

From 2013 to 2014, several senior citizens living in South Florida invested over $400,000 in Blue Ocean Farm, a fish farm company. Three purported financial professionals reportedly solicited funds for the farm – Rebecca Gonzalez and Matthew Braun of Boca Raton and Michael Creamer of St. Petersburg. There was just one problem: the Florida Department of Law Enforcement says that the company was completely bogus.

The scheme was allegedly spearheaded by Gonzalez, and now she, Braun, and Creamer are facing several charges, including fraud, selling unregistered securities, and the sale of securities by an unregistered person. The trio reportedly targeted six older investors, all of which handed over thousands of dollars.

UBS Financial Advisor Walter Stucker

August 27, 2018 | Silver Law Group

New-York-Broker-Gregory-Flemming-Suspended-by-FINRA-300x200 Walter M. Stucker (CRD #2197844) is a registered broker and investment advisor, currently registered with Wells Fargo Clearing Services, LLC (CRD #19616) of Fort Worth, TX. He was previously employed by UBS financial services inc. (CRD #8174) and Merrill Lynch, Pierce, Fenner & Smith Incorporated (CRD #7691), also of Fort Worth. He has been in the industry since 1991.

Stucker is the subject of three disclosures, the most recent filed on 04/08/2018. This customer arbitration claim alleges that he “unsuitably concentrated their portfolio in the energy sector and misrepresented the risks associated with those investments” from 2011 to 2017. The customer is requesting damages of $600,000. This case is currently pending.

The prior complaint, filed on 12/18/2017, was filed by a client’s attorney alleging “misrepresentation, suitability issues and over concentration in oil and gas limited partnerships” from July 27, 2011 to December 18, 2017. The client requested damages in the amount of $632,907.00; however, this claim was ultimately denied.

The SEC Has Proposed New Regulations for Fiduciaries

August 22, 2018 | Silver Law Group

What the new code of conduct rule entails and how it could affect elderly investors

Up until earlier this year, the Department of Labor had a rule in effect for fiduciaries that specified that they couldn’t earn commissions unless the advice they offered was in the best interests of their clients. In addition, the rule mandated that they could only earn reasonable compensation and must be transparent about this compensation as well as the products they sell.

However, in March, a federal appeals court struck down the DOL’s rule. Recently the SEC proposed their own rule – called Regulation Best Interest or Reg BI – that aims to address three areas:

Broker Michael B. Barnett Allegedly Invests Client Funds in Speculative Securities

August 21, 2018 | Silver Law Group

Michael Barnett (CRD #5792242) is a currently registered broker and investment advisor working with J.J.B. Hilliard, W.L. Lyons, LLC of Marion, IL (CRD #453). He has been with Hilliard Lyons since 2012. Previously, Barnett was registered with Edward Jones (CRD #250) of Herrin, IL. He has been in the industry since 2010.

Bahram-Mirhashemi-Facing-Allegations-of-Elder-Financial-Fraud-300x200 Barnett has three pending customer complaints in 2018, with the damages requested totaling $133,529.56. Two of these claims involve allegations of over-concentration and losses related to a company called Breitburn Energy (BBEP), and that the company was unsuitable for the clients. Both complaints include allegations of breach of contract and fiduciary duty, violation of Kentucky Consumer Protection Act, Kentucky Blue Sky Law, and the Illinois Consumer Fraud Act. The third 2018 complaint, also pending, allege “breach of fiduciary duty, violation of Illinois’ Securities Act (Section 815 ILCS 5/12 et al.), negligence/negligent misrepresentation/omission, breach of contract, restitution, common law fraud, and negligent supervision.”

In 2017, Barnett had two additional customer complaints. In one case, the client alleges “unauthorized trading in an unsuitable security.” The second complaint alleges “misrepresentation, unsuitable investments, and unauthorized trading in a single security beginning in 2014 through 2015.” The client has requested damages of $1.5 million.