Stockbroker Misconduct

Silver Law Group is Investigating David Ridenour of Wells Fargo Clearing Services

June 29, 2018 | Silver Law Group

David Ridenour has been registered with Wells Fargo in Edmond, Oklahoma since 2012. He previously worked for Morgan Stanley Smith Barney.

Financial Industry Regulatory Authority (FINRA) CRD records show that Oklahoma-based Wells Fargo Clearing Services broker/adviser David Ridenour has received resolved or pending customer disputes.

According to his BrokerCheck report, he has received one customer complaint, one pending customer complaint, and one customer complaint that was closed.

FINRA Bars Broker Christopher Hibbard After Separation from Merrill Lynch

June 28, 2018 | Silver Law Group

Christopher Lee Hibbard (CRD #3176484) is a previously registered broker and investment advisor who has been barred from association with any FINRA-associated broker. His most recent employer was Merrill Lynch, Pierce, Fenner & Smith Incorporated (CRD #7691) of Louisville, KY, from 07/16/2010 through 01/26/2018. His previous employers include Morgan Keegan & Company, Inc. (CRD #4161), also of Louisville, and A. G. Edwards & Sons, Inc. (CRD #4) of St. Louis, MO. He has been in the industry since 1999.

Hibbard was discharged from Merrill Lynch on 01/08/2018, after allegations of “unauthorized transactions and theft.” His registration was officially terminated on 01/26/2018. As a result, FINRA conducted an inquiry and requested information from him, to which Hibbard failed to respond. As of 05/10/2018, FINRA permanently barred Hibbard from associating with any FINRA member in any capacity.

Additionally, the US Attorney’s Office in the Western District of Kentucky is investigating allegations of Hibbard’s unauthorized use of client funds during his tenure at Merrill, Lynch.

Broker Craig Blattner Suspended By FINRA

June 28, 2018 | Silver Law Group

Craig Dean Blattner (CRD #1590301) is a previously registered Florida broker and investment advisor. His last employer of record is Cetera Advisors LLC (CRD #10299) of Longwood, FL; his employment was terminated on 2/28/2018. He is not currently registered with any FINRA affiliated firm, and no other recent employment information is available. His previous employers include Investors Capital Corp. (CRD #30613) of Longwood, FL which merged with Cetera in September of 2016, Gunnallen Financial, Inc. (CRD #17609) of Orlando FL, and First Montauk Securities Corp. (CRD #13755) of Red Bank, NJ.

On or about 03/20/2018, Blattner was suspended by FINRA for 15 days after an inquiry into his business practices. He allegedly personally handled a customer complaint without notifying his employer.

In April of 2013, two longtime clients who had a joint account complained, both orally and in writing, about their account’s loss of $75,000. Blattner was supposed to disclose this complaint to his company at the time, ICC, and report it on his Form U4. Instead, Blattner wrote the clients a personal check for $15,000, instructing them to open a new account to deposit the check. The customers did so, and were told by Blattner that the check was to generate trading profits to replace the losses from their joint account. Failing to notify his employer of these complaints, and handling it away from the firm, is a violation of FINRA rule 2010.

State of Arkansas Bars Worden Capital’s Yousuf Saljooki For Five Years

June 28, 2018 | Silver Law Group

Yousuf Saljooki (CRD #5045123, a/k/a “Joe Saljooki”) is a former registered broker with Worden Capital Management LLC (CRD #148366) of Melville, NY. His previous employers include SW Financial (CRD #145012), Legend Securities, Inc. (CRD #44952, expelled) and Tryco Securities, Inc. (CRD #104025), among others. No current employment information is available. He has been in the industry since 2006.

Saljooki has had two employment separations in less than a year, in part, due to a ban by the state of Arkansas. During the application process, Saljooki failed to disclose an outstanding 2016 federal tax lien of $227,859. The state denied his application, and he was banned for five years. First, SW Financial, then Worden discharged him after the denial. He is not currently registered with any FINRA-affiliated broker.

Two previous disclosures in 2018 include customer disputes with almost identical allegations of churning and unsuitability, as well as breach of contract/fiduciary duty and unauthorized trading. The two disputes have requested damages totaling over $1.5 million. Both cases are pending.

Former Broker Peter Orlando Accused Of Improperly Obtaining Control Of Client’s Affairs

June 28, 2018 | Silver Law Group

Peter Orlando (CRD #1142715) is a former registered broker, last employed with SCF Securities, Inc. (CRD #47275) of Fall River, MA. Previous employers include MetLife Securities (CRD #14251), Morgan Stanley (CRD #149777 and #8209), and Investors Capital Group (CRD #30613) He has been in the industry since 1983. His current employer and employment status is unknown.

Orlando is the subject of a regulatory disciplinary action involving one of his clients. From August through September of 2014, Orlando allegedly obtained control of the financial affairs of an elderly widow (named “DW” in the complaint.) He became the primary beneficiary and executor of her will, with his wife as the contingent beneficiary. He obtained two powers of attorney (POA), one for health and one known as a “durable POA.”

It is against MetLife’s policies for a representative to become involved in a client’s financial affairs, except in the case of family members. There is no indication that the client was also a family member. In addition to a opening a joint account with Orlando, the client also changed her will, closed two bank accounts in favor of the joint one, and gave him two powers of attorney. Orlando never notified the firm that he was acting as her personal representative in her affairs.

FINRA Bars Broker John Greg Schmidt After Misappropriation Allegations

June 28, 2018 | Silver Law Group

John Greg Schmidt (CRD #708094) is a former registered stockbroker and investment advisor whose last known employer was Wells Fargo Advisors Financial Network, LLC (CRD #11025) in Dayton, OH. He is also known as “Greg Schmidt” or “John Gregory Schmidt.”

His previous employers include Stifel, Nicolaus & Company, Incorporated (CRD #793), also of Dayton, OH; First Union Securities, Inc. (CRD #19616) of St. Louis, MO; and First Union Capital Markets Corp. (CRD #6124) of Charlotte, NC. Schmidt began his industry career in 1980, but is not currently registered with any FINRA broker.

Schmidt is currently the subject of several disclosures:

FINRA Permanently Bars Kimberly Pine Kitts After Allegations

June 22, 2018 | Silver Law Group

Kimberly Pine Kitts (CRD #2768200) is a previously registered broker and investment advisor, last employed with Royal Alliance Associates Inc., (CRD #23131) from 2004 through 2017. In the industry since 1993, she was previously employed with ING Financial Partners, Inc. (CRD #2882) in Des Moines, IA, and Forum Fund Services, LLC (CRD #46106) in Portland, ME, among others.

Kitts was discharged from Royal Alliance on 11/15/2017 when the firm received a letter from the attorney of one of her clients. This letter alleged “conversion or misappropriation of funds” on Kitts’ part.

On 12/8/2017, FINRA requested information from Kitts regarding her termination from Royal Alliance. She failed to respond to the request, and was suspended for three months. When she failed to request her suspension to be ended, FINRA permanently barred Kitts, effective 03/12/2018. Kitts is not allowed to have any association with any FINRA member in any capacity.

Jeffrey Hawley and Wells Fargo

June 22, 2018 | Silver Law Group

A current client dispute relating to Jeffrey Hawley (CRD #1131302) has been filed against Wells Fargo. Hawley is a registered broker currently with Wells Fargo Clearing Services, LLC (CRD #19616). Hawley is also a registered investment advisor with the same company.

The customer dispute centers on Puerto Rican bonds, which were popular to sell to investors for their high returns. When the island declared bankruptcy in May of 2017, many investors accounts decreased dramatically.

The client alleges that Hawley recommended purchasing these bonds in 2012, and to “thereafter hold the bonds.” The case is currently listed as pending.

Broker Adam Goodman Subject of FINRA Arbitration Claims

June 22, 2018 | Silver Law Group

Adam Goodman (CRD #2263780) is a currently registered broker and investment advisor employed by Stoever, Glass & Company Inc. (CRD #7031) of Boca Raton, FL.

His previous employers include Herbert J. Sims & Co. Inc. (CRD #3420) and Wien Securities Corp. (CRD #10467.) He has been in the industry since 1994 moving from H.J. Sims to Stoever in 2018.

Goodman has three customer disputes in his career, with the most recent filed on April 3, 2018. The customer alleges “high pressure sales,” unsuitable investments, fraud and negligence, and is requesting damages in the amount of $25,000.

Broker Lee Robert Donais Subject Of $200K Dispute

June 21, 2018 | Silver Law Group

Lee Robert Donais (CRD #2347440) was a registered broker with SCF Securities, Inc. (CRD #47275) of Lighthouse Point, FL, since 2012 through May 2018. His previous employers include Brookstone Securities, Inc. (CRD #13366), brokersXpress LLC (CRD #127081, now defunct), and LPL Financial Corporation (CRD #6413), also of Lighthouse Point, Florida. Donais has been in the industry since 1993.

On 4/17/2018 a client filed a complaint against Donais alleging “unsuitable investment recommendations,” and has requested damages of $200,000. This dispute is currently pending.

Donais has two employment separations. The first, from brokersXpress on 5/10/12, was due to Donais signing a customer’s name to a form for an IRA withdrawal. The customer, he claimed, requested Donais’ signature on the form because he was on travel and didn’t have access to a fax machine or other equipment to submit his own signature. Since the customer was enroute to a property closing in North Carolina, the transaction was necessary for the anticipated closing on May 10, 2012. When contacted by a company representative inquiring about the signature, he admitted signing the form at the customer’s request.