Securities Arbitration Lawyers BlogJohn Timberlake, Formerly Of Carter, Terry & Company, Suspended
John Timberlake (John Hillman Timberlake CRD# 2109445) is a previously registered broker and investment adviser who was last registered with Carter, Terry & Company, Inc in Atlanta, Georgia. Before joining Carter, Terry & Company, Timberlake worked for Suntrust Investment Services, Inc.
John Timberlake Disclosures
John Timberlake has 6 disclosures on his publicly-available FINRA BrokerCheck report, including 4 customer disputes, 1 regulatory disclosure, and 1 employment separation after allegations disclosure:
November, 2020: A regulatory disclosure initiated by FINRA resulted in Timberlake being suspended for four month and fined $10,000. “Timberlake consented to the sanctions and to the entry of findings that he used his personal cellular phone to exchange numerous business and securities related text messages with customers without providing copies to his member firms, thereby preventing the firms from preserving the communications. The findings stated that Timberlake confirmed orders, communicated regarding specific securities and related news, and texted the customers information about their profits and losses. The findings also stated that Timberlake sent text messages to a customer that included promissory, exaggerated, unwarranted, and misleading statements.”
July, 2020: A customer dispute alleged poor performance of investments and unsuitable and unauthorized trades. The claim was denied.
May, 2020: An employment separation after allegations disclosure states that Timberlake was discharged from Carter Terry & Co. Inc over allegations that he “violated Firm policy regarding the use of text messages with clients.”
October, 2019: A customer dispute alleged “Unsuitable recommendation of speculative investment strategy in various thinly traded securities and guarantee of performance.” $88,700 in damages were requested, and the case settled for $50,000.
March, 2019: A customer dispute alleged that Timberlake “failed to present suitable investments, implement an appropriate investment strategy and properly manage the account.” $102,000 in damages were requested, and the case settled for $55,000.
January, 2016: A customer dispute stated that “Client is upset over margin call caused by increase in requirement of Empire Resorts (NYNY) after 1-5 reverse split and the client alleged transactions were unsuitable.” $105,831.82 in damages were requested and the case settled for $105,831.82.
Financial Advisors Should Email or Text from Approved Systems
Communications between customers and stockbrokers are generally required to be monitored and stored on a firm wide basis. Financial advisors who routinely communicate with customers using personal email addresses, cell phones or other communication devices such as Whatsapp, may be violating FINRA rules and regulations. This may also be a red flag that the financial advisor wants to evade compliance or other supervisory activities.
Allegations Of Unsuitable Investments
Some of the customer complaints against Timberlake include allegations that he recommended unsuitable investments. FINRA Rules require brokers to have “a reasonable basis to believe a recommended transaction or investment strategy involving a security or securities is suitable” based on a variety of factors, including the investor’s age, financial situation, investment objectives, and risk tolerance.
Brokers and brokerage firms may be liable for making unsuitable investments, and investors may be able to recover their losses through FINRA arbitration.
Did You Invest With John Timberlake?
Silver Law Group represents investors in securities and investment fraud cases. Our lawyers represent investors nationwide to help recover investment losses due to stockbroker misconduct and unsuitability claims. If you have any questions about how your account has been handled, call to speak with an experienced securities attorney. Most cases are handled on a contingency fee basis, meaning that you won’t owe us until we recover your money for you. Contact us today for a no-cost consultation.