Securities Arbitration Lawyers Blog

Find out exactly why the broker received a lifetime ban from FINRA

July 5, 2017 | Silver Law Group

In April, we brought you the story of Kelly Althar, a broker who received a permanent ban from the Financial Industry Regulatory Authority (FINRA). Here is additional information that explains why FINRA made this ruling.

While working for the Financial West Group, Althar reportedly began making investments for an elderly client who started with $308,000. Between April of 2011 and March of 2014, FINRA states that Althar made several investments for the express purpose of generating commissions. This unethical practice is known as churning. In fact, Althar is reported to have bought, sold, and then repurchased the same security in just a small timeframe.

In December of 2012, Althar reportedly bought 700 shares of a real estate investment trust (REIT) and then just two months later, sold them for a loss of $261. After another two months, almost 800 shares of the same REIT were repurchased. Six weeks later, FINRA reports that Althar sold them, this time for a loss of over $8,100. Those trades netted Althar more than $3,000 in commissions.

Be on the Lookout: 3 Common Signs of an Investment Scam

July 3, 2017 | Silver Law Group

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Awareness will help you avoid becoming a victim of elder financial fraud

Investment fraud is something that can affect anyone, but elderly people seem to be targeted the most. According to one study, 1 in 5 people in the U.S. over the age of 65 have been the victim of a financial scam. Various studies have found that due to elder financial abuse, seniors lose billions every year.

So, how can you protect yourself and your loved ones from fraud? Vigilance is the key. Here are three common signs of investment scams to be aware of:

New FINRA Guidelines Aim to Protect Seniors from Elder Financial Fraud

July 3, 2017 | Silver Law Group

Learn about the safeguards that can help older investors

The Financial Industry Regulatory Authority (FINRA) is a nonprofit organization overseen by the government and tasked by the securities industry to protect investors through the creation and enforcement of rules and regulations. Periodically, FINRA makes adjustments and revisions to its guidelines, and the agency recently added measures to safeguard elderly investors.

In its 17-13 regulatory notice, FINRA spells out its new principal consideration, one of which is intended to protect vulnerable customers. Focusing on the undue influence a broker could have over a customer, the regulation “reaffirms that financial exploitation of senior and other vulnerable customers should result in strong sanctions.”

Former Wells Fargo Broker Matthew Maczko Faces Additional Fraud Allegations

June 30, 2017 | Silver Law Group

His most recent alleged transgression wasn’t his first

Earlier this year, the Financial Industry Regulatory Authority (FINRA) handed down a permanent ban to Matthew Maczko, a former Wells Fargo broker who had been accused of making excessive trades that earned him almost $600,000 in commissions. And because his client was near 90 when Maczko began handling her money, this may have constituted elder financial fraud.

In our original article, we mentioned that the allegations that resulted in FINRA’s ruling were not the first levied against Maczko. In addition to a $1M settlement stemming from reports of four years of unauthorized trading, there have been several other customer disputes:

FINRA Investigation Results in Career-Ending Decision for Broker Christopher Ariola

June 30, 2017 | Silver Law Group

Ariola allegedly made unsuitable recommendations in high-risk gold and energy stocks to elderly investors.

In December 2016, a disciplinary proceeding by the Financial Industry Regulatory Authority (FINRA) resulted in broker Christopher Ariola being permanently barred from the securities industry. This decision followed a FINRA investigation into Ariola’s termination from Bay Mutual due to the firm’s concerns over recommendations he made to firm customers that were not consistent with firm guidelines.

The investigation uncovered allegations of possible senior financial fraud in that he made unsuitable recommendations to four retirees with limited financial resources and who needed income from those resources. His reported recommendation that these unsophisticated investors concentrate their retirement assets in risky gold and energy stocks was inconsistent with their financial needs and objectives.

FINRA Suspends Registered Individuals in May 2017 for Violations of FINRA Rules

June 19, 2017 | Silver Law Group

According to FINRA Disciplinary actions for May 2017, the following individuals were suspended from FINRA and cannot currently work for a FINRA brokerage firm for failing to provide FINRA with information it requested or to keep information current with FINRA pursuant to FINRA rules:

NAME	FORMER EMPLOYERS
Dimitris Alifragis
Ricardo Alonzo Jr.
David William Beutler	Wells Fargo Advisors, LLC
David William Beutler	Prudential Securities Incorporated
J. Gordon Cloutier Jr.	Wells Fargo Advisors, LLC
J. Gordon Cloutier Jr.	Merrill Lynch, Pierce, Fenner & Smith Inc.
Donald Joseph Coleman	Citigroup Global Markets Inc.
Charles Maxwell Cox	Wells Fargo Advisors, LLC
Charles Maxwell Cox	Chases Investment Services Corp.
Laura Johnson Craven	State Farm VP Management Corp.
Thomas A. Davis	Wells Fargo Advisors, LLC
Megan Eilers	Wells Fargo Advisors, LLC
Megan Eilers	First Clearing, LLC
Ayrton Pierce Haddad	TD Ameritrade, Inc.
Ayrton Pierce Haddad	E*Trade Securities LLC
Scott William Hartman	Morgan Stanley
Scott William Hartman	Sanford C. Bernstein & Co., LLC
Stephen Johnathan Hoshimi	Crescent Securities Group, Inc.
Stephen Johnathan Hoshimi	Capwest Securities, Inc.
Israel Jurkevicz	J.P. Morgan Securities LLC
Shawn Brett Larkin	Fidelity Brokerage Services LLC
Richard Muzquiz Jr.	J.P. Morgan Securities LLC
Richard Muzquiz Jr.	Chase Investment Services Corp.
Sharon Theresa Noonan	Allstate Financial Services LLC
Sharon Theresa Noonan	Prudential Securities Incorporated
Olateju Samson Oyeniyi
Michael Jason Ripper	International Assets Advisory, LLC
Michael Jason Ripper	LPL Financial LLC
Christopher Peter Rose	State Farm VP Management Corp.
Teresita Santos Santos	Tramsamerica Financial Advisors, Inc.
Teresita Santos Santos	World Group Securities, Inc.
Bimal Kishore Shah	Independent Financial Group, LLC
Bimal Kishore Shah	WRP Investments Inc.
Bryan Michael Snyder	J.P. Morgan Securities LLC
Bryan Michael Snyder	Northwestern Mutual Investment Services, LLC
Cory Ward Taylor	Ameriprise Financial Services, Inc.
Cory Ward Taylor	IDS Life Insurance Company
Xin Wang	JP Morgan Securities LLC
Matthew Edward Witkowski	Vanguard Marketing Corporation
Matthew Edward Witkowski	Edward Jones

Silver Law Group represents investors in securities and investment fraud cases through FINRA arbitration or court. Our lawyers are admitted to practice in New York and Florida and represent investors nationwide in securities arbitration to help recover investment losses due to stockbroker misconduct. If you have any questions about how your account has been handled, call to speak with an experienced securities attorney. Most cases handled on a contingent fee basis meaning that you do not pay legal fees unless we are successful.

In May 2017 FINRA Suspends Registered Individuals for Failing to Comply with FINRA Rules

June 19, 2017 | Silver Law Group

According to FINRA Disciplinary actions, the following individuals were suspended from FINRA for failing to comply with a FINRA arbitration award or settlement agreement pursuant to FINRA rules:

NAME	FORMER EMPLOYERS
Fred Ronald Brown	UBS Financial Services Inc.
	Morgan Stanley & Co. Inc.
Robert Joseph Burke III	Suntrust Investment Services, Inc.
	UBS Financial Services INc.
Joseph Christopher Delaura	Citigroup Global Markets Inc.
	Morgan Stanley DW Inc.
Michael Dennis Hampton	LPL Financial LLC
	Ameriprise Financial Services, Inc.
Raul Enrique Jacobs	Waddell & Reed
	T2 Asset Management, LLC
David Ladin	CUNA Brokerage Services, Inc.
	Allstate Financial Services, LLC
Gregory Marcel Martino	Blackbook Capital LLC
	Coastal Equities, Inc.
J-Thaddeus Peter McGaffey	Waddell & Reed
	Ameriprise Financial Services, Inc.
Richard James Murphy	Tullett Prebon Financial Services LLC
	Citation Financial Group, LP
Joseph Dominick Quinzi	First Standard Financial Company LLC
	Alexander Capital, LP
Englebert Sarmiento	Network 1 Financial Securities Inc.
	EJ Sterling, LLC
Laurence Michael Torres	First Standard Financial Company LLC
	Alexander Capital, LP
Larry Michael Underwood Jr.	Wells Fargo Advisors, LLC
	A.G. Edwards & Sons, Inc.
Troy William West	Innovation Partners LLC
	Regulus Advisors, LLC

Silver Law Group represents investors in securities and investment fraud cases through FINRA arbitration or court. Our lawyers are admitted to practice in New York and Florida and represent investors nationwide in securities arbitration to help recover investment losses due to stockbroker misconduct. If you have any questions about how your account has been handled, call to speak with an experienced securities attorney. Most cases handled on a contingent fee basis meaning that you do not pay legal fees unless we are successful.

FINRA Bars Registered Individuals in May 2017 for Failing to Comply with FINRA Rules

June 19, 2017 | Silver Law Group

According to FINRA Disciplinary actions for May 2017, the following individuals were barred from FINRA and cannot currently work for a FINRA brokerage firm for failing to provide FINRA with information it requested or to keep information current with FINRA pursuant to FINRA rules:

NAME	FORMER EMPLOYERS
Philip Bagalanon
Terry Dean Bahgat	Gradient Securities, LLC
Terry Dean Bahgat	Cambridge Investment Research, Inc.
Patrick Hugh Dowd	Pruco Securities, LLC
John Scott Elliott	Ameriprise Financial Services, Inc.
Joseph Adam Giardina	Allstate Financial Services, LLC
Ryley Grosso	Infinex Investments, Inc.
Ryley Grosso	PFS Investments Inc.
Larry Anthony Ham	J.P. Morgan Securities LLC
Larry Anthony Ham	Chase Investment Services corp.
Lystra C. Moore-Besson	HSBC Securities (USA) Inc.
Lystra C. Moore-Besson	HSBC Brokerage (USA) Inc.
Ryan Edward O’Neal Jr.
Karrie Renee Parrett	Independent Financial Group LLC
Karrie Renee Parrett	Invest Financial Corporation
Brian Thomas Perry	Ameriprise Financial Services, Inc.
Brian Thomas Perry	IDS Life Insurance Company
Meaghan Mary Rumsey	IFS Securities
Meaghan Mary Rumsey	Cadaret, Grant & Co., Inc.
Joshua James Shelby	J.P. Morgan Securities LLC
Joshua James Shelby	Chase Investment Services Corp.
Donald Lee Watson Jr.	The Jeffrey Matthews Financial Group, LLC
Donald Lee Watson Jr.	Stifel, Nicolaus & Company, Inc.
Mark Nicholas Wesley	Ameriprise Financial Services, Inc.
Mark Nicholas Wesley	IDS Life Insurance Company
Terrance Jerome Wilkerson	First Financial Equity Corporation
Terrance Jerome Wilkerson	Merrill Lynch, Pierce, Fenner & Smith Inc
Gregory Allen Zale	LPL Financial LLC
Gregory Allen Zale	Royal Alliance Associates, Inc.

Silver Law Group represents investors in securities and investment fraud cases through FINRA arbitration or court. Our lawyers are admitted to practice in New York and Florida and represent investors nationwide in securities arbitration to help recover investment losses due to stockbroker misconduct. If you have any questions about how your account has been handled, call to speak with an experienced securities attorney. Most cases handled on a contingent fee basis meaning that you do not pay legal fees unless we are successful.

Reuters Analyzes FINRA BrokerCheck Data to Compile List of High-risk Brokerage Firms After FINRA Fails to Disclose Said Information

June 16, 2017 | Silver Law Group

A Reuters investigation team ran a story on June 12, 2017 concerning high-risk brokers and brokerage firms and compiling a list of the firms with highest percentage of brokers with BrokerCheck disclosures.

The FINRA BrokerCheck tool allows users to search specific brokerage firms and brokers to see a variety of information such as location, ownership, outside business activities and, most importantly, FINRA disclosures.

There are a total of 23 types of incidents that might give investors concern, such as regulatory sanctions, lawsuit judgments and bankruptcies. Unfortunately, the information, while very helpful, leaves out bulk information about which brokerage firms have a higher percentage of brokers reporting these incidents.

Santander Securities, LLC Broker Joan Marie Larsen Is Permanently Barred by FINRA

June 12, 2017 | Silver Law Group

Career-ending move involves reports of accepting a loan from an elderly customer

New Jersey-based broker Joan Marie Larsen’s financial industry career is over after she was reported to have accepted a loan from an elderly customer.

In this case, Larsen allegedly accepted a $50,000 interest-free personal loan from an elderly client who was not an immediate family member. An investigation by the Financial Industry Regulatory Authority (FINRA) found that “Larsen’s member firm did not have written procedures permitting such a loan.” In addition, Larsen only paid $3,000 on the loan, leaving $47,000 still due to the customer.