A National Securities Arbitration & Investment Fraud Law Firm
Silver Law Group is investigating New York City-based broker Melanie S. Sweet (CRD# 2620987) after FINRA suspended her from acting as a broker in December 2016.
Sweet is employed by Hamershlag Sulzberger Borg Capital Markets, Inc. (CRD#:103460)
According to Sweet’s FINRA BrokerCheck report, FINRA suspended Sweet after she failed to respond to a FINRA request for information.
Silver Law Group is investigating former Jupiter, Florida-based Wells Fargo Advisors, LLC (CRD# 19616) broker Roberto O. Bastardo (CRD# 6570886) after Wells Fargo Advisors discharged him for allegedly attempting to misappropriate customer funds.
According to Bastardo’s FINRA BrokerCheck report, Wells Fargo Advisors discharged Bastardo in September 2016 for attempting to misappropriate over $185,000 from a Wells Fargo Advisors customer. The firm allegedly recovered all but $800 of the misappropriated funds, but authorities were contacted.
FINRA followed up the discharge by permanently barring Bastardo from acting as a broker or otherwise associating with firms that sell securities to the public in November 2016 after Bastardo failed to respond to a FINRA inquiry.
Silver Law Group is investigating former Arkansas-based Arvest Wealth Management (CRD# 42057) broker Joe D. Treece (CRD# 2925735) after FINRA and other state regulators barred him from acting as a broker.
According to Treece’s FINRA BrokerCheck, FINRA permanently barred Treece in October 2016 from acting as a broker or otherwise associating with firms that sell securities to the public after Treece failed to respond to a FINRA request for information.
FINRA then suspended him, according to his BrokerCheck report, in December 2016 after Treece failed to comply with an arbitration award or settlement agreement or failed to satisfactorily respond to a FINRA request to provide information concerning the status of compliance.
Silver Law Group is investigating former Fresno, California- and San Antonio, Texas-based broker Willard L. Golightly (CRD# 4395250) after FINRA permanently barred him from engaging in certain activities in the securities industry.
According to Golightly’s FINRA BrokerCheck report, FINRA suspended Golightly in December 2016 after Golightly failed to comply with an arbitration award or settlement agreement or to respond to a FINRA inquiry. Including the suspension, Golightly has a litany of other disclosures on his FINRA BrokerCheck report.
In September 2015, FINRA barred Golightly for inappropriately concentrating his customers in low-priced securities and failed to respond to red flags. Golightly additionally failed to maintain and enforce his member firm’s written supervisory procedures.
Silver Law Group is investigating former Georgia-based SunTrust Investment Services, Inc. (CRD# 17499) broker Ryan E. Cox (CRD# 3018153) over allegations that he accepted cash gifts from his customers.
According to Cox’s FINRA BrokerCheck report, Cox was discharged in March 2015 by his former employer, Synovus Securities, Inc. (CRD# 14023). Synovus alleged that Cox and his wife received cash payments from an unrelated client and Cox knowingly allowed the naming of a spouse as a beneficiary of the same client’s variable annuity policy without disclosure to Synovus.
FINRA followed up Cox’s discharge with a suspension of two months in December 2016. The suspension was related to Cox’s acceptance of cash gifts and Cox falsely stating that he had not received those cash gifts. FINRA also levied a $15,000 fine on Cox.
The SEC filed charges against a Pompano Beach, Florida-based company, its CEO and its top sales agent in late March 2017, accusing them of conducting a boiler room operation that bilked investors out of almost $5 million.
According to the SEC’s complaint, CEO David Gray and sales agent Joseph A. Vitale (CRD# 5223467), aka Donovan Kelly, were the primary figures in carrying out the scheme.
According to the complaint, the company, LottoNet Operating Corp. (“LottoNet”), purported to be in the business of facilitating the purchase of lottery tickets from lotteries in various states online.
The SEC announced an emergency asset freeze and temporary restraining order against a Chicago-based investment adviser and his financial management company accused of scamming elderly investors out of millions of dollars.
In the SEC’s complaint, the SEC alleges that Daniel H. Glick (CRD# 2175655) and his unregistered investment advisory firm Financial Management Strategies (“FMS”) took advantage of seniors who entrusted him with millions of dollars’ worth of their retirement savings.
According to the SEC complaint, Glick and his companies raised over $6 million from elderly investors, with most of the money coming from two families. Glick first raised money though Glick & Associates until dissolution in 2014, then through Glick Accounting Services and FMS.
FINRA and the SEC adopted and approved a new rule that is intended to help curb elder financial fraud.
In March 2017, FINRA adopted FINRA Rule 2165. Financial Exploitation of Specified Adults. Shortly thereafter, the SEC approved the rule with an effective date of February 2018 set in place.
FINRA Rule 2165 allows a FINRA member firm that reasonably believes financial exploitation may be occurring or has occurred to place a temporary hold of up to fifteen (15) business days on the disbursement of funds or securities from the account of a “Specified Adult” customer. A Specified Adult is either (a) a person aged 65 or older; or (b) a person, aged 18 or older, who the firm reasonably believes has a mental or physical impairment that renders the individual unable to protect his or her own interest.
FINRA recently amended a rule that would require brokerage firms to establish a contact for at-risk seniors.
In March 2017, FINRA amended FINRA Rule 4512 to require member firms to make reasonable efforts to obtain the name and contact information for a trusted contact person upon the opening of a customer’s account.
The proposal to amend the rule was initially pitched in late October 2016 and has gone through the comment phase up until FINRA adopted and the SEC approved it.
Silver Law Group is investigating former LPL Financial LLC (CRD# 6413) broker Robert N. Tricarico (CRD# 1500863) after he pled guilty to one count of wire fraud against an elderly investor in a federal court in Connecticut.
According to Tricarico’s FINRA BrokerCheck, Tricarico pled guilty in June 2016 in a Hartford, Connecticut federal court to one count of wire fraud related to his misappropriation of more than $1.2 million from an elderly client.
According to court documents and statements made in court, from January 2010 to June 2013, Tricarico served as the financial advisor for an elderly investor who had significant assets. Tricarico misappropriated more than $1.1 million from the senior by writing numerous checks to himself or for his benefit without the victim’s authorization. Additionally, Tricarico liquidated the senior’s coin collection and cashed checks for himself that were made payable to the senior.
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