Koltun has been reportedly over-concentrating accounts on Puerto Rico bonds
Samuel Kluft Koltun has received a number of Financial Industry Regulatory Authority (FINRA) disclosures lately. From October 2015 to September of 2016, the broker received four customer complaints, and they all had one thing in common: Puerto Rico.
Currently registered with RBC Capital Markets, LLC out of West Palm Beach, Florida, the only other firm Koltun has worked for in his 30-year career is J.B. Hanauer & Co., also located in West Palm Beach.
In October 2015, FINRA received complaints against Koltun by two different customers. One alleged that from 2010 to 2015, Koltun over-concentrated an account in Puerto Rico bonds and also didn’t disclose the risks involved. The second complaint was for the exact same reasons, only the dates were different, with 2008 marked as the starting point.
Then, in April of 2016, another client alleged that Koltun also over-concentrated their account on Puerto Rico bonds, this time from 2011 to 2015. The final complaint came in September and again involved an over-concentration of Puerto Rico bonds. All four cases were eventually settled, and the total settlements added up to more than $700,000.
Digging a little deeper into FINRA’s BrokerCheck report, it turns out there have been other complaints against Koltun. In 2000, he was accused of breach of fiduciary duty, negligent misrepresentation, and common law fraud. In 2003, there was a charge of unsuitability. And in 2004, the National Association of Securities Dealers (NASD) found that Koltun made unsuitable recommendations to three customers, which resulted in a fine and suspension.
While brokers do their jobs to make money, they are obligated to look out for the best interests of their clients. This means that over-concentration of one thing or offering unsuitable advice goes against their duty as a financial professional. If you believe you’re a victim of this kind of action, FINRA arbitration may be able to help you get money back.
For a free consultation from an experienced arbitration attorney, contact the Silver Law Group. We represent individual and institutional investors across the United States who have lost money at the hands of a trusted financial advisor. Scott Silver is currently the chairman of the American Trial Lawyers Association, Securities, and Financial Fraud Group and routinely represents investors in securities arbitration claims.
You can call us toll-free at 800-975-4345. Because we are a contingency-based law firm, you won’t owe us a fee unless you recover money.