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Richard S. Botkin, Morgan Stanley

Posted: November 2nd, 2017

Richard S. Botkin

CRD# 1571729

Silver Law Group is investigating Former Roseville, California-Morgan Stanley broker Richard S. Botkin after a allegations of outside business activity and illicit private placement investments.

According to FINRA’s BrokerCheck report on Botkin, he sought approval from his member firm to participate in an outside business, a production company designed to a create documentary film. Morgan Stanley gave Botkin permission to participate, He then started selling shares in the production company totaling $170,000 in sales to four firm customers and another $70,00 in shares to non-firm customers. When asked about these transactions, Botkin provided false information to the firm’s compliance department about his involvement in these private placement investments.

Botkin has been employed by Stifel, Nicolaus & Company Inc. since June of 2015. He was previously employed by Morgan Stanley at their Roseville, CA location from 2009 to 2015. Previous to that, he was employed by Wachovia Securities, LLC, from 2000 to 2008.

FINRA requires brokers and other registered persons to reports his or her outside business activities under FINRA Rule 3270.  The member brokerage firm will then consider whether the outside business activity will interfere or compromise the broker’s responsibilities to the firm and his or her customers and whether or not the outside business will be viewed by the public as part of the member brokerage firm’s business.

While a broker can remain neutral and detached from his or her outside businesses, it’s important for that broker to disclose those outside businesses to his or her customers.  Sometimes, those outside businesses can cause a broker to recommend the customer invests in something that will financially help the broker’s outside business rather than one suitable for the customer.  Other times, the outside business might impede on the broker’s time and devotion to his customers.

FINRA arbitration is a fast, efficient way to recover your lost investment funds due to a brokers outside business activity or private placement investment. The Silver Law Group works on a contingency fee basis, meaning you pay us nothing unless we recover money for you.

If you invested with Richard S Botkin and Morgan Stanley and have lost money doing so, you may be able to recover some or all of your losses. We are experienced in recovering investor losses due to broker/brokerage firm misconduct and mismanagement through FINRA arbitration.

Silver Law Group represents the interests of investors who have been the victims of investment fraud.  If you have questions about your legal rights, please contact Scott Silver of the Silver Law Group for a free consultation at ssilver@silverlaw.com or toll-free at (800) 975-4345.

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