Allegations of unauthorized trading and client abandonment tarnish 34-year career.
In June 2015, investment firm D.A. Davidson & Company formally discharged broker Richard G. Drown, Jr. after the broker allegedly “disappeared,” abandoning both his duties and his clients. According to Drown’s FINRA BrokerCheck report, the firm filed an Employment Separation After Allegations report, saying that his whereabouts remained unknown.
Pending customer disputes remain open on Drown’s FINRA record and involve allegations of unauthorized transactions and misappropriation of funds in two customer accounts owned by a mother and daughter. In particular, Drown is accused of transferring funds from the customer trust brokerage accounts to the trust’s outside bank accounts during two separate time periods.
FINRA requested information from Drown in August 2015, yet the broker failed to respond. As a result, FINRA permanently barred Drown from acting as a broker or otherwise associate with firms that sell securities to the public.
If you or anyone you know has fallen victim to fraudulent behavior such as unauthorized trading or misappropriation of funds by a financial adviser, it is important to know that all investors have rights. A talented and experienced securities arbitration attorney may be able to help recover financial losses due to financial adviser misconduct. Explore your rights today.