- Ronnie Rindon Dumag (CRD# 4783585) is a previously registered broker employed with PFS Investments Inc. (CRD#:10111) of Sacramento, CA, from 2004 through 2024. PFS Investments permitted Dumag to resign following allegations, and an internal investigation found that he had borrowed money from one of his clients and converted funds from an elderly customer. FINRA instituted its own investigation, notifying Dumag and requesting information and documentation from him. Dumag notified FINRA staff by email on 5/28/2024 that he had received their request but refused to comply. After signing an Acceptance, Waiver and Consent Letter (AWC), Dumag was permanently barred as of 6/13/2024.
- Rosaline Alam (CRD# 5742202, a/k/a “Rosaline Alrachid”) was a previously registered broker and investment advisor last employed with Lincoln Investment (CRD#:519) of Claremont, CA. Her previous employers were Pruco Securities, LLC. (CRD#:5685), also of Claremont, NY Life Securities LLC (CRD#:5167) of San Dimas, CA., and Waddell & Reed, Inc. (CRD#: 866) of Brea, CA. She has been in the industry since 2010.
Following her departure, Pruco Securities filed a Uniform Termination Notice for Securities Industry Registration (Form U5) in October, 2023. Pruco then issued an amended Form U5 indicating that Alam had misappropriated funds from an elderly client. She was also named as a beneficiary in the client’s will, which is a violation of Pruco’s policies.
FINRA notified Alam on April 15, 2024 of its investigation and requested documents and information. On April 29, Alam’s attorney notified FINRA staff that their request had been received but that Alam would not produce any documents and/or information at any time. After signing an Acceptance, Waiver and Consent Letter (AWC), Alam was permanently barred as of 6/11/2024.
Both brokers committed fraud against an elderly client.
What Is Elder Fraud?
Also called elder financial abuse, elder fraud is the practice of taking advantage of elderly individuals, particularly those who do not completely understand investing. While family members frequently commit elder fraud, financial professionals are a close second. Despite the regulatory protections in place, elders are still being defrauded by their brokers, investment advisors, and others trusted with managing their money for them.
Elders are targeted for several reasons. Many have accumulated significant life savings and wealth but may not be familiar with complex investment tools and technologies used for trading and other functions. Relying on their broker or other financial representative, they may not understand their options. Individuals may take further advantage, knowing that the elder doesn’t recognize something that’s fraudulent, especially if the elder is experiencing cognitive decline.
Frequently, brokers will use tactics to cover their actions to escape detection until they have caused significant harm to the individual. Churning, unauthorized trading, unsuitable or risky recommendations, and theft are all ways to defraud an elderly investor. Selling unsuitable products with significant fees and/or withdrawal penalties can also drastically diminish net worth.
Brokerage firms may be held liable for elder fraud, especially if they fail to supervise their brokers and other associated persons under FINRA Rule 3110. Many brokerage firms have been fined for allowing fraud to continue.
Even after discovering fraud, many elderly people trust their brokers implicitly or consider them friends and may be reluctant to say anything.
Did You Invest With Ronnie Dumag or Rosaline Alam?
Silver Law Group represents investors in securities and investment fraud cases. Our lawyers are admitted to practice in New York and Florida and represent investors nationwide 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 are handled on a contingent fee basis, meaning that you won’t owe us until we recover your money for you. Contact us today at (800) 975-4345 and let us know how we can help.