Before Securities America, Westenbarger was registered with First Allied Securities, Inc. (CRD# 32444), American Portfolios Financial Services, Inc. (CRD# 18487), Invest Financial Corporation (CRD# 12984), Sigma Financial Corporation (CRD# 14303), and OneAmerica Securities, Inc. (CRD# 4173).
Jaime Westenbarger’s Disclosures
Westenbarger has been in the industry since 2003, and has 10 disclosures on his publicly-available BrokerCheck report, including 2 regulatory disclosures, 6 customer disputes, and 2 employment separation after allegations disclosures. Details on the disclosures are below:
March, 2020: A regulatory filing alleged: “Respondent Jaime Westenbarger, in connection with the offer and sale of securities, misstated a material fact in connection with the offer and sale of a security when he represented he would invest RM and SM’s funds in a corporate note, but instead used the funds to pay for personal expenses, contrary to section 501 of the Securities Act, MCL 451.2501. Respondent Jaime Westenbarger, in connection with the offer or sale of securities, misstated a material fact in connection with the offer or sale of a security when he represented to AW as power of attorney for LW that he would invest LW’s funds in a certificate of deposit, but instead used the funds to pay for personal expenses, contrary to section 501 of the Securities Act, MCL 451.2501.” The action is pending.
January, 2020: A customer dispute alleged “misrepresentation with his annuity purchases in August 2014 and November 2014.” $30,636.16 in damages were requested, and the claim was denied.
October, 2019: A customer dispute alleged “that in May 2018 the representative convinced them to purchase a corporate note and instead used the funds for his own purposes; that in June 2018, the representative convinced them to replace a variable annuity for no apparent reason; and that in July 2019 the representative made an unauthorized purchase of a UIT, which was unsuitable. Allegations include violations of the Michigan Securities Act and FINRA Conduct Rules, breach of contract, breach of fiduciary duty, fraud and conversion.” $212,000 in damages were requested, and the claim is pending as of this writing.
October, 2019: A regulatory disclosure states that Westenbarger was indefinitely barred in all capacities after “he failed to provide documents requested by FINRA during the course of an investigation after it learned of the conduct disclosed in a Form U5 submitted by his member firm. The findings stated that Westenbarger intentionally provided a partial response, but did not substantially comply with all aspects of FINRA’s request. The form U5 submitted by the firm disclosed that his termination was for a violation of firm policies and procedures regarding borrowing funds from clients.” Westenbarger consented to the sanction and the entry of findings.
September, 2019: A customer dispute alleged that an annuity they were sold was an unsuitable investment. $12,307 in damages and the claim was settled for $12,307.
August, 2019: A disclosure states that Westenbarger was discharged from securities America, Inc. for “violating Firm policies and procedures regarding borrowing funds from clients.”
August, 2019: A customer dispute alleged that an Allianz variable annuity was unsuitable due to its illiquidity. $29,000 in damages were requested. The claim was denied.
April, 2017: A customer alleged that REITs sold to her were unsuitable and requested $165,000 in damages. The claim was denied.
December, 2009: A customer dispute alleged that a variable annuity was unsuitable. $5,000 in damages were requested. The claim was settled for $12,500.
October, 2006: Westenbarger was discharged from Oneamerica Securities for forming a corporation without prior approval.
Common Causes For Complaint Against Jaime Westenbarger
The allegations against Westenbarger are all very familiar to the experienced attorneys at Silver Law Group.
REITS
Two customer complaints allege the unsuitable sale of REITs (Real Estate Investment Trusts), which are often illiquid, non-traded, and involve significant risk. REITS are often sold to investors as stable, income-producing investments that may have a liquidity event in the future. Unfortunately, the fees charged by the selling broker dealers can be steep, and may eat into the investor’s return.
After purchasing REITS, investors sometimes find their investment has decreased in value and stopped paying a dividend. But because it is illiquid, they have no choice but to hold onto it.
Variable Annuities
Variable annuities also appear multiple times on Westenbarger’s customer complaints. Variable annuities are often less suitable for investors than similar investments, but sold because they pay the a high commission to the broker. Financial advisors have been known to engage in variable annuity switching, which is selling a client on a new annuity that’s no better for them in order to collect another commission.
Silver Law Group has extensive experience helping investors recover losses from variable annuities, REITs, and other products through FINRA arbitration. We take most cases on a contingency fee basis, meaning there is no cost to retain us.
Do You Have Investment Loses With Jaime Westenbarger?
If you or someone you know lost money investing with Jaime Westenbarger, please contact the Silver Law Group toll free at (800)-975-4345 or e-mail ssilver@silverlaw.com for a no-cost confidential consultation. Our attorneys have extensive experience representing investors with losses related to misrepresentation, and unsuitability, and represent investors nationwide.