Unsuitable Investment Advice

UBS Financial Advisor Walter Stucker

August 27, 2018 | Silver Law Group

New-York-Broker-Gregory-Flemming-Suspended-by-FINRA-300x200 Walter M. Stucker (CRD #2197844) is a registered broker and investment advisor, currently registered with Wells Fargo Clearing Services, LLC (CRD #19616) of Fort Worth, TX. He was previously employed by UBS financial services inc. (CRD #8174) and Merrill Lynch, Pierce, Fenner & Smith Incorporated (CRD #7691), also of Fort Worth. He has been in the industry since 1991.

Stucker is the subject of three disclosures, the most recent filed on 04/08/2018. This customer arbitration claim alleges that he “unsuitably concentrated their portfolio in the energy sector and misrepresented the risks associated with those investments” from 2011 to 2017. The customer is requesting damages of $600,000. This case is currently pending.

The prior complaint, filed on 12/18/2017, was filed by a client’s attorney alleging “misrepresentation, suitability issues and over concentration in oil and gas limited partnerships” from July 27, 2011 to December 18, 2017. The client requested damages in the amount of $632,907.00; however, this claim was ultimately denied.

FINRA Suspends Walter Parker For Unsuitable Investments

August 13, 2018 | Silver Law Group

Broker Walter Parker (CRD #2131232) is a former registered broker and investment advisor last employed with Titan Securities, Inc. (CRD #131392) of Rowlett, TX. His previous employers include ING Financial Partners, Inc. (CRD #2882) of Wylie, TX, Locust Street Securities, Inc. (CRD #1703) of Des Moines, IA, and BMA Financial Services, Inc. (CRD #7943) of Kansas City, MO. No current employment information is available. Parker has been in the industry since 1991.

Lawrence-LaBine-Under-Fire-for-Alleged-Unsuitable-Recommendations-and-More-300x200 FINRA recently suspended Parker for one month, and fined him $7,500 related to his activities with a client’s accounts. Parker made a number of recommendations to a client that she immediately begin investing in “alternative investments.” This client had very little prior investing experience, particularly with alternative investments. She was 64 at the time the account was opened. He recommended that she invest $290,000 into four of these illiquid alternative investments from her retirement accounts, all REITs.

These investments concentrated a large percentage of her net worth into these illiquid alternative investments, and were totally unsuitable for the client’s investment objectives. Unfortunately, the client suffered significant losses from all four of these REITs, requiring her to seek and obtain fulltime employment in 2016.

FINRA Bars Broker John Maccoll After Fraud Allegations

August 10, 2018 | Silver Law Group

South-Florida-Broker-Brian-Michael-Berger-Permanently-Barred-by-FINRA-1024x683-300x200 Former UBS broker John Maccoll (CRD #839441) has been indefinitely barred from affiliation with any FINRA member in any capacity as of 07/02/2018.

His most recent employer was UBS Financial Services Inc. (CRD #8174) of Birmingham, MI. Previously, he was employed with Morgan Stanley DW Inc. (CRD #7556) of Purchase, NY, E. F. Hutto n & Company Inc. (CRD #235), Loeb Partners (CRD #7534) and Hornblower, Weeks, Noyes & Trask Incorporated (CRD #7394). No current employment information is available. Maccoll has been in the industry since 1977.

On 3/15/2018, UBS discharged Maccoll after he refused to cooperate with the firm’s investigation into allegations he misappropriated money from a client. He later disclosed that he had misappropriated money from a total of 13 clients.

FINRA Suspends Broker Brian Hussey Following Allegations Of Unsuitable Recommendations

August 10, 2018 | Silver Law Group

Brian John Hussey, Jr., (CRD #4640067) is a registered broker and investment advisor who is currently suspended by FINRA. His last (and only employer) is Ameriprise Financial Services, Inc. (CRD #6363) of Tampa, FL. He has been in the industry since 2008.

Hussey’s suspension stems from a customer complaint on 9/23/2016 that he recommended unsuitable investments to a customer. The customer, who was also an administrative employee of Ameriprise, requested damages of $88,728.00. The firm settled for $67,019.24.

The customer alleges that Hussey unsuitably recommended that she liquidate two IRAs that she held which was the largest part of her liquid net worth, and invest in penny stocks focused on commercial marijuana. This was inconsistent with the client’s investment “growth” goals for both IRAs. The client lost most of her investments in these speculative securities.

Criminal Charges And Additional Complaints Against Former Broker Matthew Eckstein

August 7, 2018 | Silver Law Group

In June, we told you about Matthew Evan Eckstein (CRD #2997245), who was a previously registered broker with Sisk Investment Services, Inc. (CRD #19406) of Syossett, NY. In addition to being registered there since 2015, Eckstein owned Sisk and was its CEO. FINRA also expelled Sisk Investment Services on 6/22/2018. Eckstein was previously employed by Gould, Ambroson & Associates Ltd. (CRD #17412) of Garden City, NY since he began working in the industry in 1998.

There have been some new developments with this broker since our last blog post.

SEC-Charges-Paul-Mata-David-Kayatta-Mario-Pincheira-With-Fraud-and-Freezes-Assets-300x199 On 6/12/2018, the Nassau County (New York) District Attorney filed multiple criminal charges against Eckstein:

Morgan Stanley Advisor Barry Garapedian

July 31, 2018 | Silver Law Group

Barry Garapedian (CRD #1039251) is a currently registered broker employed by Morgan Stanley (CRD #149777) of Westlake Village, CA. He has been with Morgan Stanley since 2009. He was previously employed by Citigroup Global Markets Inc. (CRD #7059), Lehman Brothers, Inc. (CRD #7506) and E. F. Hutton & Company, Inc. (CRD #235) He has been in the industry since 1982.

Garapedian has been the subject of three FINRA customer disputes in 2018, all with similar allegations of “unsuitability.” The first one, on 3/20/2018 was denied. The second was filed on 03/22/2018 and involves the period 2013 to 2015, and is listed as “pending.” The third claim, filed on 04/01/18, requests damages of $713,000.00. Garapedian’s statement denies the allegations, and maintains that everything was discussed with the customer prior to any transactions, and the investments recommended were suitable for the client. This claim is also listed as “pending.”

One claim was also filed in 2017, alleging the same “unsuitablility,” and was closed with no action.

Silver Law Group Wins Securities Arbitration Award Against Former Naples, Florida-based Kovack Securities Broker Curtis D. Milakovich

July 24, 2018 | Silver Law Group

Silver Law Group attorneys have won an award against Curtis D. Milakovich, formerly of Kovack Securities Inc. on behalf of our clients through FINRA arbitration.

FINRA Awards Our Clients Damages Due to Curtis D. Milakovich’s Misconduct

FINRA-300x202 On December 22, 2017, the Financial Industry Regulatory Authority (“FINRA”) awarded our clients $164,000 due to Milakovich’s misconduct, including unsuitable recommendations, unauthorized trading, negligence, breach of fiduciary duty, and churning.

Silver Law Group is Investigating Carlos Evertsz-Seda of K.C. Ward Financial

June 29, 2018 | Silver Law Group

Carlos Evertsz-Seda is barred from association with any FINRA member in any capacity. Respondent failed to request termination of his suspension within three months of the date of the Notice of Suspension; therefore, he is automatically barred from association with any FINRA member in any capacity. Carlos Evertsz-Seda was employed by K.C. Ward Financial in Ronkonkoma, NY from 2010 – May 2017. Mr. Evertsz-Seda is the subject of two securities arbitration claims for damages due to unsuitable investments. K.C. Ward Financial is a Long Island based brokerage firm owned by Louis Ward.

Contact Our Firm if You’ve Invested with Carlos Evertsz-Seda

If you invested with Carlos Evertsz-Seda and believe you have lost money due to his misconduct, you may be able to file a claim to recover your losses through FINRA arbitration. For a free evaluation of your potential case by as securities attorney, please contact Silver Law Group.

Broker Lee Robert Donais Subject Of $200K Dispute

June 21, 2018 | Silver Law Group

Lee Robert Donais (CRD #2347440) was a registered broker with SCF Securities, Inc. (CRD #47275) of Lighthouse Point, FL, since 2012 through May 2018. His previous employers include Brookstone Securities, Inc. (CRD #13366), brokersXpress LLC (CRD #127081, now defunct), and LPL Financial Corporation (CRD #6413), also of Lighthouse Point, Florida. Donais has been in the industry since 1993.

On 4/17/2018 a client filed a complaint against Donais alleging “unsuitable investment recommendations,” and has requested damages of $200,000. This dispute is currently pending.

Donais has two employment separations. The first, from brokersXpress on 5/10/12, was due to Donais signing a customer’s name to a form for an IRA withdrawal. The customer, he claimed, requested Donais’ signature on the form because he was on travel and didn’t have access to a fax machine or other equipment to submit his own signature. Since the customer was enroute to a property closing in North Carolina, the transaction was necessary for the anticipated closing on May 10, 2012. When contacted by a company representative inquiring about the signature, he admitted signing the form at the customer’s request.

Broker David Schmerber Subject of Customer Dispute

June 21, 2018 | Silver Law Group

David Schmerber (CRD #2093918) is a currently registered broker and investment advisor with Cetera Advisors of Centerville, OH. He has been in the industry since 1990. His previous employers include:

LPL Financial LLC (CRD #6413)
Smith Barney Inc. (CRD #7059)