A National Securities Arbitration & Investment Fraud Law Firm
Paul A. Falcon
CRD# 2464566
Silver Law Group is reviewing customer complaints against Boca Raton office of Aegis Capital Corp. broker Paul A. Falcon that alleges he exercised unauthorized trading in client brokerage accounts, provided unsuitable investment recommendations and engaged in excessive trading
Daniel H Morris
(CRD#1046760)
Silver Law Group is reviewing former Connecticut-based Oppenheimer & Co broker Daniel H Morris after a customer filed a $900,000 FINRA arbitration against him.
Silver Law Group is investigating former Melbourne, FL-Morgan Stanley (CRD#149777) broker Anthony J. Verzi (CRD# 1186572) after FINRA permanently barred Verzi for refusing to appear for an on the record testimony related to an investigation into unsuitable trading.
According to Verzi’s FINRA BrokerCheck report, a customer filed a FINRA arbitration in December 2016 alleging unsuitable unit investment trusts who’s only purpose was to generate commissions for the broker. This complaint led to a FINRA investigation in which he failed to appear for on-the-record testimony, at which time FINRA permanently barred him.
Morgan Stanley (CRD#149777) employed Verzi as a broker dealer from June 2009 until August 2016. Verzi operated out of Morgan Stanley’s Melbourne, Florida branch.
Silver Law Group is investigating former Memphis, Tennessee-based Wunderlich Securities Inc. (CRD#2543) broker David K. Mallett (CRD#5145838) over allegations that Mallett excessively traded customers’ accounts and made unsuitable recommendations.
According to Mallett’s FINRA BrokerCheck report, a customer filed a complaint in October of 2016 against Mallett alleging churning in the customer’s account and further that he made unsuitable recommendations. Further, the customer alleges that Mallett’s employing firm, Wunderlich Securities (CRD#2543), failed to supervise Mallett.
Wunderlich has employed Mallett from June 2016 to present day at its Memphis.
Silver Law Group has filed a complaint on behalf of a family group of investors against Morgan Stanley (CRD# 149777) and financial advisor Angel E. Aquino-Velez (CRD# 2687333) for unsuitable recommendations and concentration of client accounts in Puerto Rico municipal bonds. The allegations against Morgan Stanley and Aquino include unsuitable investment recommendations, failure to diversify, breach of fiduciary duty, and failure to supervise.
Claimants all had accounts with Morgan Stanley managed by Aquino. With a risk profile of conservative to moderate risk and investment goals of retirement, the statement of claim alleges that Aquino concentrated the accounts in Puerto Rico municipal bonds.
The Claimants placed their trust in the hands of their financial advisor hoping to achieve their financial goals but instead Aquino pushed the investments in Puerto Rico debt misrepresenting the risks associated with the bonds. This left the claimants overexposed to the risks of the Puerto Rican economy which was known to be in financial difficulty at the time. With the downgrade and subsequent default by Puerto Rico on its debt the Claimants suffered extensive losses due to the strategy.
Silver Law Group is investigating former Texas-based Rhodes Securities, Inc. (CRD# 19610) broker Christopher P. Anthony (CRD# 1157930) after a customer filed a $2 million FINRA arbitration against him.
According to Anthony’s FINRA BrokerCheck report, a customer filed a FINRA arbitration complaint in January 2017 against Anthony alleging breach of fiduciary duty, negligence, breach of contract and damages in the amount of $2 million.
Another customer dispute was filed in August 2016 alleging unsuitable investments, churning, failure to supervise between the early 2014 to Spring 2015. The complaint alleges $100,000.00 in damages.
Silver Law Group is investigating former Michigan-based Transamerica Financial Advisors, Inc. (CRD# 16164) broker Harry C. Bennett (CRD# 2395555) after FINRA permanently barred the broker in connection with an investigation alleging excessive commissions and unsuitability.
According to Bennett’s FINRA BrokerCheck report, FINRA permanently barred Bennett from selling securities to the public in November 2016. FINRA barred Bennett when, according to his BrokerCheck report, Bennett failed to appear for on-the-record testimony requested by FINRA in connection with an investigation involving allegations that he may have engaged in sales practice violations by charging excessive commissions and recommending unsuitable transactions to his customers.
FINRA’s findings state that Bennett’s refusal to appear for the on-record testimony prevented FINRA from reaching a determination as to whether the alleged unsuitable recommendations and excessive commission charges violations occurred.
Silver Law Group is investigating former Plano, Texas-based VSR Financial Services, Inc. (CRD# 14503) broker John H. Towers (CRD# 700221) due to an extraordinarily high amount of FINRA BrokerCheck disclosures alleging unsuitable recommendations and negligence.
According to John H. Towers FINRA BrokerCheck report, Towers has 46 misconduct disclosures, most of which are FINRA arbitrations. All the FINRA arbitrations allege that Towers recommended unsuitable investments and many allege overconcentration, and all but five of the disclosures have come in the last five years.
This is an extraordinary amount of FINRA BrokerCheck disclosures. While one or two complaints over a long period of time in the industry is not unheard of, the complaints Towers has amassed over a short period of time is concerning. Out of the 46, 42 are FINRA arbitrations and 35 of those have settled.
Silver Law Group is investigating former Clearwater, Florida broker Dennis M. Merritt (CRD# 1748115) after FINRA suspended him for four months and his employing firm terminated him for alleged unsuitable recommendations among other things.
In March 2016, FINRA and Merritt entered into an order accepting offer of settlement (the “Order”). The Order accepted the punishment without admitting or denying the allegations in the Complaint.
The Complaint alleged that Merritt invested a total of $115,000 in a speculative investment without providing written notice to his member firm prior to participating in the private securities transactions.
Former Dakota Securities International (“Dakota”) broker Christopher R. Mcnamee (CRD# 4271195) is under investigation for recommending unsuitable investments to his customers.
The Financial Industry Regulatory Authority (“FINRA”) arbitration complaint, according to Mcnamee’s FINRA BrokerCheck report, alleges damages in the amount of $1 million. Aside from unsuitable recommendations, the FINRA arbitration complaint alleges the use of excessive margin.
Mcnamee has an additional BrokerCheck report disclosure alleging unsuitable investment recommendations as well. The dispute was settled in March 2015 for $50,000.
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