Securities Arbitration Lawyers Blog

FINRA Permanently Bars Former Janney Montgomery Scott, LLC Broker David Aaron Seigerman

August 31, 2017 | Silver Law Group

Failure to respond to regulatory agency requests ends the securities industry career of this New Jersey-based broker

According to the Financial Industry Regulatory Authority (FINRA), David Aaron Seigerman failed to respond to the agency’s requests for information concerning his compliance with arbitration awards or settlement agreements with his customers.

In two separate complaints, Seigerman’s customers filed claims against the broker for allegedly executing unauthorized transactions within their accounts, failing to follow instructions, and breach of fiduciary duty. Allegations against Seigerman also include “selling away,” which is when a broker recommends outside investments that are not authorized by his member firm.

Former Alexander Capital, L.P. Broker Peyton Nelson Jackson is No Longer Registered in the Securities Industry

August 31, 2017 | Silver Law Group

The New York-based broker is under investigation for alleged unsuitability, negligence, and financial fraud, among numerous other charges.

During the course of a Financial Industry Regulatory Authority (FINRA) investigation into his potential misconduct as a securities broker, Peyton Nelson Jackson reportedly failed to provide information to the regulatory agency. The investigation was prompted by allegations made by several former customers who complained that Jackson and his former member firms violated numerous industry rules. While this investigation continues, Jackson’s status is considered “Previously Registered,” which means he is not currently licensed to act as a broker or investment adviser.

According to his FINRA BrokerCheck report, Jackson’s 25-year career included 15 disclosures (a disclosure includes any customer complaints or arbitrations, regulatory actions, employment terminations, bankruptcy filings, or any civil or criminal proceedings in which the broker was involved), including two regulatory actions. In May 2016, Jackson was suspended in all capacities from the securities industry for a period of six months and was fined $20,000 for allegedly failing to disclose that he performed business outside his member firm’s knowledge.

Former Colorado LPL Broker Sonya Camarco Charged with Stealing Client Funds

August 25, 2017 | Silver Law Group

Sonya Camarco (CRD #2427529), a longtime Colorado Springs resident and former Broker with LPL Financial LLC (CRD #6413) is the target of a SEC asset freeze request.

The SEC complaint alleges Camarco, over the past 13 years, systematically stolen money from her client’s investment accounts. The SEC alleges that Sonya Camarco forged client signatures on checks made out to “C Investments” a fictitious investment firm that Camarco controlled. When confronted by her clients, Camarco explained that “C Investments” was an outside investment that she made on their behalf.

When Camarco’s employer became aware of the alleged fraud, Camarco suggested that “C Investments” was an outside client investment that she had no affiliation with. Using a private PO Box, Camarco sent forged client checks to herself and then use the ill-gotten funds to pay personal bills and mortgages.

New Jersey Broker Richard Grant Cody May Be Facing Serious Penalties

August 16, 2017 | Silver Law Group

The Spring Lake broker has been involved in numerous customer disputes and could receive sanctions from both FINRA and the SEC

Richard Grant Cody has been a broker for 18 years, during which time 16 customer disputes have been levied against him. As a result of the most recent claims, he is also currently being investigated by the Financial Industry Regulatory Authority (FINRA) and the Securities and Exchange Commission (SEC).

The numerous charges against Cody include misrepresentation, unauthorized trading, and even theft. But one of the most egregious allegations concerns some of his former retired clients. In late 2016, the SEC filed a complaint against Cody in a Boston federal court alleging that he defrauded at least three clients over several years.

FINRA Hands Down Fine and Suspension to John Patrick Wheeler

August 14, 2017 | Silver Law Group

The Clearwater, FL broker reportedly failed to disclose his Power of Attorney over an elderly customer

For a decade, John Patrick Wheeler reportedly acted as Power of Attorney for an elderly client. In that time, he is reported to have received over $7,000 for his services, obtained via checks he wrote against the client’s checking account. And because the Financial Industry Regulatory Authority (FINRA) states he didn’t tell his firm about this, a couple of things happened.

First, in June of 2015, Wheeler was fired from his job at Raymond James Financial Services, Inc. His reported actions – which included writing a check to himself after the client died – were clear violations of firm policy.

Elder Fraud Allegations End 16-year Career of James Robert Schaedler, Jr.

August 4, 2017 | Silver Law Group

Elder Fraud Allegations End 16-year Career of James Robert Schaedler, Jr. on elderfinancialfraudattorneys.com

Former Wells Fargo Clearing Services, LLC broker is barred by FINRA

Following a 16-year career in the financial advisory and securities industry, former Wells Fargo Clearing Services LLC broker James Schaedler, Jr has now been barred by the Financial Industry Regulatory Authority (FINRA) from acting as a broker or otherwise associating with firms that sell securities to the public.

In January 2017, Wells Fargo Clearing Services, LLC discharged Schaedler after allegations that his daughter received funds via check from a client. It was determined by Wells Fargo that Schaedler himself actually received the majority of those funds.

Federal Employee Benefit Counselors Targeted Federal Government Employee Retirement Plan Participants With Variable Annuities Scheme.

August 2, 2017 | Silver Law Group

Silver Law Group and The Law Firm of David Chase are reviewing potential claims of fraudulent inducement of federal employees into purchasing high fee paying variable annuity products by LPL Financial LLC (CRD#6413) affiliated brokers Brandon Long (CRD# 5975459) , Christopher S Laws (CRD#4479529) , Johnathan Dax Cooke (CRD#5365691) and Danny Scott Hood (CRD#3236852).

Variable annuities (“VAs”) are highly-complex financial products. According to FINRA, a good way to think of a VA is as a cross between an insurance product and an investment product.

Like other annuities, a VA is a contract between the investor and an insurance company. The investor pays the insurer a single payment or a series of payments called premiums. In exchange for those premiums, the insurer promises to make periodic payments to you either immediately or at some point in the future.

Complaint Filed against Morgan Stanley based on Puerto Rico Municipal Bonds

July 26, 2017 | Silver Law Group

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.

Ethical Financial Advisors Can Help Clients Avoid or Spot Fraud, Says the North American Securities Administrators Association (NASAA)

July 10, 2017 | Silver Law Group

Some estimates suggest American seniors lose nearly $40 billion a year due to elder financial fraud

According to a 2015 report from the retirement planning site True Link, American senior citizens lose an estimated $35.6 billion each year from investment scams and other fraudulent financial schemes. Despite the role that shady financial advisors play in many cases of elder fraud, ethical advisors may be the people best equipped to determine when financial fraud has been perpetrated on one of their elderly clients by another individual.

The idea that brokers can act as a shield against elder fraud isn’t just an fuzzy concept: according the North American Securities Administrators Association (NASAA), brokers and financial advisors report more than 2,300 cases of elder fraud each year. Considering the fact that many elderly individuals may not possess a high degree of financial literacy (in addition to issues with cognitive decline, such as dementia-related confusion or memory loss) brokers and advisors are in a perfect position to identify financial inconsistencies in accounts, such as large, unexpected withdrawals or a series of small, suspicious ones.

FINRA Suspends Registered Individuals in June 2017 for Violations of FINRA Rules

July 7, 2017 | Silver Law Group

According to FINRA Disciplinary actions for June 2017, the following individuals were suspended from FINRA and cannot currently work for a FINRA brokerage firm for failing to provide FINRA with information it requested or to keep information current with FINRA pursuant to FINRA rules:

NAME	FORMER EMPLOYERS
Devin Barkley	MetLife Investors Distribution Company
Devin Barkley	MetLife Securities, Inc.
Alonza Barnett Jr.	Ameritas Investment Corp.
Alonza Barnett Jr.
Wilbert Norman Belizaire Jr.
Amalia Bocanegra
Christopher Canale
Daniel P. Capeless	FBR Capital Markets & Co.
Juliana Castaneda
Nenita Blas Causing	Transamerica Financial Advisors, Inc.
Nenita Blas Causing	World Group Securities, Inc.
Andrey Chekalin	Eagle Strategies LLC
Andrey Chekalin	NYLife Securities, LLC
Wilson Chung	JP Morgan Securities LLC
Kenneth Paul Collins Jr.	Union Capital Company
Kenneth Paul Collins Jr.	Money Concepts Capital Corp
Thomas Eric Constable	ADP Broker-Dealer, Inc.
Sebastian Joshua Dimond	Vanguard Marketing Corporation
Sebastian Joshua Dimond	JP Morgan Chase
Edwin Waite Duguie Jr.
John Charles Epting Jr.	Transamerica Financial Advisors, Inc.
John Charles Epting Jr.	World Group Securities, Inc.
Jeffrey Edward Ermi	Wells Fargo Advisors, LLC
Jeffrey Edward Ermi	Wachovia Securities, LLC
Arsola Feransou
Felicia Anne Figueroa
Nicholas C. Gallo	Cova Capital Partners LLC
Nicholas C. Gallo	Legend Securities, Inc.
David Monroe Hawkes	Transamerica Financial Advisors, Inc.
David Monroe Hawkes	World Group Securities, Inc.
Christopher Lowell Jackson	Allstate Financial Services, LLC
Jamar Darcel Jenkins	Wells Fargo Advisors, LLC
Richard Michael Jones	NYLife Securities LLC
Tika Justice
Leslie Ann Kaplan	HSBC Securities (USA) Inc.
Leslie Ann Kaplan	Transamerica Financial Advisors, Inc.
Sean David Kaplan	Merrill Lynch, Pierce, Fenner & Smith Inc.
Sean David Kaplan	Comprehensive Asset Management and Servicing
Jeffrey Timothy Kluge	Merrill Lynch, Pierce, Fenner & Smith Inc.
John Bradford Leonard	Wells Fargo Advisors
John Bradford Leonard	Wachovia Securities, LLC
Jonathan Ryan Levano	JP Morgan Securities, LLC.
Cameron Blake Lovitt	Edward Jones
Christopher Russell McNamee	Dakota Securities International, Inc.
Christopher Russell McNamee	Sterling Financial Investment Group, Inc.
Melanie Ann Melton	Allstate Financial Services, LLC
Nicholas Henry Millas
Rachel Marie Millyard	Infinex Investments, Inc.
Rachel Marie Millyard	Essex National Securities, LLC
Shayne Arlington Nelson	JP Morgan Securities LLC
David Ng	Merrill Lynch, Pierce, Fenner & Smith Inc.
David Ng	Wells Fargo Securities, LLC
Darian Curtis Norris	Wells Fargo Advisors, LLC
Darian Curtis Norris	Northwestern Mutual Investment Services, LLC
Patrick John O’Brien	Transamerica Financial Advisors, Inc.
Patrick John O’Brien	World Group Securities, Inc.
Vivien Li Ching Ong	JP Morgan Securities LLC
Robert A. Perconte	Summit Brokerage Services, Inc.
Robert A. Perconte	Ameriprise Financial Services, Inc.
Edward Daniel Prudencio	BBVA Securities Inc.
Edward Daniel Prudencio	JP Morgan Securities LLC
Raymond Jesus Rodriguez
William Edward Roe	Park Avenue Securities LLC
William Edward Roe	Crowell, Weedon & Co.
Donald John Saccomano	Source Capital Group, Inc.
Donald John Saccomano	Janney Montgomery Scott LLC
Nicholas Adel Somo	JP Morgan Securities LLC
Michael Allen Sparks	JJB Hilliard, WL Lyons LLC
Michael Allen Sparks	DMG Securities, Inc.
Jennifer Anne Spencer	Fidelity Brokerage Services LLC
Jennifer Anne Spencer	TIAA-CREF Individual & Institutional Services, LLC
Alec Michael Tracy	JP Morgan Securities LLC
Alec Michael Tracy	MMC Securities Corp.
Justin Martin West	JP Morgan Securities LLC

Silver Law Group represents investors in securities and investment fraud cases through FINRA arbitration or court. Our lawyers are admitted to practice in New York and Florida and represent investors nationwide in securities arbitration 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 handled on a contingent fee basis meaning that you do not pay legal fees unless we are successful.