Securities Arbitration Lawyers Blog

Church Loses $135,000 Due to Alleged Bad Advice From Broker Betsy Marcom

August 4, 2016 | Silver Law Group

Church Loses $135,000 Due to Alleged Bad Advice From Broker Betsy Marcom on silverlaw.com

Broker fined $15,000 and suspended for four months as a result of FINRA investigation

After having damages granted against her in the amount of $135,000 by a customer questioning the suitability of her investments in December 2012, Texas financial advisor Betsy B. Marcom (previously known as Betsy Bratton Perryman) is once again under scrutiny by FINRA.

In a disciplinary action dated November 19, 2015, the Next Financial Group, Inc. financial advisor, Betsy Marcom, accepted and consented (without admitting or denying the findings) to the entry of FINRA findings that stated:

Michigan-based Firm and Licensed Broker Pocket $11.4 Million in Commissions

August 4, 2016 | Silver Law Group

Michigan-based Firm and Licensed Broker Pocket $11.4 Million in Commissions on silverlaw.com

Alleged misrepresentation of REITs and BDCs by Purshe Kaplan Sterling Investments and Gopi Vungarala to their client, a Native American Tribe, lead to exorbitant commissions to the detriment of the tribe

Purshe Kaplan Sterling Investments and their licensed broker Gopi Vungarala have been named respondents in an FINRA compliant that alleges numerous violations of the securities commission.

A registered and licensed broker for eleven years, Gopi Vungarala is under investigation for repeatedly lying about investments and commissions to his client, a Native American Tribe, for more than three years. According to his BrokerCheck report, Vungarala, as the tribes registered representative and treasury investment manager, convinced his client to invest hundreds of millions of dollars in non-traded REITs and business development companies without revealing that he and his firm received commissions on the sales or that these sales were eligible for volume discounts. Instead, it is alleged that Vungarala kept those discounts in the form of commissions for himself and the firm.

Cryptocurrency Exchange Bitfinex Suspends Its Operations

August 3, 2016 | Silver Law Group

Just two months after being sanctioned by the U.S. Commodity Futures Trading Commission (CFTC), Hong Kong-based cryptocurrency exchange Bitfinex — one of the largest Bitcoin exchanges in the world — has now halted all its Bitcoin trading operations until further notice, claiming it has suffered a security breach. According to published reports, the alleged security breach involved the theft of $65 million worth of Bitcoin from Bitfinex users. News of the alleged theft has caused the price of Bitcoin to plummet worldwide by more than twenty percent.

In June 2016, the CFTC issued an Order sanctioning Bitfinex for offering illegal off-exchange financed retail commodity transactions in Bitcoin and other cryptocurrencies. In addition, the Order cited Bitfinex as having failed to register with the CFTC before engaging in any commodity transactions. The Order required Bitfinex to pay a $75,000 civil monetary penalty and to cease and desist from future such violations.

According to the CFTC, Bitfinex permitted its users to borrow funds from other users on the platform so they could trade Bitcoins on a leveraged, margined, or financed basis. However, the CFTC alleged that Bitfinex did not actually deliver those Bitcoins to the traders who purchased them and instead held the Bitcoins in deposit wallets that Bitfinex itself owned and controlled.

Paul Steffany Barred After Allegations of Forgery and Conversion

August 2, 2016 | Silver Law Group

Paul Steffany Barred After Allegations of Forgery and Conversion on silverlaw.com

Seasoned broker permanently barred from all securities activity after allegations of conversion and forgery

The Financial Industry Regulatory Authority (FINRA) took action against Raymond James stockbroker Paul Steffany in October of 2015, after allegations surfaced that he illegally converted funds as executor of a client’s trust and forged signatures on checks that were made payable to the individual’s estate. Steffany is permanently barred from all future FINRA activity after consenting to the FINRA findings.

FINRA reports indicate that Paul Steffany acted as the executor and trustee of the estate of a customer from his registered firm, Raymond James. This estate was established for the benefit of the customer’s son and grandchildren. During the time he served in this capacity, he allegedly paid himself $193,900 for his role as trustee between 2007-2014. The FINRA found that a minimum of $112,742 of what converted was excessive given the minimal time and effort devoted to this trust.

New York Broker Gregory Flemming Suspended by FINRA

August 2, 2016 | Silver Law Group

New York Broker Gregory Flemming Suspended by FINRA on silverlaw.com

Long history of misconduct ends seventeen-year career

Gregory Flemming, Jr. has a troubled past when it comes to his career in the securities industry. In addition to allegations of failing to disclose tax warrants, a tax lien and a judgment on his U4 (required industry documentation), he has also been accused of negligent misrepresentation, unsuitable private placement and failure to follow instructions to enter a stop loss order, the culmination of which is a permanent suspension from the industry.

Flemming has also been the subject of criminal charges, including one guilty charge for reckless endangerment in the first degree and another for criminal impersonation, disorderly conduct and aggravated unlicensed operator.

Barbara Fife Barred from Securities Industry After Two Decades

August 1, 2016 | Silver Law Group

Allegations concerning customer funds lead to permanent FINRA bar

Barbara Fife consented to the sanction that she failed to provide documents and information requested by FINRA during an investigation into accusations that she converted funds from a customer.

In October of 2015, a client reported that she wrote checks directly to Fife and that the funds were never invested or deposited into the the customer’s accounts. Damages in the amount of $257, 5000 were awarded to the client.

Liam O’Keefe, Fraud Advisors Investigation

August 1, 2016 | Silver Law Group

Liam O’Keefe, Fraud Advisors Investigation on silverlaw.com

FINRA has barred Liam Gerald O’Keefee alleging unauthorized trading, misappropriation of funds, and unsuitable recommendations.

As of October 20, 2015, Liam Gerald O’Keefee has been permanently barred by FINRA. O’Keefee consented to the sanctions and to the findings that he did not provide the information and documents requested by FINRA.

During his 16 years in the securities industry, O’Keefee was most recently employed with Triad Advisors in Danbury, Connecticut from April to October, 2015. For the seven years preceding that, he worked at Merrill Lynch, Pierce, Fenner & Smith in Southbury, Connecticut. He was also employed by Wachovia Securities, Prudential Securities, and Oppenheimer and Company.

In June 2016, FINRA Bars Registered Individuals for Failure to Comply with FINRA Rules

July 29, 2016 | Silver Law Group

According to FINRA Disciplinary actions for June 2016, the following individuals were barred 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
Vladimir Belyaev	Avenir Financial Group
Vladimir Belyaev	Coastal Equities, Inc.
Ho Choong Chung	J.P. Morgan Securities LLC
Ho Choong Chung	Key Investment Services LLC
Anthony S. Curcio	J.P. Morgan Clearing Corp.
George Jay Dobbins	Edward D. Jones & Co., L.P.
George Jay Dobbins	Royal Alliance Associates, Inc.
William Lee Hutchinson	IFS Securities
William Lee Hutchinson	J.P. Turner & Company, LLC
Daniel Seunghun Lee	NYLife Securities LLC
Janice Jean Ling
Charles Little	PFS Investments Inc.
Charles Holman Phelps	Allstate Financial Services, LLC
Charles Holman Phelps	Edward Jones
Michael Taylor Shuttlesworth	Crown Capital Securities, L.P.
Michael Taylor Shuttlesworth	LPL Financial Corporation
Mark Francis Speakman	Ameriprise Financial Services, Inc.
Mark Francis Speakman	IDS Life Insurance Company
Christopher George Taylor	Purshe Kaplan Sterling Investments
Christopher George Taylor	Cambridge Investment Research, Inc.
Sheena Anne Toney	J.P. Morgan Securities LLC
Sheena Anne Toney	Chase Investment Services Corp.

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.

Registered Individuals Suspended by FINRA in June 2016 for Failing to Comply with FINRA Rules

July 29, 2016 | Silver Law Group

According to FINRA Disciplinary actions for June 2016, the following individuals were suspended from FINRA for failing to comply with a FINRA arbitration award or settlement agreement pursuant to FINRA rules:

NAME	FORMER EMPLOYERS
Barry Boyd Blount, Sr.	Insight Advisors, LLC
	Ameriprise Financial Services, Inc.
Joseph Michael Carrino, Jr.	Brookstone Securities, Inc.
	National Securities Corporation
Victor Rosario Cassone	J.P. Turner & Company, LLC
	Pacific West Securities, Inc.
John F. Gannon	Morgan Stanley
	Merrill Lynch, Pierce, Fenner & Smith Inc.
Christopher Clarence Kennedy	Oppenheimer & Co. Inc.
	Liberty Tree Advisors, LLC
William Francis Lex	Dinosaur Securities, LLC
	McGinn, Smith & Co., Inc.
Lewis Joseph Lucarine	State Farm VP Management Corp
	Morgan Stanley Smith Barney
Brian Joseph Merrigan	Wells Fargo Advisors, LLC
	BancWest Investment Services, Inc.
Nicholas McCauley Messore	LPL Financail LLC
	Morgan Stanley
James Marvin Mitchell	CBS Advisors LLC
	Community Bankers Securities, LLC
David Harold Noe	GunnAllen Financial, Inc.
	Birchtree Financial Services, Inc.
Edward Painter	UBS Financial Services Inc.
	Citigroup Global Markets Inc.
Carrie Riley	Merrill Lynch, Pierce, Fenner & Smith Inc.
	Morgan Stanley
Joseph Richard Rizzo, Jr.	Ameriprise Financial Services, Inc.
	Securities America, Inc.
David Aaron Seigerman	Janney Montgomery Scott LLC
	Morgan Stanley
William Victor Siegel	Morgan Stanley
	Morgan Stanley & Co. Inc.
Steven Craig Spitts	Wells Fargo Advisors, LLC
	Dean Witter Reynolds Inc.
Jeff David Snyder	Network 1 Financial Securities Inc.
	Rockwell Global Capital LLC
Carey Charles Stevens	Ridgeway & Conger, Inc.
	KCD Financial, Inc.
Gary Lee Wright	Pensionmark Financial Group, LLC
	Robert W. Baird & Co. Inc.

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.

FINRA Suspends Registered Individuals in June 2016 for Violations of FINRA Rules

July 29, 2016 | Silver Law Group

According to FINRA Disciplinary actions for June 2016, 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
Aaron Carter Armstrong	NYLife Securities LLC
Kora L. Crowder	Merrill Lynch, Pierce, Fenner & Smith Inc.
Wensi Guzman	Transamerica Financial Advisors, Inc.
Wensi Guzman	World Group Securities, Inc.
Demitrios Hallas	PHX Financial, Inc.
Demitrios Hallas	Forefront Capital Markets LLC
James Harrington	State Farm VP Management Corp.
Don Richard Iley	Transamerica Financial Advisors, Inc.
Don Richard Iley	World Group Securities, Inc.
Johnathan J. Joyce	PNC Investments
Johnathan J. Joyce	Merrill Lynch, Pierce, Fenner & Smith Inc.
Elias Nicholas Katsis	Legend Securities, Inc.
Elias Nicholas Katsis	Tryco Securities, Inc.
Jaoshiang Luo	Columbus Advisory Group, Ltd.
Jaoshiang Luo	Clark Dodge & Co, Inc.
Rafael Santiago	Primary Capital, LLC
Rafael Santiago	COR Clearing LLC
Jennifer A. Smith
Jonathon William Sullivan	U.S. Bancorp Investments, Inc.
Barbara Jean Waters	Morgan Stanley
Barbara Jean Waters	Citigroup Global Markets Inc.
Michael David Woodard	Andrews Partners
Michael David Woodard	1792 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.