Tag: Bad Investment Losses

FINRA Issues New Investor Alert, E-Cigarette Stock Scams: New Smoking Technology Could Light Up Pump-and-Dump Fraud

Posted by finralawyer on November 14, 2017 with 0 Comment

The Financial Industry Regulatory Authority (FINRA) issued a new Investor Alert called E-Cigarette Stock Scams: New Smoking Technology Could Light Up Pump-and-Dump Fraud cautioning investors against “pump and dump” fraud and offering tips to avoid being victimized.

FINRA has warned investors that while it is possible that E-Cigarettes could lead to promising investment opportunities, they could also give rise to “pump and dump” scams. FINRA is concerned that fraudsters may induce investors into purchasing stock through aggressive stock promotion activities which may ultimately result in a classic “pump and dump” fraud. FINRA has advised that the “pump and dump” scam begins when investors are lured into making investments as a result of aggressive and optimistic statements about the business. The promotion intended to create demand for the company’s shares. Then, once the share price and volume increase, the fraudsters behind the scam sell off their shares at a profit and stop promoting the stock. This in turn causes the price of the stock to fall and leaves the unsuspecting investors with worthless, or near-worthless, stock.

FINRA has provided eight (8) tips to assist would-be investors from being victimized by a potential e-cigarette stock scam.

Be skeptical of social media and promotional materials provided by unknown senders, especially if the information is always positive, similar and contains no mention of risk.
• Research the company before investing.
• Research where the stock trades.
• Research the company’s SEC filings.
• Be wary of reverse merger activity.
• Be wary of claims of being the next big thing.
• Be wary of companies that often change their name or business focus.
• Carefully read the disclosure statements.

If you and have suffered investment losses, please contact the Hanley Law to explore your legal options. The Hanley Law is dedicated to helping investors who have been victims of securities fraud. If you have lost money as a result of securities fraud, you may be able to recover your financial losses. Contact us today toll free at (239) 649-0050 for a free initial consultation.

Hanley Law Investigating Claims Involving Douglas West and Wells Fargo Advisors, LLC

Posted by finralawyer on November 14, 2017 with 0 Comment

Hanley Law is currently investigating claims against Douglas West (CRD No.: 724774) and Wells Fargo Advisors, LLC (CRD No. 19616). The Hanley Law recently filed a FINRA Arbitration claim on behalf of a Claimant in which it was alleged that registered representative Douglas West made unsuitable recommendations to Claimant to purchase investments heavily weighted in the real estate sector. In fact, the majority of Claimant’s retirement portfolio was allocated to equities or equity funds including:

Alpine Total Dynamic Dividend Fund
• American Capital Ltd.
• American Home Mortgage Investment Corp.
• Cohen & Steers Premium Income Realty Fund, Inc.
• Cohen & Steers REIT & Preferred Income Fund, Inc.
• Health Care REIT, Inc.
• ING Clarion Global Real Estate Income Fund
• Kohlberg Capital Corp.
• MLP & Strategic Equity Fund, Inc.
• PIMCO High Income Fund
• TEPPC Partners UT, LP

Claimant alleges that as a result of Wells Fargo Advisors over allocation of his portfolio into equity investments and the real estate sector that Claimant’s IRA account suffered devastating losses from 2007 through the present. Claimant alleges that his investment losses are the direct result of Wells Fargo Advisors’ failure to adhere to their own asset allocation models. Claimant alleges that due to the misconduct of Douglas West and Wells Fargo Advisors, Claimant has suffered out-of-pocket losses for which he seeks a recovery.

Claimant has alleged that Respondent Wells Fargo Advisors is liable for common law fraud; breach of fiduciary duty; breach of contract; breach of the implied covenant of good faith and fair dealing; and negligence. Claimant has alleged that Wells Fargo Advisors breached FINRA rules, including but not limited to, FINRA rule 2111, 2110 and 3010 which are the basis for and the standard of care for FINRA member firms and their associated persons. Claimant further alleged that Wells Fargo Advisors was negligent in the hiring, retention, and supervision of Douglas West.

If you were a client of Douglas West or Wells Fargo Advisors and have suffered investment losses, please contact the Hanley Law to explore your legal rights. The Hanley Law is dedicated to helping investors who have been victims of securities fraud. If you have lost money as a result of securities fraud, you may be able to recover your financial losses. Contact us today toll free at (239) 649-0050 for a free initial consultation.

Hanley Law Investigating Claims Involving Anthony Fisher and Morgan Stanley & Co. Inc.

Posted by finralawyer on November 14, 2017 with 0 Comment

Hanley Law is currently investigating claims against Anthony Fisher (CRD No.: 2428633) and Morgan Stanley & Co. Incorporated (CRD No. 8209). The Hanley Law recently filed FINRA Arbitration claims on behalf of Claimants in which it was alleged that Anthony Fisher made unsuitable and fraudulent recommendations to purchase the Tube Media Corp. and Cardiac Network, Inc. Claimants allege that Anthony Fisher never explained the dangers of the penny stocks. Moreover, Claimants alleged that Anthony Fisher knew or should have known that these stocks were extremely risky investments and penny stock frauds. Further, the Securities and Exchange Commission mandates penny stock disclosures be provided to Claimants. Claimants alleged that Morgan Stanley did not provide the proper disclosures and are thus liable for their material omission. Due to Morgan Stanley’s misconduct, Claimants allege they have suffered out-of-pocket losses for which they seek a recovery.
In the recently filed arbitration claims, the Claimants alleged that Morgan Stanley & Co. Inc. through its registered representative Anthony Fisher, violated industry rules, including but not limited to, FINRA’s customer suitability standard (Rule 2310) as well as FINRA rules 3010 and 2110 and that Morgan Stanley violated their duty of care and were negligent. Furthermore, it has been alleged that Morgan Stanley breached the contract that was entered into between Claimants and Morgan Stanley and Morgan Stanley also breached the fiduciary duty that a securities firm and its employees/agents owe to their clients. Lastly, it has been alleged that Morgan Stanley’s misconduct constitutes common law fraud and that the Claimants’ accounts at issue were handled negligently and Morgan Stanley & Co. Inc. was negligent in their hiring, retention, and supervision of their employees.
If you were a client of Anthony Fisher or Morgan Stanley & Co. Inc. and have suffered investment losses, please contact the Hanley Law to explore your legal rights. The Hanley Law is dedicated to helping investors who have been victims of securities fraud. If you have lost money as a result of securities fraud, you may be able to recover your financial losses. Contact us today toll free at (239) 649-0050 for a free initial consultation.

Hanley Law Investigating Claims Involving Jason Marshall and Wells Fargo Advisors, LLC

Posted by finralawyer on November 14, 2017 with 0 Comment

Hanley Law is currently investigating claims against Jason Marshall (CRD No.: 4012664) and Wells Fargo Advisors, LLC (CRD No.: 19616). The Hanley Law recently filed a FINRA Arbitration claim on behalf of a Claimant in which it was alleged that Jason Marshall made certain representations that were materially false, and that the Claimant relied on those false representations to his detriment. Furthermore, Claimant alleged that Wells Fargo Advisors omitted material facts in making investment recommendations to him. Claimant alleged that Wells Fargo Advisors, through their registered representative Jason Marshall, recommended an unsuitable investment strategy. Indeed, Claimant alleged that Wells Fargo Advisors and Jason Marshall recommended a 72(t) election with unsustainable monthly distributions. Additionally, Claimant alleged Marshall over-allocated his accounts to equity investments. It was further alleged that Wells Fargo Advisors ignored Claimant’s age and financial position in making the unsuitable investment recommendations. Claimant alleges that due to Wells Fargo Advisor’s misconduct, Claimant has suffered out-of-pocket losses for which he seeks a recovery.

FINRA Rule 3010 requires each member to establish and maintain a system to supervise the activities of each registered representative and associated person in order to achieve compliance with the securities laws, regulations, and FINRA rules. FINRA rule 3010 requires broker dealers to ensure that their associated persons adhere to FINRA’s suitability guidelines.

In the recently filed arbitration claim, the Claimant alleged that Wells Fargo Advisors, through its registered representative Jason Marshall, violated industry rules, including but not limited to, FINRA’s customer suitability standard (Rule 2310) as well as FINRA rules 3010 and 2110 and that Respondents violated their duty of care and were negligent. Furthermore, it has been alleged that Wells Fargo Advisors breached the contract that was entered into between Claimant and Wells Fargo Advisors and that Wells Fargo Advisors also breached the fiduciary duty that a securities firm and its employees/agents owe to their clients. Lastly, it has been alleged that Wells Fargo Advisor’s misconduct constitutes common law fraud and that the Claimant’s account was handled negligently, that Wells Fargo Advisors was negligent in their hiring, retention, and supervision of their employees.

If you were a client of Jason Marshall or Wells Fargo Advisors and have suffered investment losses, please contact the Hanley Law to explore your legal rights. The Hanley Law is dedicated to helping investors who have been victims of securities fraud. If you have lost money as a result of securities fraud, you may be able to recover your financial losses. Contact us today toll free at (239) 649-0050 for a free initial consultation.

Hanley Law Investigating Claims Involving Peter Bruno and Wall Street Money Center Corporation

Posted by finralawyer on November 14, 2017 with 0 Comment

Hanley Law is currently investigating claims against Peter Bruno (CRD No.: 1180960) and Wall Street Money Center Corporation (CRD No.: 21788). The Hanley Law recently filed FINRA Arbitration claims on behalf of Claimants in which it was alleged that Wall Street Money Center Corp. and Peter Bruno invested Claimants’ accounts unsuitably and further used a fee structure that was fraudulent. Furthermore, Claimants allege Bruno did not disclose to Claimants a fraudulent transaction fee. Indeed, it is alleged that Wall Street Money Center Corp. and Peter Bruno misinformed Claimants that they were passing on a clearing fee from their clearing firm Sterne Agee and Leach. It was further alleged that Wall Street Money Center Corp. and Peter Bruno failed to recommend and implement a suitable investment strategy for Claimants’ accounts in breach of their duty and obligations to Claimants under industry rules and regulations. Claimants allege that Respondent, Wall Street Money Center Corporation through their registered representative Peter Bruno, informed Claimants that they would meet their investment objectives. It has been alleged that Wall Street Money Center Corp. and Peter Bruno invested Claimants’ accounts contrary to their stated objectives and risk tolerance. Claimants allege that due to Wall Street Money Center Corp. and Peter Bruno’s misconduct, Claimants have suffered out-of-pocket losses for which they seek a recovery.
In the recently filed arbitration claims, the Claimants alleged that Respondent, Wall Street Money Center Corporation through its registered representative Peter Bruno, violated industry rules, including but not limited to, FINRA’s customer suitability standard (Rule 2310) as well as FINRA rules 3010 and 2110 and that Wall Street Money Center Corp. and Peter Bruno violated their duty of care and were negligent. Furthermore, it has been alleged that Wall Street Money Center Corp. and Peter Bruno breached the contract that was entered into between Claimants and Wall Street Money Center Corp. and Peter Bruno and that Wall Street Money Center Corp. and Peter Bruno also breached the fiduciary duty that a securities firm and its employees/agents owe to their clients. Lastly, it has been alleged that Wall Street Money Center Corp. and Peter Bruno’s misconduct constitutes common law fraud and that the Claimants’ accounts at issue were handled negligently and Wall Street Money Center Corporation was negligent in their hiring, retention, and supervision of their employees.
If you were a client of Peter Bruno or Wall Street Money Center Corporation and have suffered investment losses, please contact the Hanley Law to explore your legal rights. The Hanley Law is dedicated to helping investors who have been victims of securities fraud. If you have lost money as a result of securities fraud, you may be able to recover your financial losses. Contact us today toll free at (239) 649-0050 for a free initial consultation.