Category: Broker Investigations

HANLEY LAW INVESTIGATES MICHAEL EDWARD MAGILL OF BOCA RATON FLORIDA

According to the Financial Industry Regulatory Authority (“FINRA”) Michael Magill has been barred from the industry. (FINRA Case #2024663)

FINRA began an investigation into the sales practices of Michael Magill after it received a tip in 2019. FINRA Rule 3280 prohibits associated person from participating in private securities transactions unless the associated person first provides written notice to his member firm that describes in detail the proposed transaction, his role in the transaction, and whether he has received or may receive selling compensation in connection with the transaction. The practice of a broker selling an investment that is not approved by his member firm is called “selling away”. Rule 3280 defines a private securities transaction as “any securities transaction outside the regular course or scope of an associated person’s employment with a member.” Selling away violates FINRA Rule 3280.

In 2018 while registered with Foreside, Magill began working on behalf of a private issuer to find potential investors for a principal-protected note offered by the issuer. Magill contacted prospective investors, gave them marketing materials and information, and then asked them to view the issuer’s website to fill out the documents necessary to invest. Magill told the potential investors that this investment was only available for a short time and that it offered higher interest rates for immediate investments. FINRA alleged that Magill failed to conduct reasonable diligence to understand the features and risks of investing in the note. In February 2019, federal authorities shut down the private issuer’s offices. An executive of the private issuer and Magill’s supervisor at the private issuer both pled guilty to conspiracy to commit wire fraud and were sentenced to prison. Magill provided no written notice to his member firm, Foreside, and received no written approval to participate in the sale on behalf of the private issuer. This conduct is commonly referred to as selling away and Magill violated FINRA Rules 3280 and 2010.

Michael Edward Magill entered the securities industry in 1990. Michael Magill (CRD # 2024663) has been registered with the following firms:

Hibbard Brown & CO., Inc.
CRD # 468
New York, NY
05/18/1991- 11/16/1992

John Hancock Distributors, Inc.
CRD # 6390
Boston, MA
07/31/2009 – 02/15/2012

John Hancock Mutual Life Insurance Company
CRD # 5181
Boston, MA
05/18/1991-11/16/1992

Continental Capital Group, Inc.
CRD # 29823
06/02/1994-11/16/1994

Phoenix Securities, Inc.
CRD # 10507
San Rafael, CA
07/25/1995 – 01/04/1996

TCC Securities Corp.
CRD # 20842
01/26/1996-01/17/1997

Davis Distributors, LLC
CRD# 7975
Tucson, AZ
01/14/2000-01/05/2005

Davis Distributors, LLC
CRD# 7975
Tucson, AZ
01/14/2000-01/05/2005

Janus Distributors, LLC
CRD # 7975
Denver, CO
12/17/2004-12/21/2015

Crossroads Capital Distributors, LLC
CRD# 171776
Newport Beach, CA
08/31/2016-07/19/2017

Foreside Fund Services, LLC
CRD# 46106
Portland, ME
08/16/2017-01/24/2019

HANLEY LAW

Hanley law represents individual investors nationwide with significant losses in their portfolios, retirement plans or investment accounts. The firm is dedicated to assisting investors to recover losses suffered by unsuitability, selling away, over-concentration, fraud, misrepresentation, self-dealing, unauthorized trades or other wrongful acts, whether intentional or negligent. The firm handles cases against Wall Street broker dealers.

Let Hanley Law work for you. Call (239)877-4330 or contact the firm through our Website to arrange a free confidential consultation with an attorney to discuss your experiences with your stockbroker or financial advisor which resulted in investment losses.

HANLEY LAW INVESTIGATES INVESTMENT ADVISOR ROBERT HALLDIN OF FT. LAUDERDALE FLORIDA

 

According to the Financial Industry Regulatory Authority (“FINRA”) Robert Halldin has been barred from the industry. (FINRA Case #2017056119601).

FINRA alleged that their investigation originated from a review of a series of Form U5 amendments filed by American Portfolios Financial Services outlining the complaints and arbitrations filed against Halldin alleging that he traded securities in individuals’ brokerage accounts held outside of his member firm. As a result, FINRA sent Halldin a request for an on-the-record interview. Halldin acknowledged receipt of FINRA’s request, but refused to appear for an interview. Halldin consented to the sanction of a bar from associating with any FINRA member firm in any capacity.

Robert James Halldin entered the securities industry in 1986. Robert Halldin (CRD # 1458098) has been registered with the following firms:

American Portfolios Financial Services, Inc.
CRD # 18487
Newington, CT
02/28/2012 – 07/06/2017

Pacific West Securities, Inc.
CRD # 6390
Windsor, CT
07/31/2009 – 02/15/2012

Banc of America Investment Services, Inc.
CRD # 16361
West Hartford, CT
11/10/2005 – 08/03/2009

Bancnorth Investment Group, Inc.
CRD # 31299
St. Cloud, MN
01/01/2005-11/11/2005

Primevest Financial Services, Inc.
CRD # 15340
St. Clound, MN
03/04/2003 – 01/01/2005

National Planning Corporation
CRD # 29604
Los Angeles, CA
08/23/2000 – 03/06/2003

Webster Investment Services, Inc.
CRD # 46588
Kensington, CT
06/26/2000 – 08/28/2000

Mechanics Investment Services, Inc.
CRD # 42738
Hartford, CT
06/30/1997 – 06/23/2000

U.S. Clearing Corp.
CRD # 13071
Dallas, TX
12/12/1994 – 07/17/1997

Banca IMI Securities Corp.
CRD # 19418
New York, NY
04/30/1991 – 12/13/1994

Mabon, Nugent & Co.
CRD # 2617
06/13/1988 – 04/30/1991

ISFA Corporation
CRD # 12984
11/24/1987 – 06/14/1988

Dean Witter Reynolds
CRD # 7556
03/19/1986 – 11/20/1987

HANLEY LAW

Hanley law represents individual investors nationwide with significant losses in their portfolios, retirement plans or investment accounts. The firm is dedicated to assisting investors to recover losses suffered by unsuitability, over-concentration, fraud, misrepresentation, self-dealing, unauthorized trades or other wrongful acts, whether intentional or negligent. The firm handles cases against Wall Street broker dealers, including American Portfolios Financial Services, Inc.

Let Hanley Law work for you. Call (239)877-4330 or contact the firm through our Website to arrange a free confidential consultation with an attorney to discuss your experiences with your stockbroker or financial advisor which resulted in investment losses.

Hanley Law Investigates Transamerica Financial Advisors, Inc.’s of St. Petersburg, Florida

Transamerica Failed to Reasonably Supervise Representatives’ Variable Annuity Recommendations

Transamerica Financial Advisors, Inc. was recently censured and fined $4,400,000 and ordered to pay $4,354,160 in restitution to customers.  Transamerica consented to the findings that it failed to reasonably supervise its registered representatives’ variable annuity recommendations and made disclosures that contained materially inaccurate information or failed to disclose material information when making variable annuity recommendations. The Financial Industry Regulatory Authority (FINRA) Letter of Acceptance, Waiver and Consent’s (AWC) findings provided that the firm and its representatives received compensation from new variable annuity sales, trails and subsequent contributions in the form of commissions in excess of $591 million which made up more than 40 percent of the firm’s total revenue. FINRA found that from May 2010 to May 2016 Transamerica failed to reasonably supervise its representatives’ variable annuity recommendations. Importantly, the firm failed to detect that certain of its registered representatives made thousands of misstatements to customers in recommending variable annuity exchanges, understanding the benefits of the existing variable annuity and overstating the benefits of the new variable annuity.

Transamerica Failed to Reasonably Supervise Representatives’ Sale of Certain Mutual Funds and Failed to Reasonably Supervise Representatives’ 529 Share-class Recommendations.

FINRA also found that the firm failed to reasonably supervise representatives’ sale of certain mutual funds.  Transamerica relied on it registered representatives to determine the applicability of sales charge waivers to customers’ mutual fund purchases, but the firm did not provide guidance to the registered representatives to assist them in making the determination and failed to establish a system to confirm whether waivers were properly applied to the clients’ accounts.  Additionally, FINRA found that Transamerica failed to reasonably supervise representatives’ recommendations to customers to purchase particular share classes of 529 savings plans.  Transamerica failed to provide guidance to registered representatives about the importance of considering share-class differences when recommending 529 plans.  The firm did not provide supervisors with information necessary to properly evaluate the suitability of 529 share-class recommendations.

Transamerica Financial Advisors maintains its home office in St. Petersburg, Florida.  The firm currently has approximately 3,400 registered representatives and over 350 branch offices.  Transamerica Financial Advisors conducts general securities business with an emphasis in annuity and mutual fund products. (See, FINRA AWC No. 2015048250401.)

HANLEY LAW

Hanley law represents individual investors nationwide with significant losses in their portfolios, retirement plans or investment accounts.  Hanley Law is dedicated to assisting investors to recover losses suffered by unsuitability, over-concentration, fraud, misrepresentation, self-dealing, unauthorized trades or other wrongful acts, whether intentional or negligent.  Hanley Law represents clients nationwide in cases against the major Wall Street broker-dealers and has experience representing clients in claims to recover their losses related to unsuitable annuity sales.  If a Transamerica registered representative recommended an annuity to you, and you lost principal or a death benefit, contact Hanley Law today.

If you have suffered investment losses as a result of your broker’s or brokerage firm’s misconduct, contact Hanley Law to discuss your legal options. Contact Hanley Law at (239)877-4330 or contact us through our Website to arrange a free confidential consultation with an attorney to discuss your experiences with your stock broker which resulted in investment losses.

Hanley Law Investigates Sale of ARC New York City REIT

 

If you invested in the American Realty Capital “ARC” New York City REIT at the recommendation of your stock broker or financial advisor, and lost money as a result, you may have a FINRA Arbitration claim.  The ARC NYC REIT purports to have a dedicated strategy towards investing in New York City real estate with market expertise.  The ARC NYC REIT promotes its ability to capitalize on the positive traits that differentiate New York City and New York City’s workforce, which it claims outpaces that of any other city in the world.  The NYC REIT was marketed by stock brokers and financial advisors as a safe investment that has investment objectives of preservation and protection of capital and capital appreciation.  The ARC NYC REIT focused investment activities on acquiring quality, income-producing commercial real estate located in the five boroughs of New York City and, in particular, properties located in Manhattan. The ARC New York City REIT also purports to acquire real estate debt backed by quality, income-producing commercial real estate located predominantly in New York City.

In reality, the REIT was not well diversified and owned only between 6-8 properties.  The ARC NYC REIT had only a limited operating history which made future performance difficult to predict and in turn made the investment risky. The ARC NYC REIT ceased paying distributions on March 1, 2018.  The value of the shares has also declined substantially.  Investors who purchased the ARC NYC REIT at the recommendation of their stock broker or financial advisor have principal losses, failed distributions and limited to no liquidity.  Brokers and financial advisors received high commissions for selling ARC NYC REIT.  Hanley Law is conducting a nationwide investigation of any stock brokers or financial advisors who recommended an investment in ARC NYC REIT to his or her retail investor clients.

HANLEY LAW

Hanley law represents individual investors nationwide with significant losses in their portfolios, retirement plans or investment accounts.  Hanley Law is dedicated to assisting investors to recover losses suffered by unsuitability, over-concentration, fraud, misrepresentation, self-dealing, unauthorized trades or other wrongful acts, whether intentional or negligent.  Hanley Law represents clients nationwide in cases against the major Wall Street broker-dealers and has experience representing clients in claims to recover their losses related to REITs.

If you have suffered investment losses as a result of your broker’s or brokerage firm’s misconduct, contact Hanley Law to discuss your legal options. Contact Hanley Law at (239)877-4330 or contact us through our Website to arrange a free confidential consultation with an attorney to discuss your experiences with your stock broker which resulted in investment losses.

 

Hanley Law Files FINRA Arbitration Against Morgan Stanley Smith Barney

Hanley Law recently filed a FINRA arbitration claim alleging that Morgan Stanley (CRD No.: 149777) refused to distribute a deceased client’s IRA directly to her beneficiaries because Morgan Stanley determined that the beneficiary designation for the IRAs was invalid under applicable Treasury rulings.  The trustees to the estate allege that the new account form with the invalid beneficiary designation was prepared by Morgan Stanley and approved by Morgan Stanley’s compliance personnel over a decade earlier.  Claimants further allege that no one at Morgan Stanley raised any objection to the way the new account form was completed regarding the invalid beneficiary designations during the previous 13 years.  Claimants allege that the deceased client relied on Morgan Stanley to manage the funds in her IRA accounts, and also to assure that upon her death the funds would be distributed in accordance to her wishes.

Ultimately, the IRAs were distributed to the Estate because, as a result of the invalid beneficiary designation, the funds were payable to the Estate pursuant to the Internal Revenue Code and applicable Treasury rulings, and the Estate was forced to pay substantial taxes.  Claimants allege that unfortunately, because of the violation of the Internal Revenue Code by Morgan Stanley when completing and approving the client’s Individual Retirement Account Applications, the Estate was forced to pay substantial inheritance taxes.  Claimants allege that it is beyond unconscionable that Morgan Stanley raised the issue with the beneficiary designations on the Individual Retirement Account forms almost immediately upon request for the distribution of the accounts, but had remained silent during the 13 years after the client signed the form.  Claimants allege that Morgan Stanley had a duty to review and correct the Individual Retirement Account forms at the time the client opened her Morgan Stanley IRA accounts, and/or at some point thereafter prior to her death, and they failed to meet their obligation to their client which resulted in needless losses.

BROKER DEALERS MUST ACT IN THE CUSTOMER’S BEST INTERESTS

FINRA’s guidance to its members makes the members obligations to its customers unequivocal:  FINRA members must act in their customer’s best interests; not the best interest of the firm.

It is well-settled that a “broker’s recommendations must be consistent with his customer’s best interests” and are “not suitable merely because the customer acquiesces in [them].” Dane S. Faber, Securities Exchange Act Release No. 49216, 2004 SEC LEXIS 277, at *23-24 (February 10, 2004); see also Dep’t of Enforcement v. Bendetsen, No. C01020025, 2004 NASD Discip. LEXIS 13, at *12 (NAC August 9, 2004) (“[A] broker’s recommendations must serve his client’s best interests and the test for whether a broker’s recommendations are suitable is not whether the client acquiesced in them, but whether the broker’s recommendations were consistent with the client’s financial situation and needs”).  In the instant FINRA Arbitration claim, Claimants allege that Morgan Stanley failed to act in the best interest of their client, and because of this failure, Claimant’s estate was damaged when it was forced to pay substantial federal and state estate taxes.

HANLEY LAW

Hanley law represents individual investors nationwide with significant losses in their portfolios, retirement plans or investment accounts.  Hanley Law is dedicated to assisting investors to recover losses suffered by unsuitability, over-concentration, fraud, misrepresentation, self-dealing, unauthorized trades or other wrongful acts, whether intentional or negligent.  Hanley Law represents clients nationwide in cases against the major Wall Street broker dealers, including Morgan Stanley Smith Barney.

If you have suffered investment losses as a result of your broker’s or brokerage firm’s misconduct, contact Hanley Law to discuss your legal options. Contact Hanley Law at (239)649-0050 or contact us through our Website to arrange a free confidential consultation with an attorney to discuss your experiences with your stock broker which resulted in investment losses.

Hanley Law Files FINRA Arbitration Involving broker Ronald Radner Former Registered Representative at the Delray Beach Florida Branch of Edward Jones

Hanley Law recently filed a FINRA arbitration claim alleging that Ronald Radner a broker formerly registered with Edward Jones solicited an elderly client into transferring his investment portfolio to his care after Radner hosted a “free lunch” seminar at a local deli.  The client alleges that Ronald Radner convinced him to surrender his American National annuity and to allow Ronald Radner to manage the funds from the surrendered annuity.  The client alleges that Ronald Radner convinced him that he could earn a greater rate of return on the funds, and therefore would be able to provide him with additional growth and income through retirement.

The client alleges that because of the recommendation of Ronald Radner and Edward Jones he incurred a large surrender charge, and also lost his substantial death benefit of nearly $400,000 when Mr. Radner surrendered his American National Annuity.  Furthermore, the client alleges that he incurred a large tax consequence because of Ronald Radner’s and Edward Jones’ recommendation that he surrender his American National annuity.  Additionally, the client alleges that he lost significant principal on the investments Ronald Radner purchased with his annuity proceeds.

The Boynton Beach, Florida retiree client alleges that Edward Jones violated industry rules, including but not limited to FINRA’s customer suitability standard (Rule 2310) as well as FINRA rules 3010 and 2110. The client further alleges that Edward Jones violated its duty of care and was negligent and that Edward Jones breached the contract it entered into with its client. The client alleges that Edward Jones also breached the fiduciary duty that a securities firm and its employees/agents owe to their clients.  The client alleges that Edward Jones’ misconduct constitutes common law fraud.  Moreover, the client alleges that the accounts at issue were handled negligently and Edward Jones was negligent in their hiring, retention, and supervision of their employees.

According to FINRA’s Brokercheck, Ronald Radner was registered with the securities industry for 9 years, and was registered with the following firm(s) and has multiple customer complaints:

Raymond James Financial Services, Inc.
CRD 6694
Delray Beach, FL
3/29/2019 – present

Edward Jones
CRD 250
Delray Beach, FL
9/30/2011 – 4/1/2019

Morgan Stanley Smith Barney
CRD 149777
Delray Beach, FL
10/4/2010 – 9/7/2011

HANLEY LAW

Hanley law represents individual investors nationwide with significant losses in their portfolios, retirement plans or investment accounts.  Hanley Law is dedicated to assisting investors to recover losses suffered by unsuitability, over-concentration, fraud, misrepresentation, self-dealing, unauthorized trades or other wrongful acts, whether intentional or negligent.  Hanley Law represents clients nationwide in cases against the major Wall Street broker dealers, including Edward Jones.

If you have suffered investment losses as a result of your broker’s or brokerage firm’s misconduct, contact Hanley Law to discuss your legal options. Contact Hanley Law at (239)649-0050 or contact us through our Website to arrange a free confidential consultation with an attorney to discuss your experiences with your stock broker which resulted in investment losses.

 

Hanley Law Files FINRA Arbitration Involving broker William “Bill” Collins Registered Representative of Morgan Stanley Smith Barney

Hanley Law recently filed a FINRA arbitration claim alleging that William “Bill” Collins a broker with Morgan Stanley Smith Barney mislead his retired client into believing that he was not charging her any commissions or fees because he was managing her account as a favor to her. Meanwhile, the client alleges that Bill Collins recommended and purchased unsuitable investments in her accounts, improperly increased her lines of credit and acted negligently when handling her account. The retired client residing in Naples, Florida trusted Bill Collins implicitly to her detriment. The retired investor client alleges that Bill Collins redeemed a treasury note in her IRA account and used the proceeds to by speculative and high-risk investments without authorization. The client also alleges that Bill Collins sold suitable and low risk equities in her account and used the proceeds to buy speculative and high-risk equities without her authorization which lead her to suffer devastating principal losses. Specifically, the client alleges that Bill Collins purchased the Chinese coffee company Luckin in her accounts and that shortly after his purchase of Luckin Coffee, the stock’s trading halted on reports of fraud. The company is facing various class action lawsuits and bankruptcy is looming. The investor client’s large investment in Luckin Coffee is now essentially worthless. Lastly, the investor client alleges that when the market became increasingly volatile in March 2020 due to growing concerns of the coronavirus, Bill Collins refused her requests to provide her financial guidance or to discuss her concerns over her line of credit and her diminishing account value.

The Naples, Florida retiree alleges that Morgan Stanley violated industry rules, including but not limited to FINRA’s customer suitability standard (Rule 2310) as well as FINRA rules 3010 and 2110. The client further alleges that Morgan Stanley violated its duty of care and was negligent and that Morgan Stanley breached the contract it entered into with its client. The retired client alleges that Morgan Stanley also breached the fiduciary duty that a securities firm and its employees/agents owe to their clients. The client alleges that Morgan Stanley’s misconduct constitutes common law fraud and that Morgan Stanley violated Florida Statute § 517. Moreover, the client alleges that the accounts at issue were handled negligently and Morgan Stanley was negligent in their hiring, retention, and supervision of their employees.

According to FINRA’s Brokercheck, William “Bill” Collins was registered with the securities industry for 23 years, was registered with the following firm(s) and has multiple customer complaints:

Morgan Stanley
CRD 149777
34901 Woodward Ave.
Suite 300
Birmingham, MI 48009
5/28/2010 to present

Wells Fargo Advisors, LLC
CRD 19616
Troy, MI
01/01/2008 – 06/01/2010

A.G. Edwards & Sons, Inc.
CRD 4
Troy, MI
09/16/1996 – 01/03/2008

HANLEY LAW

Hanley law represents individual investors nationwide with significant losses in their portfolios, retirement plans or investment accounts. Hanley Law is dedicated to assisting investors to recover losses suffered by unsuitability, over-concentration, fraud, misrepresentation, self-dealing, unauthorized trades or other wrongful acts, whether intentional or negligent. Hanley Law represents clients nationwide in cases against the major Wall Street broker dealers, including Morgan Stanley Smith Barney.

If you have suffered investment losses as a result of your broker’s or brokerage firm’s misconduct, contact Hanley Law to discuss your legal options. Contact Hanley Law at (239)649-0050 or contact us through our Website to arrange a free confidential consultation with an attorney to discuss your experiences with your stock broker which resulted in investment losses.

HANLEY LAW BRINGS CLAIM AGAINST J.P. MORGAN SECURITIES RELATING TO SALES PRACTICES OF FORMER REGISTERED REPRESENTATIVE NEAL MEHTA

 

Hanley Law recently filed a case against J.P. Morgan Securities relating to the sales practices of former J.P. Morgan Securities broker Neal Mehta.  The allegations against J.P. Morgan Securities include that Neal Mehta invested the entire principal balance of the client in one Master Limited Partnership (“MLP”) which had an inherent concentration risk because the fund’s investments were primarily invested in securities only in the energy sector and that Neil Mehta failed to disclose the risk related to overconcentration in one energy MLP.  The claim alleges breach of fiduciary duty, un-suitability, common law fraud and/or negligence, failure to supervise, breach of contract, and violation of industry rules.

Neal Mehta entered the securities industry in 2010 (CRD # 5802739) and has been registered with the following firms:

Merrill Lynch, Pierce, Fenner & Smith Inc.

450 E. Las Olas Blvd

Fort Lauderdale, FL 33301

12/08/2016 – present

 

J.P. Morgan Securities, LLC

Pompano Beach, FL

07/2010-10/2012

Chase Investment Services

Pompano Beach, FL

07/2010-10/2012

HANLEY LAW

Hanley law represents individual investors nationwide with significant losses in their portfolios, retirement plans or investment accounts.  The firm is dedicated to assisting investors to recover losses suffered by unsuitability, over-concentration, fraud, misrepresentation, self-dealing, unauthorized trades or other wrongful acts, whether intentional or negligent.  The firm handles cases against the major Wall Street broker dealers, including J.P Morgan Securities, LLC.

Let Hanley Law work for you. Call (239)877-4330 or contact the firm through our Website to arrange a free confidential consultation with an attorney to

Hanley Law Brings Claim Against Edward Carroll and Mark Scribner

Our firm is currently representing clients in a lawsuit against attorney Edward Carroll and attorney Mark Scribner related to the Jay Peak Hotel Suites LP EB5 Immigrant Investor Program.

The Jay Peak project attracted foreign investors who were hoping to earn permanent residence in the United States through investing in U.S. projects that create a certain number of jobs.  The Jay Peak project was structured as investments in limited partnerships, whereby each limited partnership would use its investors’ funds for specific purposes and under certain restrictions.

Investors who invested in the Jay Peak limited partnerships thought they were investing their funds in hotels, cottages, a biomedical research facility and other projects.  In reality, while some of the funds were used for the projects, the majority of the funds were commingled, misused, and diverted to pay for other projects and improper personal expenses which resulted in significant losses to the investors.

HANLEY LAW

Hanley law represents individual investors nationwide with significant investment losses.  Let Hanley Law work for you. Call (239) 649-0050 or contact the firm through our Website to arrange a free confidential consultation with an attorney to discuss your experiences which resulted in investment losses.

 

HANLEY LAW INVESTIGATES MATTHEW COCHRAN FORMER CHARLOTTE NORTH CAROLINA BROKER

According to the Financial Industry Regulatory Authority (“FINRA”) Matthew Cochran has been barred from the industry and consented to a sanction and to the entry of findings that he and a third party exercised discretionary authority to execute securities transactions in accounts held away from Cochran’s member firm. (FINRA Case #2017054247001).

FINRA alleged that during the relevant period, Cochran recommended that 98 firm customers and other individuals, who were not family members, open 94 accounts at another broker-dealer. FINRA further alleged that at Cochran’s recommendation, the investors verbally gave him and/or a third party discretionary authority over the outside accounts and Cochran assisted the investors in opening the outside accounts. FINRA alleged that during the relevant time-period, Cochran and the non-registered person executed securities transactions in the outside accounts pursuant to the investors’ verbal discretionary authority. According to FINRA, neither Cochran nor the Non-Registered Person obtained written discretionary authority. Furthermore, FINRA alleged that Cochran and the Non-Registered Person executed a total of approximately 5,931 transactions with an aggregate trade value (buy and sell) of more than $9.6 million for the investors in the outside accounts. According to FINRA, Cochran received $34,000 in funds from the investors related to this activity. FINRA further alleged that during ten telephone calls during the relevant period, for ten different investors, Cochran misrepresented to the executing firm that he himself was one of the investors and during two of these telephone calls, Cochran instructed the firm to liquidate investors’ securities positions. By impersonating investors, Cochran violated FINRA rules.

Matthew Thomas Cochran entered the securities industry in 2011. Matthew Cochran (CRD # 5853600) has been registered with the following firms:

Northwestern Mutual Investment Services, LLC
CRD # 2881
Charlotte, NC
11/14/2011 – 05/11/2017

HANLEY LAW

Hanley law represents individual investors nationwide with significant losses in their portfolios, retirement plans or investment accounts. The firm is dedicated to assisting investors to recover losses suffered by unsuitability, over-concentration, fraud, misrepresentation, self-dealing, unauthorized trades or other wrongful acts, whether intentional or negligent. The firm handles cases against the major Wall Street broker dealers, including Northwestern Mutual Investment Services, LLC.

Let Hanley Law work for you. Call (239)649-0050 or contact the firm through our Website to arrange a free confidential consultation with an attorney to discuss your experiences with your stock broker which resulted in investment losses.