Unsuitable

Former Aegis Capital Corp Broker, Kishan (Sean) Parikh, Facing Disciplinary Charges by FINRA for Unsuitable Investment Recommendations and Excessive Trading

Published on: March 17, 2021 | by Iorio Altamirano

**Update: November 11, 2021** On November 8, 2021, Aegis Capital Corp agreed to pay nearly $2.7 million in sanctions for supervisory failures related to excessive and unsuitable trading by its brokers from July 2014 through December 2018. Click on the following link to read more: Aegis Capital Corp. Ordered to Pay Nearly $2.7 Million for Supervisory Failures Related to Rampant Excessive and Unsuitable Trading

Customers of Aegis Capital, including customers that have been notified that they may be receiving restitution, should consult with a securities arbitration law firm. If you or a loved one were a customer of Aegis Capital, contact New York securities arbitration law firm Iorio Altamirano LLP for a free and confidential consultation and review of your legal rights.

**Update: July 9, 2021** Update: Former Aegis Capital Corp Broker, Kishan (Sean) Parikh, SUSPENDED by FINRA for Excessive Trading and Unauthorized Trading

UBS Ordered to Pay $1 million to Yield Enhancement Strategy (YES) Customers

Published on: March 17, 2021 | by Iorio Altamirano

On March 5, 2021, a FINRA Dispute Resolution Services arbitration panel in Denver, Colorado, ordered UBS Financial Services, Inc. (“UBS”) to pay customers over $1 million in compensatory damages. The claims, which include breach of duty, violations of the Nebraska Securities Act, and professional negligence arising out of broker Jason Dworak’s recommendations concerning the UBS Yield Enhancement Strategy (“YES”). The arbitration panel also awarded prejudgment interest to the customers.

The $1 million judgment is the second arbitration award against UBS within a matter of months. In December 2020, a FINRA arbitration panel in Boca Raton, Florida, awarded a customer nearly $90,000. The Florida arbitration panel concluded that the UBS YES was not suitable for the investor, Gerald S. Backman, a retired partner at corporate law firm Weil Gotshal & Manges.

UBS has faced numerous lawsuits from customers in the form of FINRA securities arbitrations related to YES, a complex managed options strategy that UBS marketed as safe and market-neutral. The customers have claimed that the strategy was not suitable for them and that UBS materially misrepresented and omitted the risks of the strategy.

Investigative Report: Iorio Altamirano LLP Investigation into Joseph Stone Capital L.L.C. Reveals Troubling Pasts for Owners, Executives, and Brokers

Published on: March 16, 2021 | by Iorio Altamirano

This post is part of a series of investigative blog posts that spotlight modern-day boiler rooms that operate under the guise of a reputable brokerage firm. Many of the broker-dealers featured in this series still use boiler room tactics such as cold-calling customers and high-pressure or aggressive sales tactics. Other brokerage firms have a propensity for broker misconduct, such as excessive trading, churning, unauthorized trades, and misrepresentation. Iorio Altamirano LLP is a securities arbitration law firm based in New York City. We represent investors nationwide who have suffered investment losses due to wrongful conduct by financial advisors and brokerage firms. We are investor advocates.

Other Investigative Blog Posts:

Arive Capital Markets, LLC

Former Kestra Investment Services, LLC Broker, Mayur Dalal, BARRED by FINRA – New Hyde Park, NY

Published on: March 10, 2021 | by Iorio Altamirano

The Financial Industry Regulatory Authority (“FINRA”) has barred stockbroker Mayur T. Dalal from the securities industry. Mr. Dalal was expelled from the brokerage industry after refusing to cooperate with a FINRA investigation into allegations related to his termination from Kestra Investment Services, LLC. Mr. Dalal was associated with Kestra Investment Services from June 2016 until he was discharged in February 2020 over allegations that he engaged in undisclosed private securities transactions and outside business activity.

If you have lost money with broker Mayur Dalal or Kestra Investment Services, LLC, contact New York securities arbitration law firm Iorio Altamirano LLP for a free and confidential evaluation of your account.

FINRA Letter of Acceptance, Waiver, and Consent No. 2020065664201

Stockbroker George Warner BARRED by FINRA

Published on: March 10, 2021 | by Iorio Altamirano

The Financial Industry Regulatory Authority (“FINRA”) has barred stockbroker George Marshall Warner from the securities industry. Mr. Warner, who has a history of customer complaints and disciplinary action, was expelled from the brokerage industry for refusing to cooperate with a FINRA investigation in whether Mr. Warner participated in an undisclosed private securities transaction.

Mr. Warner has recently been associated with the following financial institutions: Chelsea Financial Services (2017 – 2019), Dominion Investor Services, Inc (2017), IFS Securities (2014 – 2017), NFP Advisor Services, LLC (2013 – 2014), and LPL Financial, LLC (2003 – 2013).

If you have lost money with broker George Warner, Chelsea Financial Services, Dominion Investor Services, Inc, or IFS Securities, contact New York securities arbitration lawyers Iorio Altamirano LLP for a free and confidential evaluation of your account.

Update: Broker Scott Reed, Formerly of Wells Fargo in Scottsdale, Arizona, Appears to Have a History of Recommending High Risk and High Commission Investments to Customers

Published on: March 6, 2021 | by Iorio Altamirano

**Update: July 29, 2021** On July 28, 2021, Iorio Altamirano LLP announced that it is investigating potential claims involving investments in L Bonds offered by GWG Holdings (GWGH). Upon information and belief, former Wells Fargo broker Scott Reed recommended GWG “L Bonds” to customers. Customers of Scott Reed can contact Iorio Altamirano LLP for a free and confidential consultation and review of their legal rights. To read more about Iorio Altamirano LLP’s investigation into GWG “L Bonds,” click on the following link: Iorio Altamirano LLP Investigates L Bonds offered by GWG Holdings (GWGH)

Original Post:

Update: Broker Scott Reed, Formerly of Wells Fargo in Scottsdale, Arizona, Appears to Have a History of Recommending High Risk and High Commission Investments to Customers

Broker Megurditch Mike Patatian, Formerly of Western International Securities, Inc. Facing Disciplinary Charges by FINRA for Recommending Unsuitable Illiquid REITs to 59 Customers, Including 21 Elderly Customers – Westlake Village, California

Published on: March 1, 2021 | by Iorio Altamirano

The Financial Industry Regulatory Authority’s Department of Enforcement has filed a disciplinary proceeding complaint against broker Megurditch Patatian (aka Mike Patatian) alleging that, while associated with Western International Securities, Inc., Mr. Patatian engaged in conduct in violation of FINRA rules, including:

making 81 unsuitable recommendations to purchase over $7.8 million in non-traded Real Estate Investment Trusts (REITs) to 59 customers, including 21 senior investors;
recommending illiquid non-traded REIT to six customers that also needed liquidity;

Broker Spotlight: Daniel T. Lerner of David Lerner Associates, Inc. Facing Three Pending Securities Arbitration Complaints – White Plains, New York

Published on: February 28, 2021 | by Iorio Altamirano

**Update: 4/19/21** In March 2021 another customer filed a securities arbitration complaint against Daniel Todd Lerner and David Lerner Associates, Inc. The customer has alleged over $515,000 in damages as a result of unsuitable investment recommendations related to Energy 11 and an unspecific mutual fund (possibly, SOAEX). The complaint alleged unsuitability, misrepresentation, breach of fiduciary duty, and unauthorized trading.

Financial Advisors in Morgan Stanley’s Global Sports and Entertainment Group Have Been the Subject of Six Customer Disputes Over the Past Year

Published on: February 25, 2021 | by Iorio Altamirano

Morgan Stanley’s Global Sports and Entertainment Group is a division of Morgan Stanley Wealth Management that targets professional athletes and entertainers. The group consists of approximately 168 financial advisors across the country that hold the designation “Global Sports and Entertainment Directors.” Morgan Stanley promotes that these advisors are uniquely qualified to address the needs of actors, directors, writers, producers, musicians, songwriters, professional athletes, coaches, and sport team owners. Over the past year, these brokers have received six customer complaints, according to public records.

If you or a client were a customer of Morgan Stanley’s Global Sports and Entertainment Group and either sustained financial losses or suspect that Morgan Stanley did not have your best interest in mind when recommending investments or transactions, contact New York securities arbitration lawyers Iorio Altamirano LLP for a free and confidential evaluation of your account.

Financial Advisor Darryl Cohen (CRD No. 2786613) – Westlake Village, CA

Former NBA Players Chandler Parsons and Courtney Lee Reportedly File a $5 Million Securities Arbitration Claim Against Morgan Stanley and Broker Darryl Cohen

Published on: February 24, 2021 | by Iorio Altamirano

Professional basketball players Chandler Parsons and Courtney Lee, who have both played in the National Basketball Association, have reportedly filed a $5 million securities arbitration complaint against Morgan Stanley. According to broker Darryl Cohen’s CRD report, the complaint alleges that Morgan Stanley made payments from the players’ accounts without prior approval. The complaint also alleges that Mr. Cohen recommended the use of a “liquidity access line” for real estate and life insurance policies for which they “now claim they hold no interest.”

Parsons and Lee were not the first professional athlete to file a claim against Morgan Stanley arising out of broker Darryl Cohen’s conduct. Former Major League Baseball outfielder Nyjer Morgan filed a securities arbitration complaint against Morgan Stanley in May 2020. The complaint alleged that Mr. Cohen unsuitably recommended using a liquidity access line” to loan funds to outside business entities.

If you have lost money with broker Darryl Cohen or Morgan Stanley, contact New York securities arbitration lawyers Iorio Altamirano LLP for a free and confidential evaluation of your account.