LPL FINANCIAL FINED BY FINRA FOR SELLING MUNICIPAL AND CORPORATE BONDS AT UNFAIR PRICES

Boston, Massachusetts based LPL Financial LLC submitted a Letter of Acceptance, Waiver and Consent in which the firm consented to, but did not admit to or deny, the described sanctions and the entry of the Financial Industry Regulatory Authority's (FINRA) findings that it purchased municipal securities for its own account from a customer and/or sold municipal securities for its own account to a customer at an aggregate price (including any commission or service charge) that was not fair and reasonable. Factors taken into consideration were the best judgment of the broker-dealer or municipal securities dealer as to the fair market value of the securities at the time of the transaction and of any securities exchanged or traded in connection with the transaction; the expense involved in effecting the transaction; the fact that the broker-dealer or municipal securities dealer is entitled to a profit; and the total dollar amount of the transaction. FINRA also stated that in corporate bond transactions, the firm failed to use reasonable diligence to ascertain the best inter-dealer market and failed to buy or sell in such market so that the resultant price to its customer was as favorable as possible under prevailing market conditions. The firm was censured and fined $60,000.

Broker-Dealers have a duty of best execution, which requires that they seek to obtain for its customers' orders the most favorable terms reasonably available under the circumstances. The obligation also provides that in any transaction for or with a customer, a member and persons associated with a member shall use reasonable diligence to ascertain the best inter-dealer market for a security and buy or sell in such market so that the price to the customer is as favorable as possible under prevailing market conditions. If broker-dealers do not use reasonable diligence to obtain the best price for their customers, they may be liable for damages resulting from unreasonable execution. Therefore, investors who have suffered damages due to purchases and/or sales of securities at unreasonable prices can bring forth claims to recover those investment losses against broker-dealers like LPL Financial, which should have prevented the above described misconduct.

Have you suffered losses in your LPL Financial LLC account? If so, call Robert Pearce at the Law Offices of Robert Wayne Pearce, P.A. for a free consultation. Mr. Pearce is accepting clients with valid claims against LPL Financial LLC stockbrokers who may have engaged in stockbroker misconduct and caused investment losses.

The most important of investors' rights is the right to be informed! This Investors' Rights blog post is by the Law Offices of Robert Wayne Pearce, P.A., located in Boca Raton, Florida. For over 33 years, Attorney Pearce has tried, arbitrated, and mediated hundreds of disputes involving complex securities, commodities and investment law issues. The lawyers at our law firm are devoted to protecting investors' rights throughout the United States and internationally! Please visit our website, www.secatty.com, post a comment, call (800) 732-2889, or email Mr. Pearce at pearce@rwpearce.com for answers to any of your questions about this blog post and/or any related matter.

HUEL COX JR. BARRED BY FINRA FOR MISAPPROPRIATING CUSTOMER'S FUNDS

Huel Cox Jr., a former broker at Duluth, Georgia based PFS Investments, Inc., submitted a Letter of Acceptance, Waiver and Consent in which he consented to, but did not admit to or deny, the described sanction and the entry of the Financial Industry Regulatory Authority's (FINRA) findings that he misappropriated a customer's funds for his own personal use. According to FINRA's findings, Mr. Cox solicited a friend, who was also a customer of his member firm, to make various investments in real estate and a casino. The customer agreed to make the investments and, over a period of years, wrote personal checks payable to Mr. Cox. FINRA found that Mr. Cox did not make any of the promised real estate investments for the customer. Further, it found Mr. Cox misappropriated at least $206,398.89 of the customer's funds for his own personal use without the customer's authorization. Mr. Cox, of Phoenix, Arizona, was barred from associating with any FINRA member in any capacity.

Broker-dealers must establish and implement a reasonable supervisory system to protect customers from stockbroker fraud and other stockbroker misconduct. If broker-dealers do not establish and implement a reasonable supervisory system, they may be liable to investors for failure to supervise and the damages flowing from the misconduct. Therefore, investors who have suffered damages due to prohibited activity such as misappropriation of funds can bring forth claims to recover losses against broker-dealers like PFS Investments, which should monitor their brokers' activities in order to prevent the above described illegal conduct.

Have you suffered losses in your PFS Investments account due to misappropriation of funds by your broker? If so, call Robert Pearce at the Law Offices of Robert Wayne Pearce, P.A. for a free consultation. Mr. Pearce is accepting clients with valid claims against PFS Investments stockbrokers who may have engaged in stockbroker misconduct and caused investment losses.

The most important of investors' rights is the right to be informed! This Investors' Rights blog post is by the Law Offices of Robert Wayne Pearce, P.A., located in Boca Raton, Florida. For over 33 years, Attorney Pearce has tried, arbitrated, and mediated hundreds of disputes involving complex securities, commodities and investment law issues. The lawyers at our law firm are devoted to protecting investors' rights throughout the United States and internationally! Please visit our website, www.secatty.com, post a comment, call (800) 732-2889, or email Mr. Pearce at pearce@rwpearce.com for answers to any of your questions about this blog post and/or any related matter.

MICHAEL PALAZZO FIXED INCOME 1 FUND INVESTIGATION BY ROBERT WAYNE PEARCE, P.A.

The Law Offices of Robert Wayne Pearce, P.A. is currently investigating an alleged Ponzi scheme perpetrated by Michael Palazzo, a former Tonawanda, New York based stockbroker at Berthel Fisher & Company Financial Services, Inc. Mr. Palazzo's former customers are alleging that he fraudulently solicited investments in Fixed Income 1 Fund as a part of his plot to misappropriate funds. Sales practice allegations by customers against Mr. Palazzo and his employer have been filed. The Financial Industry Regulatory Authority (FINRA) recently reported a June 3, 2013 complaint made by former customers inquiring whether the investments they made through Mr. Palazzo were legitimate. FINRA also reported a June 7, 2013 complaint by former customers against Mr. Palazzo alleging churning, misapppropriation of funds, and a misrepresentation related to the terms of a variable annuity contract. In addition, the June 7, 2013 complaint alleged that Berthel Fisher failed to supervise Mr. Palazzo's activities.

The Law Offices of Robert Wayne Pearce, P.A. are investigating where Michael Palazzo engaged in a "Ponzi scheme," an unsustainable fraud pyramid that inevitably ended in ruin. Schemers use money raised from latter investors to pay an earlier investor's returns. Ponzi schemes invariably fall apart when markets deteriorate or when the schemer is unable to raise more cash. "Selling away" is the inappropriate practice of an investment professional who sells or solicits securities or investments not held, approved, or authorized by the brokerage firm with which the professional is associated. Under NASD and FINRA rules, brokerage firms must approve investments offered by their investment professionals and supervise its sales. Broker-dealers have been held liable for "Ponzi schemes" perpetrated by their registered sales representatives.

Broker-dealers must establish and implement a reasonable supervisory system to protect customers from stockbroker misconduct. If broker-dealers do not establish and implement a reasonable supervisory system, they may be liable to investors for damages flowing from the misconduct. Independent broker-dealers have been criticized for their lax supervisory practices and procedures, which oftentimes leaves investors vulnerable to sales of securities that have not been reviewed or authorized by anyone other than the sales representative earning a commission.

Have you suffered losses in your Berthel Fisher account due to Michael Palazzo and the Fixed Income 1 Fund and/or any other questionable investments? If so, call Robert Pearce at the Law Offices of Robert Wayne Pearce, P.A. for a free consultation. Mr. Pearce is accepting clients with valid claims against Berthel Fisher stockbrokers such as Michael Palazzo who may have engaged in misconduct and caused investment losses.

The most important of investors' rights is the right to be informed! This Investors' Rights blog post is by the Law Offices of Robert Wayne Pearce, P.A., located in Boca Raton, Florida. For over 33 years, Attorney Pearce has tried, arbitrated, and mediated hundreds of disputes involving complex securities, commodities and investment law issues. The lawyers at our law firm are devoted to protecting investors' rights throughout the United States and internationally! Please visit our website, www.secatty.com, post a comment, call (800) 732-2889, or email Mr. Pearce at pearce@rwpearce.com for answers to any of your questions about this blog post and/or any related matter.

FINRA SANCTIONS GLOBALINK SECURITIES, INC. AND JUNHUA MICHAEL LIAO FOR FAILURE TO CONDUCT ADEQUATE DUE DILIGENCE OF PRIVATE PLACEMENT OFFERING

Pasadena, California based GlobaLink Securities, Inc. and Junhua Michael Liao submitted a Letter of Acceptance, Waiver and Consent in which the firm and Mr. Liao consented to, but did not admit to or deny, the described sanctions and the entry of the Financial Industry Regulatory Authority's (FINRA) findings that the firm, acting through Mr. Liao, executed an agreement to market and sell a Regulation D offering of promissory notes for Medical Capital Holdings Inc. (Med Cap) without performing adequate due diligence. FINRA's findings stated that the firm sold $1,260,049 of the Med Cap notes to some customers, and these sales generated approximately $56,700 in commissions for the firm. The findings also stated that as the firm's chief compliance officer and president throughout the relevant period, Mr. Liao was responsible for ensuring that the firm established, maintained, and enforced a supervisory system and written supervisory procedures (WSPs) reasonably designed to achieve compliance with applicable laws, rules, and regulations.

FINRA included findings that the firm maintained WSPs pertaining to the sales of private placements, but the WSPs were inadequate in that they lacked specifics concerning how the firm would conduct due diligence, process private placement transactions, ensure that a Regulation D product was suitable for investors, and document the firm's decisions and actions regarding private placement transactions. As a result of the firm's deficient supervisory system and WSPs, FINRA found the firm failed to conduct adequate due diligence on the offering. Further, that the failure to conduct due diligence prevented the firm and Mr. Liao from learning that the issuer had experienced payment problems on earlier note offerings and thus, the private placement memorandum (PPM) misrepresented the issuer's past performance. GlobaLink Securities was fined $20,000 jointly and severally with Mr. Liao. Mr. Liao, of San Gabriel, California, was also suspended from association with any FINRA member in any principal capacity for one month - the suspension was in effect from June 3, 2013 through July 2, 2013.

Broker-dealers must establish and implement a reasonable supervisory system and WSPs governing adequate due diligence of investments they intend to market and sell. If broker-dealers do not establish such systems and procedures, they may be liable to investors for damages. Therefore, investors who have suffered damages in the Med Cap private placement can bring forth claims to recover their investment losses from GlobaLink Securities, which should have performed adequate due diligence prior to offering and selling the investment to its customers. Have you suffered losses in your GlobaLink Securities, Inc. account? If so, call Robert Pearce at the Law Offices of Robert Wayne Pearce, P.A. for a free consultation.

The most important of investors' rights is the right to be informed! This Investors' Rights blog post is by the Law Offices of Robert Wayne Pearce, P.A., located in Boca Raton, Florida. For over 33 years, Attorney Pearce has tried, arbitrated, and mediated hundreds of disputes involving complex securities, commodities and investment law issues. The lawyers at our law firm are devoted to protecting investors' rights throughout the United States and internationally! Please visit our website, www.secatty.com, post a comment, call (800) 732-2889, or email Mr. Pearce at pearce@rwpearce.com for answers to any of your questions about this blog post and/or any related matter.

KIMBERLY ANN SPRINGSTEEN-ABBOTT NAMED IN FINRA COMPLAINT FOR ALLEGEDLY MISUSING INVESTOR FUNDS

Kimberly Ann Springsteen-Abbott, a broker at Clearwater, FL based Commonwealth Capital Securities Corp., was named a respondent in a Financial Industry Regulatory Authority (FINRA) complaint alleging that she directed the misuse of investor funds to pay for various credit card charges that were not related to legitimate business purposes of the funds. The complaint alleges that the charges relating to the misused investor funds consisted of personal expenses for Ms. Springsteen-Abbott and another individual. The allegedly misused funds totaled at least $344,798.79, and some of the charges have been refunded. The complaint also alleges that in connection with a FINRA examination, Ms. Springsteen-Abbott and her firm provided a false and back-dated document in connection with the documentation provided regarding the credit card charges. By allegedly creating the false and back-dated documentation, Ms. Springsteen-Abbott, of Holiday, Florida, caused her firm to maintain inaccurate books and records.

Broker-dealers must establish and implement a reasonable supervisory system to protect customers from broker misconduct. If broker-dealers do not establish and implement a reasonable supervisory system, they may be liable to investors for damages flowing from the stockbroker misconduct. Therefore, investors who have suffered damages due to prohibited activity such as misuse or misappropriation of funds can bring forth claims to recover losses against broker-dealers like Commonwealth Capital Securities Corp., which should monitor their brokers' activities in order to prevent the above described misconduct.

Have you suffered losses in your Commonwealth Capital Securities Corp.? If so, call Robert Pearce at the Law Offices of Robert Wayne Pearce, P.A. for a free consultation. Mr. Pearce is accepting clients with valid claims against Commonwealth Capital Securities Corp. stockbrokers who may have engaged in misconduct and caused investment losses.

The most important of investors' rights is the right to be informed! This Investors' Rights blog post is by the Law Offices of Robert Wayne Pearce, P.A., located in Boca Raton, Florida. For over 33 years, Attorney Pearce has tried, arbitrated, and mediated hundreds of disputes involving complex securities, commodities and investment law issues. The lawyers at our law firm are devoted to protecting investors' rights throughout the United States and internationally! Please visit our website, www.secatty.com, post a comment, call (800) 732-2889, or email Mr. Pearce at pearce@rwpearce.com for answers to any of your questions about this blog post and/or any related matter.

JOHN SEAN KENNEDY FINED AND SUSPENDED BY FIRNA FOR VIOLATING FIRM'S WRITTEN SUPERVISORY PROCEDURES

John Sean Kennedy, a former broker at Staten Island, New York based Chelsea Financial Services, submitted a Letter of Acceptance, Waiver and Consent (AWC) in which he consented to, but did not admit to or deny, the entry of the Financial Industry Regulatory Authority's (FINRA) findings that he participated in a private securities transaction without his firm's approval. Mr. Kennedy informed the customer of an opportunity to invest in a promissory note issued by a publicly-traded company and facilitated the customer's signing of a $100,000 promissory note by withdrawing $100,000 from the customer's IRA, without informing his firm of his participation in the transaction. These actions were contrary to his firm's written supervisory procedures (WSPs), which prohibited its associates from participating in private securities transactions without the firm's prior written approval. FINRA's findings stated that Mr. Kennedy, without his firm's knowledge or consent, served as president, officer, and registered agent of a corporation contrary to his firm's prohibition from participating in an outside business activity without prior firm approval. The findings also stated that Mr. Kennedy failed to file federal and state tax returns for four years which, represents unethical conduct and is inconsistent with just and equitable principles of trade. Mr. Kennedy, of Encino, California, was fined $15,000 and suspended from association with any FINRA member in any capacity for eight months. The fine must be paid either immediately upon Mr. Kennedy's re-association with a FINRA member firm following his suspension, or prior to the filing of any application or request for relief from any statutory disqualification, whichever is earlier. The suspension is in effect from June 3, 2013 through February 2, 2014.

Broker-dealers must establish and implement a reasonable supervisory system to protect customers from stockbroker misconduct. If broker-dealers do not establish and implement a reasonable supervisory system, they may be liable to investors for damages flowing from the misconduct. Therefore, investors who have suffered damages due to unauthorized outside investment recommendations by their broker can bring forth claims to recover investment losses against broker-dealers like Chelsea Financial Services, which should monitor their brokers' activities in order to prevent the above described illegal conduct.

Have you suffered losses in your Chelsea Financial Services account? If so, call Robert Pearce at the Law Offices of Robert Wayne Pearce, P.A. for a free consultation. Mr. Pearce is accepting clients with valid claims against Chelsea Financial Services and its stockbrokers who may have engaged in misconduct and caused investment losses.

The most important of investors' rights is the right to be informed! This Investors' Rights blog post is by the Law Offices of Robert Wayne Pearce, P.A., located in Boca Raton, Florida. For over 33 years, Attorney Pearce has tried, arbitrated, and mediated hundreds of disputes involving complex securities, commodities and investment law issues. The lawyers at our law firm are devoted to protecting investors' rights throughout the United States and internationally! Please visit our website, www.secatty.com, post a comment, call (800) 732-2889, or email Mr. Pearce at pearce@rwpearce.com for answers to any of your questions about this blog post and/or any related matter.

JAMES GLENN TALLANT NAMED IN FINRA COMPLAINT FOR CHURNING

James Glenn Tallant, a broker at Purchase, New York based Morgan Stanley Smith Barney, was named a respondent in a Financial Industry Regulatory Authority (FINRA) complaint. The complaint alleges that Mr. Tallant exercised control over the customer's accounts by engaging in discretionary trading without written authorization. Mr. Tallant also allegedly exercised de facto control because the customer routinely followed Mr. Tallant's advice and was unable to evaluate Mr. Tallant's recommendations and to exercise independent judgment. FINRA alleged the trading was unsuitable and excessive in size and frequency. The complaint also alleges that the number of transactions in the accounts was excessive in light of the customer's investment objectives and resulted in turnover and cost/commission-equity ratios exceeding those that create a presumption of churning. The complaint further alleges that Mr. Tallant executed or caused the execution of the securities transactions with intent to defraud, and that he knew, or was reckless in failing to recognize, that the trading in the accounts resulted in substantial commissions for him but could not reasonably be expected to benefit the customer. By allegedly executing the improper transactions in the customer's accounts, Mr. Tallant, of Abilene, Texas, allegedly placed his own interests above the customer's interests.

Broker-dealers must establish and implement a reasonable supervisory system to protect customers from stockbroker misconduct. If broker-dealers do not establish and implement a reasonable supervisory system, they may be liable to investors for damages flowing from the misconduct. Therefore, investors who have suffered damages due to prohibited activity such as unauthorized discretionary trades and/or churning can bring forth claims to recover investment losses against broker-dealers like Morgan Stanley Smith Barney, which should monitor their brokers' activities in order to prevent the above described misconduct.

Have you suffered losses in your Morgan Stanley Smith Barney account? If so, call Robert Pearce at the Law Offices of Robert Wayne Pearce, P.A. for a free consultation. Mr. Pearce is accepting clients with valid claims against Morgan Stanley Smith Barney stockbrokers who may have engaged in misconduct and caused investors losses.

The most important of investors' rights is the right to be informed! This Investors' Rights blog post is by the Law Offices of Robert Wayne Pearce, P.A., located in Boca Raton, Florida. For over 33 years, Attorney Pearce has tried, arbitrated, and mediated hundreds of disputes involving complex securities, commodities and investment law issues. The lawyers at our law firm are devoted to protecting investors' rights throughout the United States and internationally! Please visit our website, www.secatty.com, post a comment, call (800) 732-2889, or email Mr. Pearce at pearce@rwpearce.com for answers to any of your questions about this blog post and/or any related matter.

DAVID MICHAEL GUTMAN AND CHRISTOPHER JOHN TYNDALL NAMED IN FINRA COMPLAINT FOR INSIDER TRADING

David Michael Gutman, a registered principal at New York, New York based JP Morgan Securities, and Christopher John Tyndall, a former broker at New York, New York based Meyers Associates, L.P., were named respondents in a FINRA complaint alleging that they engaged in a serial insider trading scheme that generated more than $9 million in profits by persons who traded in advance of the public announcements of corporate mergers and acquisitions. The complaint alleges that as an employee in his firm's "conflicts office," Mr. Gutman had access to and became aware of material, nonpublic confidential information concerning pending corporate merger or acquisition transactions. The complaint also alleges that Mr. Gutman provided Mr. Tyndall with the confidential, nonpublic information about each of the companies with which Mr. Gutman's firm was involved. Mr. Tyndall allegedly traded on the information and tipped customers and his parents, who also traded on the nonpublic information and tipped others to trade on the information. Mr. Tyndall's customers made profits of more than $1.7 million by trading in advance of news, and Tyndall earned commissions exceeding $870,000 for himself and his firm. Mr. Gutman, of Huntington, New York, and Mr. Tyndall, of Huntington Station, New York, signed documents acknowledging that acting on inside information was unlawful.

The complaint further alleges that FINRA sent JP Morgan Securities an inquiry letter in connection with suspicious trading ahead of the public announcement, providing a list of persons, including Mr. Tyndall, who traded in advance and requested that the firm ask personnel whether they knew any of the listed persons. Mr. Gutman falsely responded by telling his firm he did not know any of the listed individuals. However, during an on-the record interview, Mr. Tyndall testified about his relationship with Mr. Gutman. FINRA re-sent the inquiry letter to JP Morgan Securities, specifically asking the firm to show the list to Mr. Gutman. Mr. Gutman then admitted he knew Mr. Tyndall. In addition, the complaint alleges that Mr. Gutman and Mr. Tyndall made or caused to be made material misstatements or omitted material facts in connection with the purchase or sale of securities - particularly, the material, nonpublic information about the tipped securities.

Generally, illegal insider trading is the act of buying or selling a security, in breach of a fiduciary duty or other relationship of trust and confidence, while in possession of material, nonpublic information about a company. Insider trading violations may also include "tipping" such information, trading by the person tipped - the "tippee," and trading by those who misappropriate such information. Section 10(b) of the Securities and Exchange Act of 1934 makes it unlawful for any person to "use or employ, in connection with the purchase or sale of any security registered on a national securities exchange or any security not so registered, any manipulative or deceptive device or contrivance in contravention of such rules and regulations as the [SEC] may prescribe." To implement Section 10(b), the SEC adopted Rule 10b-5, which makes it unlawful to engage in fraud or misrepresentation in connection with the purchase or sale of a security.

Robert Wayne Pearce, a former SEC Enforcement Attorney, has litigated SEC actions for over 33 years, including, but not limited to, insider trading, stock market manipulation, and other alleged violations of the Federal securities laws. If you have been contacted by the SEC or believe that you may be subject of an investigation, call Mr. Pearce at the Law Offices of Robert Wayne Pearce, P.A. for a free consultation. Mr. Pearce defends companies and individuals who may be the subject of an SEC investigation or enforcement action regarding their alleged involvement in securities laws violations.

This Investors' Rights blog post is by the Law Offices of Robert Wayne Pearce, P.A., located in Boca Raton, Florida. For over 33 years, Attorney Pearce has tried, arbitrated, and mediated hundreds of disputes involving complex securities, commodities and investment law issues. The lawyers at our law firm are devoted to representing investors and financial industry professionals throughout the United States and internationally! Please visit our website, www.secatty.com, post a comment, call (800) 732-2889, or email Mr. Pearce at pearce@rwpearce.com for answers to any of your questions about this blog post and/or any related matter.

WFG INVESTMENTS SUBPOENAED BY MASSACHUSETTS REGULATORS OVER SALES OF ALTERNATIVE INVESTMENTS TO SENIORS

WFG Investments, Inc. was subpoenaed by Massachusetts in connection with a sweep investigation, which is looking into sales practices involving alternative investments sold to seniors. WFG Investments' principal office is located in Dallas, Texas. On July 10, 2013, the state's securities division sent the subpoena to WFG Investments asking for information on sales of the products to state residents who are 65 or over. Some of the non-traditional investments include oil and gas partnerships, private placements, structured products, hedge funds, and tenant-in-common offerings. The state demanded information from WFG Investments on any such products that have been sold over the past year, the investors who purchased them, the commissions generated, how the sales were reviewed, and all relevant compliance, training and marketing materials - WFG Investments has until July 24 to respond. The state added that being on the list of targeted firms does not indicate wrongdoing.

Although non-traded REITs were not part of the information request, Massachusetts has expressed its heightened concern "that the senior marketplace is being targeted for the sales of these high-risk, esoteric products," Massachusetts Secretary of the Commonwealth William F. Galvin said in a statement. The state has already cracked down on a number of firms for alleged improper sales of non-traded REITs. In February 2013, the state reached a settlement with LPL Financial to pay at least $2 million in restitution and $500,000 in fines related to the sale of non-traded REITs. In May 2013, it settled REIT cases with Ameriprise Financial Services Inc., Commonwealth Financial Network, Lincoln Financial Advisors Corp., Royal Alliance Associates Inc. and Securities America Inc. The five firms agreed to pay a total of $6.1 million in restitution to investors and fines totaling $975,000.

Senior investors have become the targets of unscrupulous brokers, investment advisors and insurance agents. This is due in part to the fact that as we age, our ability to understand newer and complex investments diminishes every year. Therefore, senior retirement savings are ripe for picking and an epidemic of fraud is underway all across America. As a result many states, such as Massachusetts, have enacted laws with harsh penalties and are performing investigative sweeps to protect senior investors.

Broker-dealers have a duty to protect senior investors from broker misconduct by establishing and implementing an adequate supervisory system to oversee sales practices. If broker-dealers do not so, they may be liable to senior investors for damages flowing from an unreasonable recommendation and sale. Are you a senior investor suffering losses in your WFG Investments, Inc. account due to an unreasonable recommendation and sale by your broker? If so, call Robert Pearce at the Law Offices of Robert Wayne Pearce, P.A. for a free consultation. Mr. Pearce is accepting clients with valid claims against WFG Investments stockbrokers who may have engaged in misconduct and caused investors losses.

The most important of investors' rights is the right to be informed! This Investors' Rights blog post is by the Law Offices of Robert Wayne Pearce, P.A., located in Boca Raton, Florida. For over 30 years, Attorney Pearce has tried, arbitrated, and mediated hundreds of disputes involving complex securities, commodities and investment law issues. The lawyers at our law firm are devoted to protecting investors' rights throughout the United States and internationally! Please visit our website, www.secatty.com, post a comment, call (800) 732-2889, or email Mr. Pearce at pearce@rwpearce.com for answers to any of your questions about this blog post and/or any related matter.

UBS SECURITIES SUBPOENAED BY MASSACHUSETTS REGULATORS OVER SALES OF ALTERNATIVE INVESTMENTS TO SENIORS

UBS Securities LLC was subpoenaed by Massachusetts in connection with a sweep investigation, which is looking into sales practices involving alternative investments sold to seniors. UBS Securities' principal office is located in New York, New York. On July 10, 2013, the state's securities division sent the subpoena to UBS Securities asking for information on sales of the products to state residents who are 65 or over. Some of the non-traditional investments include oil and gas partnerships, private placements, structured products, hedge funds, and tenant-in-common offerings. The state demanded information from UBS Securities on any such products that have been sold over the past year, the investors who purchased them, the commissions generated, how the sales were reviewed, and all relevant compliance, training and marketing materials - UBS Securities has until July 24 to respond. The state added that being on the list of targeted firms does not indicate wrongdoing.

Although non-traded REITs were not part of the information request, Massachusetts has expressed its heightened concern "that the senior marketplace is being targeted for the sales of these high-risk, esoteric products," Massachusetts Secretary of the Commonwealth William F. Galvin said in a statement. The state has already cracked down on a number of firms for alleged improper sales of non-traded REITs. In February 2013, the state reached a settlement with LPL Financial to pay at least $2 million in restitution and $500,000 in fines related to the sale of non-traded REITs. In May 2013, it settled REIT cases with Ameriprise Financial Services Inc., Commonwealth Financial Network, Lincoln Financial Advisors Corp., Royal Alliance Associates Inc. and Securities America Inc. The five firms agreed to pay a total of $6.1 million in restitution to investors and fines totaling $975,000.

Senior investors have become the targets of unscrupulous brokers, investment advisors and insurance agents. This is due in part to the fact that as we age, our ability to understand newer and complex investments diminishes every year. Therefore, senior retirement savings are ripe for picking and an epidemic of fraud is underway all across America. As a result many states, such as Massachusetts, have enacted laws with harsh penalties and are performing investigative sweeps to protect senior investors.

Broker-dealers have a duty to protect senior investors from broker misconduct by establishing and implementing an adequate supervisory system to oversee sales practices. If broker-dealers do not so, they may be liable to senior investors for damages flowing from an unreasonable recommendation and sale. Are you a senior investor suffering losses in your UBS Securities LLC account due to an unreasonable recommendation and sale by your broker? If so, call Robert Pearce at the Law Offices of Robert Wayne Pearce, P.A. for a free consultation. Mr. Pearce is accepting clients with valid claims against UBS Securities stockbrokers who may have engaged in misconduct and caused investors losses.

The most important of investors' rights is the right to be informed! This Investors' Rights blog post is by the Law Offices of Robert Wayne Pearce, P.A., located in Boca Raton, Florida. For over 30 years, Attorney Pearce has tried, arbitrated, and mediated hundreds of disputes involving complex securities, commodities and investment law issues. The lawyers at our law firm are devoted to protecting investors' rights throughout the United States and internationally! Please visit our website, www.secatty.com, post a comment, call (800) 732-2889, or email Mr. Pearce at pearce@rwpearce.com for answers to any of your questions about this blog post and/or any related matter.

STEVEN ROBERT ARON BARRED BY FINRA FOR FAILING TO RESPOND TO INVESTIGATION CONCERNING OUTSIDE BUSINESS ACTIVITIES

Steven Robert Aron, a former broker at Westlake Village, California based Financial West Group, submitted a Letter of Acceptance, Waiver and Consent in which he consented to the described sanction and to the entry of the Financial Industry Regulatory Authority's (FINRA) findings that through his outside business activity, he facilitated investments on behalf of some of his firm's customers and another customer of his certified public accounting business. FINRA stated that Mr. Aron combined $325,000 of the customers' money to invest in a local pawn and jewelry business on their behalf, and the customers invested with the expectation of a 9 percent return on their investment. FINRA's findings also stated that Mr. Aron failed to notify his firm of his participation in his outside business activities and in the customers' investments. FINRA further included that during the course of FINRA's investigation into Mr. Aron's outside business activities and private securities transactions, it requested information and documentation from Mr. Aron, and Mr. Aron complied with one request but refused to comply with a second request and informed FINRA that he would not respond to any future requests. Mr. Aron, of Agoura Hills, California, was barred from association with any FINRA member in any capacity.

"Selling away" is the inappropriate practice of an investment professional who sells or solicits securities or investments not held, approved, or authorized by the brokerage firm with which the professional is associated. Under NASD and FINRA rules, brokerage firms must approve investments offered by their investment professionals and supervise its sales.

Broker-dealers must establish and implement a reasonable supervisory system to protect customers from broker misconduct. If broker-dealers do not establish and implement a reasonable supervisory system, they may be liable to investors for damages flowing from the misconduct. Therefore, investors who have suffered damages due to unauthorized, outside business activities can bring forth claims to recover losses against broker-dealers like Financial West Group.

Have you suffered losses in your Financial West Group account due to unauthorized, outside business activities by your broker? If so, call Robert Pearce at the Law Offices of Robert Wayne Pearce, P.A. for a free consultation. Mr. Pearce is accepting clients with valid claims against Financial West Group stockbrokers who may have engaged in misconduct and caused investors losses.

The most important of investors' rights is the right to be informed! This Investors' Rights blog post is by the Law Offices of Robert Wayne Pearce, P.A., located in Boca Raton, Florida. For over 30 years, Attorney Pearce has tried, arbitrated, and mediated hundreds of disputes involving complex securities, commodities and investment law issues. The lawyers at our law firm are devoted to protecting investors' rights throughout the United States and internationally! Please visit our website, www.secatty.com, post a comment, call (800) 732-2889, or email Mr. Pearce at pearce@rwpearce.com for answers to any of your questions about this blog post and/or any related matter.

TD AMERITRADE SUBPOENAED BY MASSACHUSETTS REGULATORS OVER SALES OF ALTERNATIVE INVESTMENTS TO SENIORS

TD Ameritrade Inc. was subpoenaed by Massachusetts in connection with a sweep investigation, which is looking into sales practices involving alternative investments sold to seniors. TD Ameritrade's principal office is located in Omaha, Nebraska. On July 10, 2013, the state's securities division sent the subpoena to TD Ameritrade asking for information on sales of the products to state residents who are 65 or over. Some of the non-traditional investments include oil and gas partnerships, private placements, structured products, hedge funds, and tenant-in-common offerings. The state demanded information from TD Ameritrade on any such products that have been sold over the past year, the investors who purchased them, the commissions generated, how the sales were reviewed, and all relevant compliance, training and marketing materials TD Ameritrade has until July 24 to respond. The state added that being on the list of targeted firms does not indicate wrongdoing.

Although non-traded REITs were not part of the information request, Massachusetts has expressed its heightened concern "that the senior marketplace is being targeted for the sales of these high-risk, esoteric products," Massachusetts Secretary of the Commonwealth William F. Galvin said in a statement. The state has already cracked down on a number of firms for alleged improper sales of non-traded REITs. In February 2013, the state reached a settlement with LPL Financial to pay at least $2 million in restitution and $500,000 in fines related to the sale of non-traded REITs. In May 2013, it settled REIT cases with Ameriprise Financial Services Inc., Commonwealth Financial Network, Lincoln Financial Advisors Corp., Royal Alliance Associates Inc. and Securities America Inc. The five firms agreed to pay a total of $6.1 million in restitution to investors and fines totaling $975,000.

Senior investors have become the targets of unscrupulous brokers, investment advisors and insurance agents. This is due in part to the fact that as we age, our ability to understand newer and complex investments diminishes every year. Therefore, senior retirement savings are ripe for picking and an epidemic of fraud is underway all across America. As a result many states, such as Massachusetts, have enacted laws with harsh penalties and are performing investigative sweeps to protect senior investors.

Broker-dealers have a duty to protect senior investors from broker misconduct by establishing and implementing an adequate supervisory system to oversee sales practices. If broker-dealers do not so, they may be liable to senior investors for damages flowing from an unreasonable recommendation and sale. Are you a senior investor suffering losses in your TD Ameritrade account due to an unreasonable recommendation and sale by your broker? If so, call Robert Pearce at the Law Offices of Robert Wayne Pearce, P.A. for a free consultation. Mr. Pearce is accepting clients with valid claims against TD Ameritrade stockbrokers who may have engaged in misconduct and caused investors losses.

The most important of investors' rights is the right to be informed! This Investors' Rights blog post is by the Law Offices of Robert Wayne Pearce, P.A., located in Boca Raton, Florida. For over 30 years, Attorney Pearce has tried, arbitrated, and mediated hundreds of disputes involving complex securities, commodities and investment law issues. The lawyers at our law firm are devoted to protecting investors' rights throughout the United States and internationally! Please visit our website, www.secatty.com, post a comment, call (800) 732-2889, or email Mr. Pearce at pearce@rwpearce.com for answers to any of your questions about this blog post and/or any related matter.

SIGNATOR INVESTORS INC. SUBPOENAED BY MASSACHUSETTS REGULATORS OVER SALES OF ALTERNATIVE INVESTMENTS TO SENIORS

Signator Investors Inc. was subpoenaed by Massachusetts in connection with a sweep investigation, which is looking into sales practices involving alternative investments sold to seniors. Signator Investors' principal office is located in Boston, Massachusetts. On July 10, 2013, the state's securities division sent the subpoena to Signator Investors asking for information on sales of the products to state residents who are 65 or over. Some of the non-traditional investments include oil and gas partnerships, private placements, structured products, hedge funds, and tenant-in-common offerings. The state demanded information from Signator Investors on any such products that have been sold over the past year, the investors who purchased them, the commissions generated, how the sales were reviewed, and all relevant compliance, training and marketing materials - Signator Investors has until July 24 to respond. The state added that being on the list of targeted firms does not indicate wrongdoing.

Although non-traded REITs were not part of the information request, Massachusetts has expressed its heightened concern "that the senior marketplace is being targeted for the sales of these high-risk, esoteric products," Massachusetts Secretary of the Commonwealth William F. Galvin said in a statement. The state has already cracked down on a number of firms for alleged improper sales of non-traded REITs. In February 2013, the state reached a settlement with LPL Financial to pay at least $2 million in restitution and $500,000 in fines related to the sale of non-traded REITs. In May 2013, it settled REIT cases with Ameriprise Financial Services Inc., Commonwealth Financial Network, Lincoln Financial Advisors Corp., Royal Alliance Associates Inc. and Securities America Inc. The five firms agreed to pay a total of $6.1 million in restitution to investors and fines totaling $975,000.

Senior investors have become the targets of unscrupulous brokers, investment advisors and insurance agents. This is due in part to the fact that as we age, our ability to understand newer and complex investments diminishes every year. Therefore, senior retirement savings are ripe for picking and an epidemic of fraud is underway all across America. As a result many states, such as Massachusetts, have enacted laws with harsh penalties and are performing investigative sweeps to protect senior investors.

Broker-dealers have a duty to protect senior investors from broker misconduct by establishing and implementing an adequate supervisory system to oversee sales practices. If broker-dealers do not so, they may be liable to senior investors for damages flowing from an unreasonable recommendation and sale. Are you a senior investor suffering losses in your Signator Investors account due to an unreasonable recommendation and sale by your broker? If so, call Robert Pearce at the Law Offices of Robert Wayne Pearce, P.A. for a free consultation. Mr. Pearce is accepting clients with valid claims against Signator Investors stockbrokers who may have engaged in misconduct and caused investors losses.

The most important of investors' rights is the right to be informed! This Investors' Rights blog post is by the Law Offices of Robert Wayne Pearce, P.A., located in Boca Raton, Florida. For over 30 years, Attorney Pearce has tried, arbitrated, and mediated hundreds of disputes involving complex securities, commodities and investment law issues. The lawyers at our law firm are devoted to protecting investors' rights throughout the United States and internationally! Please visit our website, www.secatty.com, post a comment, call (800) 732-2889, or email Mr. Pearce at pearce@rwpearce.com for answers to any of your questions about this blog post and/or any related matter.

MML INVESTOR SERVICES SUBPOENAED BY MASSACHUSETTS REGULATORS OVER SALES OF ALTERNATIVE INVESTMENTS TO SENIORS

MML Investor Services LLC was subpoenaed by Massachusetts in connection with a sweep investigation, which is looking into sales practices involving alternative investments sold to seniors. MML Investor Services' principal office is located in Springfield, Massachusetts. On July 10, 2013, the state's securities division sent the subpoena to MML Investor Services asking for information on sales of the products to state residents who are 65 or over. Some of the non-traditional investments include oil and gas partnerships, private placements, structured products, hedge funds, and tenant-in-common offerings. The state demanded information from MML Investor Services on any such products that have been sold over the past year, the investors who purchased them, the commissions generated, how the sales were reviewed, and all relevant compliance, training and marketing materials MML Investor Services has until July 24 to respond. The state added that being on the list of targeted firms does not indicate wrongdoing.

Although non-traded REITs were not part of the information request, Massachusetts has expressed its heightened concern "that the senior marketplace is being targeted for the sales of these high-risk, esoteric products," Massachusetts Secretary of the Commonwealth William F. Galvin said in a statement. The state has already cracked down on a number of firms for alleged improper sales of non-traded REITs. In February 2013, the state reached a settlement with LPL Financial to pay at least $2 million in restitution and $500,000 in fines related to the sale of non-traded REITs. In May 2013, it settled REIT cases with Ameriprise Financial Services Inc., Commonwealth Financial Network, Lincoln Financial Advisors Corp., Royal Alliance Associates Inc. and Securities America Inc. The five firms agreed to pay a total of $6.1 million in restitution to investors and fines totaling $975,000.

Senior investors have become the targets of unscrupulous brokers, investment advisors and insurance agents. This is due in part to the fact that as we age, our ability to understand newer and complex investments diminishes every year. Therefore, senior retirement savings are ripe for picking and an epidemic of fraud is underway all across America. As a result many states, such as Massachusetts, have enacted laws with harsh penalties and are performing investigative sweeps to protect senior investors.

Broker-dealers have a duty to protect senior investors from broker misconduct by establishing and implementing an adequate supervisory system to oversee sales practices. If broker-dealers do not so, they may be liable to senior investors for damages flowing from an unreasonable recommendation and sale. Are you a senior investor suffering losses in your MML Investor Services LLC account due to an unreasonable recommendation and sale by your broker? If so, call Robert Pearce at the Law Offices of Robert Wayne Pearce, P.A. for a free consultation. Mr. Pearce is accepting clients with valid claims against MML Investor Services stockbrokers who may have engaged in misconduct and caused investors losses.

The most important of investors' rights is the right to be informed! This Investors' Rights blog post is by the Law Offices of Robert Wayne Pearce, P.A., located in Boca Raton, Florida. For over 30 years, Attorney Pearce has tried, arbitrated, and mediated hundreds of disputes involving complex securities, commodities and investment law issues. The lawyers at our law firm are devoted to protecting investors' rights throughout the United States and internationally! Please visit our website, www.secatty.com, post a comment, call (800) 732-2889, or email Mr. Pearce at pearce@rwpearce.com for answers to any of your questions about this blog post and/or any related matter.

RANDY JASON SCHNEIDER FINED AND BARRED BY FINRA FOR MISAPPROPRIATING ELDERS' FUNDS

Randy Jason Schneider, a former broker at New York, New York based Oppenheimer & Co. Inc., has been sanctioned based on the Financial Industry Regulatory Authority's (FINRA) findings that Mr. Schneider received checks totaling approximately $39,000 from an elderly customer to deposit into the customer's brokerage account for later purchases of bonds, but instead he either cashed or deposited the checks into his own bank account for his personal benefit and never disclosed the misappropriation to the customer. The customer never authorized Mr. Schneider to use the funds for his personal use. The findings stated that Mr. Schneider also deposited the customer's bearer bonds into his own brokerage account, sold the bonds and used the proceeds, totaling $223,000, for his personal use without disclosing the sale to the customer and without the customer's authorization to sell the bonds and take the proceeds for his personal use. The findings also stated that the customer's brother, another customer of Mr. Schneider's, delivered bearer bonds totaling approximately $20,000 to Mr. Schneider for deposit into his brokerage account, and Mr. Schneider provided him with a receipt evidencing acceptance of the bonds. However, Mr. Schneider sold the bonds and took the proceeds for his own use without authorization. The findings further included that Mr. Schneider wired portions of the funds and bond proceeds between his brokerage and personal bank accounts, which made it more difficult to trace them back to his customers.

Mr. Schneider failed to respond to FINRA requests for information, documents, and to appear for on-the-record testimony. Mr. Schneider, of West Orange, New Jersey, was barred from association with any FINRA member in any capacity and ordered to pay $282,000 plus interest in restitution to customers. Mr. Schneider appealed the OHO decision to the NAC, but the appeal was dismissed as abandoned.

Broker-dealers must establish and implement a reasonable supervisory system to protect customers from broker misconduct. If broker-dealers do not establish and implement a reasonable supervisory system, they may be liable to investors for damages flowing from the misconduct. Therefore, investors who have suffered damages due to misappropriations such as those by Mr. Schneider can bring forth claims to recover losses against broker-dealers like Oppenheimer & Co. Have you suffered losses in your Oppenheimer & Co. Inc. account due to a misappropriation by your broker? If so, call Robert Pearce at the Law Offices of Robert Wayne Pearce, P.A. for a free consultation. Mr. Pearce is accepting clients with valid claims against Oppenheimer & Co. Inc. stockbrokers who may have engaged in misconduct and caused investors losses.

The most important of investors' rights is the right to be informed! This Investors' Rights blog post is by the Law Offices of Robert Wayne Pearce, P.A., located in Boca Raton, Florida. For over 30 years, Attorney Pearce has tried, arbitrated, and mediated hundreds of disputes involving complex securities, commodities and investment law issues. The lawyers at our law firm are devoted to protecting investors' rights throughout the United States and internationally! Please visit our website, www.secatty.com, post a comment, call (800) 732-2889, or email Mr. Pearce at pearce@rwpearce.com for answers to any of your questions about this blog post and/or any related matter.

MORGAN STANLEY SUBPOENAED BY MASSACHUSETTS REGULATORS OVER SALES OF ALTERNATIVE INVESTMENTS TO SENIORS

Morgan Stanley was subpoenaed by Massachusetts in connection with a sweep investigation, which is looking into sales practices involving alternative investments sold to seniors. Morgan Stanley's principal office is located in New York, New York. On July 10, 2013, the state's securities division sent the subpoena to Morgan Stanley asking for information on sales of the products to state residents who are 65 or over. Some of the non-traditional investments include oil and gas partnerships, private placements, structured products, hedge funds, and tenant-in-common offerings. The state demanded information from Morgan Stanley on any such products that have been sold over the past year, the investors who purchased them, the commissions generated, how the sales were reviewed, and all relevant compliance, training and marketing materials - Morgan Stanley has until July 24 to respond. The state added that being on the list of targeted firms does not indicate wrongdoing.

Although non-traded REITs were not part of the information request, Massachusetts has expressed its heightened concern "that the senior marketplace is being targeted for the sales of these high-risk, esoteric products," Massachusetts Secretary of the Commonwealth William F. Galvin said in a statement. The state has already cracked down on a number of firms for alleged improper sales of non-traded REITs. In February 2013, the state reached a settlement with LPL Financial to pay at least $2 million in restitution and $500,000 in fines related to the sale of non-traded REITs. In May 2013, it settled REIT cases with Ameriprise Financial Services Inc., Commonwealth Financial Network, Lincoln Financial Advisors Corp., Royal Alliance Associates Inc. and Securities America Inc. The five firms agreed to pay a total of $6.1 million in restitution to investors and fines totaling $975,000.

Senior investors have become the targets of unscrupulous brokers, investment advisors and insurance agents. This is due in part to the fact that as we age, our ability to understand newer and complex investments diminishes every year. Therefore, senior retirement savings are ripe for picking and an epidemic of fraud is underway all across America. As a result many states, such as Massachusetts, have enacted laws with harsh penalties and are performing investigative sweeps to protect senior investors.

Broker-dealers have a duty to protect senior investors from broker misconduct by establishing and implementing an adequate supervisory system to oversee sales practices. If broker-dealers do not so, they may be liable to senior investors for damages flowing from an unreasonable recommendation and sale. Are you a senior investor suffering losses in your Morgan Stanley account due to an unreasonable recommendation and sale by your broker? If so, call Robert Pearce at the Law Offices of Robert Wayne Pearce, P.A. for a free consultation. Mr. Pearce is accepting clients with valid claims against Morgan Stanley stockbrokers who may have engaged in misconduct and caused investors losses.

The most important of investors' rights is the right to be informed! This Investors' Rights blog post is by the Law Offices of Robert Wayne Pearce, P.A., located in Boca Raton, Florida. For over 30 years, Attorney Pearce has tried, arbitrated, and mediated hundreds of disputes involving complex securities, commodities and investment law issues. The lawyers at our law firm are devoted to protecting investors' rights throughout the United States and internationally! Please visit our website, www.secatty.com, post a comment, call (800) 732-2889, or email Mr. Pearce at pearce@rwpearce.com for answers to any of your questions about this blog post and/or any related matter.

DAVID DARRELL ANTHONY FINED AND SUSPENDED BY FINRA FOR VIOLATING A NUMEROUS FINANCIAL INDUSTRY RULES

David Darrell Anthony, a former broker at Denver, Colorado based Multi-Financial Securities Corporation, now known as Cetera Advisors LLC, submitted an Offer of Settlement in which he consented to the described sanctions and to the entry of the Financial Industry Regulatory Authority's (FINRA) findings that he facilitated investors' tax clients and firm customers' involvement in a private securities transaction by introducing, discussing and referring them to Integrity Capital LLC for investment purposes. The findings stated that the clients and customers invested a total of $400,000 in the entity by purchasing Integrity Capital Promissory Notes offered by the entity, which are now in default. Although the promissory notes were purportedly secured, perfection of the security interest was dependent on the note purchasers' filing financing statements, and no financing statements were signed by the entity or provided to the purchasers. The client and customers were induced to purchase the promissory notes by the promised return of 9 percent interest rate per annum.

FINRA's findings also stated that Mr. Anthony failed to provide any written notice to his firm of his intention to participate in the sale of these promissory notes by introducing, discussing and referring his tax clients and customers to the entity, which led to the purchase of the entity's promissory notes, and Mr. Anthony did not receive written approval from the firm for his involvement. Mr. Anthony understood that he could apply for a commission of 1 percent to 2 percent of the amount invested by promissory note purchasers he referred to the entity. The findings also included that Mr. Anthony's recommendation of the entity to a customer was unsuitable on the basis of the customer's other securities holdings, financial situation and needs; the $100,000 constituted approximately 56.5 percent of the customer's liquid worth, resulting in an unsuitable overconcentration of her liquid assets, which exposed her to a risk of loss that exceeded her risk tolerance and investment objectives.

Mr. Anthony, of Mobile, Alabama, was fined $7,500 and suspended from association with any FINRA member in any capacity for six months. The fine must be paid either immediately upon Mr. Anthony's re-association with a FINRA member firm following his suspension, or prior to the filing of any application or request for relief from any statutory disqualification, whichever is earlier. The suspension is in effect from May 6, 2013 through November 5, 2013.

Broker-dealers must establish and implement a reasonable supervisory system to protect customers from broker misconduct. If broker-dealers do not establish and implement a reasonable supervisory system, they may be liable to investors for damages flowing from the misconduct. Therefore, investors who have suffered damages due to unauthorized and/or unsuitable investments can bring forth claims to recover losses against broker-dealers like Multi-Financial Securities Corporation.

Have you suffered losses in your Multi-Financial Securities Corporation or Cetera Advisors LLC account due to unauthorized and/or unsuitable investments? If so, call Robert Pearce at the Law Offices of Robert Wayne Pearce, P.A. for a free consultation. Mr. Pearce is accepting clients with valid claims against Multi-Financial Securities Corporation or Cetera Advisors LLC stockbrokers who may have engaged in misconduct and caused investors losses.

The most important of investors' rights is the right to be informed! This Investors' Rights blog post is by the Law Offices of Robert Wayne Pearce, P.A., located in Boca Raton, Florida. For over 30 years, Attorney Pearce has tried, arbitrated, and mediated hundreds of disputes involving complex securities, commodities and investment law issues. The lawyers at our law firm are devoted to protecting investors' rights throughout the United States and internationally! Please visit our website, www.secatty.com, post a comment, call (800) 732-2889, or email Mr. Pearce at pearce@rwpearce.com for answers to any of your questions about this blog post and/or any related matter.

MEYERS ASSOCIATES LP SUBPOENAED BY MASSACHUSETTS REGULATORS OVER SALES OF ALTERNATIVE INVESTMENTS TO SENIORS

Meyers Associates LP was subpoenaed by Massachusetts in connection with a sweep investigation, which is looking into sales practices involving alternative investments sold to seniors. Meyers Associates LP's principal office is located in New York, New York. On July 10, 2013, the state's securities division sent the subpoena to Meyers Associates LP asking for information on sales of the products to state residents who are 65 or over. Some of the non-traditional investments include oil and gas partnerships, private placements, structured products, hedge funds, and tenant-in-common offerings. The state demanded information from Meyers Associates LP on any such products that have been sold over the past year, the investors who purchased them, the commissions generated, how the sales were reviewed, and all relevant compliance, training and marketing materials - Meyers Associates LP has until July 24 to respond. The state added that being on the list of targeted firms does not indicate wrongdoing.

Although non-traded REITs were not part of the information request, Massachusetts has expressed its heightened concern "that the senior marketplace is being targeted for the sales of these high-risk, esoteric products," Massachusetts Secretary of the Commonwealth William F. Galvin said in a statement. The state has already cracked down on a number of firms for alleged improper sales of non-traded REITs. In February 2013, the state reached a settlement with LPL Financial to pay at least $2 million in restitution and $500,000 in fines related to the sale of non-traded REITs. In May 2013, it settled REIT cases with Ameriprise Financial Services Inc., Commonwealth Financial Network, Lincoln Financial Advisors Corp., Royal Alliance Associates Inc. and Securities America Inc. The five firms agreed to pay a total of $6.1 million in restitution to investors and fines totaling $975,000.

Senior investors have become the targets of unscrupulous brokers, investment advisors and insurance agents. This is due in part to the fact that as we age, our ability to understand newer and complex investments diminishes every year. Therefore, senior retirement savings are ripe for picking and an epidemic of fraud is underway all across America. As a result many states, such as Massachusetts, have enacted laws with harsh penalties and are performing investigative sweeps to protect senior investors.

Broker-dealers have a duty to protect senior investors from broker misconduct by establishing and implementing an adequate supervisory system to oversee sales practices. If broker-dealers do not so, they may be liable to senior investors for damages flowing from an unreasonable recommendation and sale. Are you a senior investor suffering losses in your Meyers Associates LP account due to an unreasonable recommendation and sale by your broker? If so, call Robert Pearce at the Law Offices of Robert Wayne Pearce, P.A. for a free consultation. Mr. Pearce is accepting clients with valid claims against Meyers Associates LP stockbrokers who may have engaged in misconduct and caused investors losses.

The most important of investors' rights is the right to be informed! This Investors' Rights blog post is by the Law Offices of Robert Wayne Pearce, P.A., located in Boca Raton, Florida. For over 30 years, Attorney Pearce has tried, arbitrated, and mediated hundreds of disputes involving complex securities, commodities and investment law issues. The lawyers at our law firm are devoted to protecting investors' rights throughout the United States and internationally! Please visit our website, www.secatty.com, post a comment, call (800) 732-2889, or email Mr. Pearce at pearce@rwpearce.com for answers to any of your questions about this blog post and/or any related matter.

MAN INVESTMENTS INC. FINED AND SUSPENDED BY FINRA FOR DISTRIBUTING MARKETING MATERIALS THAT OMITTED MATERIAL INFORMATION

New York, New York based Man Investments Inc. submitted a Letter of Acceptance, Waiver, and Consent in which the firm was censured, fined $125,000, and consented to the described sanctions and to the entry of the Financial Industry Regulatory Authority's findings that it distributed marketing materials that omitted material information, failed to provide a balanced presentation or failed to provide a sound basis for evaluating certain information presented. The marketing materials consisted of quarterly fund updates, annual summaries and printed slide presentations that were prepared by the funds and/or the firm. The findings stated that presentations, used as marketing materials, used selective, positive examples of how activism and event-driven/special situations raise stock prices but omitted negative counter-examples thereby failing to provide a balanced presentation.

FINRA's findings also stated that an investment product brochure, promoting a structured product hedge fund, contained certain risk disclosures but failed to specifically disclose that the fund was speculative and involved a substantial degree of risk. While the brochure contained certain fee information, it failed to specifically disclose that significant fees and expenses would be imposed by the fund and the fact that such fees may offset any profits. The brochure also failed to disclose in close proximity to the discussion of the fund's performance certain material information regarding the fund's performance. The brochure's explanation of the fund's use of leverage and its principal protection feature was incomplete, unbalanced and failed to provide a sound basis for evaluating the merits of investing in the fund. The communication illustrated only potential benefits of the fund's use of leverage while failing to adequately address the risks and additional costs associated with the strategy. In addition, the brochure contained misleading and unwarranted descriptions of the fund's investment objectives by failing to provide a basis for statements regarding the annualized volatility of the fund and by including performance information for a non-U.S. version of the fund, while not clearly identifying the data as related performance.

Moreover, the communication emphasized the investment upside potential of the fund's principal protection feature and included only general statements regarding the negative aspects of a principal protection feature. FINRA found that the firm also distributed communications that contained exaggerated claims. In one instance, a communication made a prohibited performance projection, which implied that past performance will reoccur. The marketing materials have since been amended or are no longer being used by the firm.

FINRA prohibits false, misleading, or exaggerated communications with the public and the omission of material facts or qualifications that would cause a communication to be misleading. All communications must comply with principles of fair dealing and good faith. Therefore, investors who have suffered damages due to their reliance on insufficient and/or misleading marketing materials can bring forth claims to recover losses against broker-dealers like Man Investments, which should have adequately informed its investors of the risks and performance of the subject funds.

Have you suffered losses in your Man Investments account due to misrepresented funds and/or other investments? If so, call Robert Pearce at the Law Offices of Robert Wayne Pearce, P.A. for a free consultation. Mr. Pearce is accepting clients with valid claims against Man Investments stockbrokers who may have engaged in misconduct and caused investors losses.

The most important of investors' rights is the right to be informed! This Investors' Rights blog post is by the Law Offices of Robert Wayne Pearce, P.A., located in Boca Raton, Florida. For over 30 years, Attorney Pearce has tried, arbitrated, and mediated hundreds of disputes involving complex securities, commodities and investment law issues. The lawyers at our law firm are devoted to protecting investors' rights throughout the United States and internationally! Please visit our website, www.secatty.com, post a comment, call (800) 732-2889, or email Mr. Pearce at pearce@rwpearce.com for answers to any of your questions about this blog post and/or any related matter.

INVESTORS CAPITAL CORP. SUBPOENAED BY MASSACHUSETTS REGULATORS OVER SALES OF ALTERNATIVE INVESTMENTS TO SENIORS

Investors Capital Corp. was subpoenaed by Massachusetts in connection with a sweep investigation, which is looking into sales practices involving alternative investments sold to seniors. Investors Capital Corp.'s principal office is located in Lynnfield, Massachusetts. On July 10, 2013, the state's securities division sent the subpoena to Investors Capital Corp. asking for information on sales of the products to state residents who are 65 or over. Some of the non-traditional investments include oil and gas partnerships, private placements, structured products, hedge funds, and tenant-in-common offerings. The state demanded information from Investors Capital Corp. on any such products that have been sold over the past year, the investors who purchased them, the commissions generated, how the sales were reviewed, and all relevant compliance, training and marketing materials Investors Capital Corp. has until July 24 to respond. The state added that being on the list of targeted firms does not indicate wrongdoing.

Although non-traded REITs were not part of the information request, Massachusetts has expressed its heightened concern "that the senior marketplace is being targeted for the sales of these high-risk, esoteric products," Massachusetts Secretary of the Commonwealth William F. Galvin said in a statement. The state has already cracked down on a number of firms for alleged improper sales of non-traded REITs. In February 2013, the state reached a settlement with LPL Financial to pay at least $2 million in restitution and $500,000 in fines related to the sale of non-traded REITs. In May 2013, it settled REIT cases with Ameriprise Financial Services Inc., Commonwealth Financial Network, Lincoln Financial Advisors Corp., Royal Alliance Associates Inc. and Securities America Inc. The five firms agreed to pay a total of $6.1 million in restitution to investors and fines totaling $975,000.

Senior investors have become the targets of unscrupulous brokers, investment advisors and insurance agents. This is due in part to the fact that as we age, our ability to understand newer and complex investments diminishes every year. Therefore, senior retirement savings are ripe for picking and an epidemic of fraud is underway all across America. As a result many states, such as Massachusetts, have enacted laws with harsh penalties and are performing investigative sweeps to protect senior investors.

Broker-dealers have a duty to protect senior investors from broker misconduct by establishing and implementing an adequate supervisory system to oversee sales practices. If broker-dealers do not so, they may be liable to senior investors for damages flowing from an unreasonable recommendation and sale. Are you a senior investor suffering losses in your Investors Capital Corp. account due to an unreasonable recommendation and sale by your broker? If so, call Robert Pearce at the Law Offices of Robert Wayne Pearce, P.A. for a free consultation. Mr. Pearce is accepting clients with valid claims against Investors Capital Corp. stockbrokers who may have engaged in misconduct and caused investors losses.

The most important of investors' rights is the right to be informed! This Investors' Rights blog post is by the Law Offices of Robert Wayne Pearce, P.A., located in Boca Raton, Florida. For over 30 years, Attorney Pearce has tried, arbitrated, and mediated hundreds of disputes involving complex securities, commodities and investment law issues. The lawyers at our law firm are devoted to protecting investors' rights throughout the United States and internationally! Please visit our website, www.secatty.com, post a comment, call (800) 732-2889, or email Mr. Pearce at pearce@rwpearce.com for answers to any of your questions about this blog post and/or any related matter.