Private Securities Transactions

Former IFS Securities Broker, Steven Schisler, Facing Disciplinary Charges by FINRA for Numerous Alleged Misconduct, Including Unsuitable Investment Recommendations to An Elderly Couple

Published on: April 14, 2021 | by Iorio Altamirano

The Financial Industry Regulatory Authority’s Department of Enforcement has filed a disciplinary proceeding complaint against former broker Steven Schisler. The complaint alleges that from April 2009 to October 2020, Steven Schisler committed nine separate violations of FINRA and NASD rules related to his dealings with two sets of retired customers and IFS Securities, the firm that employed him. Specifically, the FINRA complaint alleges:

made an unsuitable recommendation to two elderly, married customers;
participated, without the approval of his firm, in a private securities transaction with those customers;

Investigation: Former MML Investor Services, LLC Broker, Oscar Francis, Reportedly Recommended GPB Capital Holdings to Customers – Fort Lauderdale, Florida

Published on: April 12, 2021 | by Iorio Altamirano

Iorio Altamirano LLP is currently investigating former MML Investor Services, LLC broker Oscar Francis, who reportedly recommended that his customers invest in private placement securities issued by GPB Capital. The GPB notes, which are private securities offerings exempt from registration with the Securities and Exchange Commission (SEC), are inherently risky investments. These investments are suitable only for highly sophisticated investors who understand the risks and can afford a significant monetary loss. Unfortunately, many brokerage firms and brokers sold the GPB Capital securities to retirees and unsophisticated investors because they paid a high up-front commission.

Mr. Francis was a broker at MML Investors Services, LLC, Inc. in Ft. Lauderdale, Florida, from July 2008 to May 2017. At that time, MML terminated his employment connected with an investigation into an undisclosed outside business activity, selling away, and an unauthorized non-securities life insurance transaction. In August 2018, Mr. Francis pleaded guilty to wire fraud after admitting that between June 25, 2012, and May 31, 2017, he devised a scheme to defraud at least eleven investors out of approximately $665,000. Mr. Francis was subsequently sentenced to 41 months in prison and ordered to pay over $420,000 in restitution to clients. In May 2019, he was also barred by the SEC from association from associating with any broker, dealer, or investment advisor.

Iorio Altamirano LLP is also investigating the sales practices and due diligence of MML Investors Services, LLC related to its sale of GPB Capital funds. It is believed, according to reports, that MML has been subjected to numerous lawsuits from customers in the form of FINRA securities arbitration claims to recover investment losses.

Burlington, Vermont Financial Advisor Louis Olave Suspended by FINRA

Published on: April 8, 2021 | by Iorio Altamirano

The Financial Industry Regulatory Authority (“FINRA”) has suspended broker Louis Olave from the securities industry for three months and ordered him to pay a $5,000 fine. FINRA sanctioned Mr. Olave because he solicited seven clients to purchase $217,477 worth of Future Income Payments, LLC. This blog has previously written about Future Income Payments, LLC.

Mr. Olave was a financial advisor with Questar Capital Corporation at the time of the alleged conduct. He has since moved to Lincoln Investment.

Iorio Altamirano LLP is interested in speaking with customers of Mr. Olave or Questar Capital Corporation. Contact securities arbitration law firm Iorio Altamirano LLP for a free and confidential review of your legal rights.

Trevor Rahn, Former J.P. Morgan Securities Broker, Suspended for Unauthorized Trades, Unsuitable Recommendations, and Mismarked Orders – Los Angeles, CA

Published on: March 22, 2021 | by Iorio Altamirano

FINRA has suspended financial advisor Trevor B. Rahn from the securities industry for 18 months and fined him $10,000.

FINRA alleged that Mr. Rahn engaged in a pattern of breaking up customer orders for execution in violation of FINRA Rules. Specifically, from January 2014 to September 2018, Mr. Rahn recommended an “average pricing” investment strategy to his customers in which he executed orders by breaking them into multiple small trades, each generating a separate commission. Mr. Rahn lacked a reasonable basis to believe this strategy was suitable for his customers. Connected with this strategy, Mr. Rahn exercised time and price discretion on over 7,500 trades without the required authorization.

FINRA also alleged that Mr. Rhan executed 577 unauthorized trades in a customer’s account and that he mismarked 4,714 solicited trades in three customer accounts as “unsolicited” in violation of FINRA Rules.

Former Purshe Kaplan Sterling Broker Tonya Nicole Smoake Suspended by FINRA – New York, NY

Published on: March 21, 2021 | by Iorio Altamirano

FINRA has suspended former Purshe Kaplan Sterling broker Tonya Nicole Smoake from the securities industry for 12 months for participating in private securities transactions without her firm’s knowledge or approval.

Smoake was also fined $5,000. She is no longer associated with a FINRA member but remains subject to FINRA’s jurisdiction.

If you have lost money with Tonya Nicole Smoake, or Purshe Kaplan Sterling, contact New York securities arbitration lawyers Iorio Altamirano LLP for a free and confidential evaluation of your account.

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

Palm City, Florida Financial Advisor, Richard Shelley, Formerly of Packerland Brokerage Services, Inc., Suspended by FINRA

Published on: March 5, 2021 | by Iorio Altamirano

The Financial Industry Regulatory Authority (“FINRA”) has suspended broker Richard Scott Shelley from the securities industry for one month and ordered him to pay a $5,000 fine. FINRA sanctioned Mr. Shelley because he solicited a client to purchase $29,500 worth of Future Income Payments, LLC. This blog has previously written about Future Income Payments, LLC.

Mr. Reed was a financial advisor with Packerland Brokerage Services, Inc. (“Packerland”) in Palm City, Florida, from December 2002 until December 2020.

Iorio Altamirano LLP is interested in speaking with customers of Mr. Shelley or Packerland Brokerage Services, Inc. Contact securities arbitration law firm Iorio Altamirano LLP for a free and confidential evaluation of your account.

Former Woodrock Securities, L.P. and Campfire Capital Broker, Sean McDevitt, Suspended by FINRA

Published on: February 26, 2021 | by Iorio Altamirano

The Financial Industry Regulatory Authority (“FINRA”) has suspended broker Sean Daniel McDevitt for six months from the securities industry over allegations that Mr. McDevitt, while associated with Woodrock Securities, L.P. in Houston, Texas, participated in four private securities transactions totaling $600,000 without notice to or approval from his firm. FINRA also fined Mr. McDevitt $10,000.

Mr. McDevitt was a financial advisor with Woodrock Securities, L.P. in Houston, Texas, from November 2015 until December 2016. He was then registered with Campfire Capital in Chappaqua, New York, from July 2017 until January 2021.

If you have lost money with broker Sean McDevitt, Woodrock Securities, L.P., or Campfire Capital, contact New York securities arbitration lawyers Iorio Altamirano LLP for a free and confidential evaluation of your account.