Stock Broker Legal News Articles & Interviews

Washington, DC: Morgan Stanley has been ordered to pay $8.6 million in a stockbroker arbitration claim that alleged unauthorized trading. The award was given to Denis Doyle, who filed the Financial Industry Regulatory Authority (FINRA) arbitration after his accounts experienced a drastic decline in value. Although FINRA typically does not comment on its rulings, according to The Wall Street Journal (6/3/16), the panel cited financial elder abuse when it awarded $2 million in punitive damages.

Washington, DC: The Financial Industry Regulatory Authority (FINRA) has barred two brokers from the securities industry after finding the brokers guilty of fraud related to their sale of the Prestige Wealth Management Fund, LP. The brokers reportedly consented to the entry of FINRA’s findings but neither admitted nor denied the claims of stockbroker fraud.

West Palm Beach, FL: A FINRA arbitration panel has ordered a securities firm, the founder of the firm and a broker to pay almost $2 million to investors who alleged they were victims of stockbroker fraud and churning. The Financial Industry Regulatory Authority (FINRA) issued the ruling after investors claimed the firm, its founder and a broker violated the Florida Uniform Fraudulent Transfer Act.

Washington, DC: The Financial Industry Regulatory Authority (FINRA) has ordered more fines be paid out linked to the sale of Puerto Rico bonds. The fines were handed out after allegations were made that certain financial institutions failed to properly supervise employees trading bonds in Puerto Rico and allegedly downplayed the risks associated with the bonds. Additionally, FINRA has handed out other fines linked to stockbroker fraud in its stockbroker arbitration hearings.

Jackson, MS The Financial Industry Regulatory Authority (FINRA) has ordered Morgan Stanley to pay $2.3 million to investors, after the investors alleged in a stockbroker arbitration that the financial firm did not properly oversee its brokers, allowing mismanagement of investor accounts. Investors further alleged in their stock arbitration that the brokers engaged in misconduct in handling investments.

Washington, DC Two recent FINRA (Financial Industry Regulatory Authority) stockbroker arbitration rulings have seen FINRA panels award millions of dollars to investors who complained about stockbroker fraud or unsuitable investments. One of the stockbroker arbitration complaints was decided against UBS, while the other was decided against Goldman Sachs.

Washington, DC Investors who feel they have been victims of stockbroker fraud can make their case in stockbroker arbitration, filed with the Financial Industry Regulator Authority (FINRA). But some critics of the stockbroker industry say stockbrokers should be subject to stricter rules concerning how they advise clients. As too many investors know, when a stockbroker’s advice is bad, lifesavings can be lost.

Nacogdoches, TX A semi-retired logger and lumber company owner is alleged to have lost about $1 million dollars in his investment account due to stock broker fraud, Reuters reported in January. Brokers working on behalf of Oppenheimer & Co. (Oppenheimer) are alleged to have participated in excessive trading, or “churning,” in order to earn more commission dollars for themselves, and for Oppenheimer.

New York, NY It might seem odd for the Financial Industry Regulatory Authority (FINRA) to fight against a clause requiring FINRA arbitration over lawsuits in any disputes, but that is exactly what FINRA has done. The organization lost its initial bid against Charles Schwab, who moved to have its customers agree to arbitration over a lawsuit when disputes arise. Although FINRA’s argument was heard by one of its own panels, the panel found in favor of Schwab.

Boston, MA When investors sign up with an investment advisor, they usually sign a contract requiring that in the case of a dispute with their advisor, they go through stockbroker arbitration to settle the dispute. The Financial Industry Regulatory Authority (FINRA) stockbroker arbitration process is designed to resolve claims such as stockbroker fraud and other disagreements between investment advisors and their clients. But some critics argue the arbitration process is flawed and does not always help victims of stockbroker investment fraud.