* Damage field dollar figures are divided by 1,000 and rounded to the nearest $100; e.g., $2,500 appears as" 2.5."
Case Summary
A sole Arbitrator recommends the expungement of two customer complaints, one alleging the recommendation of overly aggressive securities and the other unauthorized trading, from a claimant broker's CRD records.
Notes
Arbitrator Remarks -- Expungement granted.
People & Entities
Arbitrators
James John Jurinski, JD
Broker-Dealers Named
Merrill Lynch Pierce Fenner & Smith Incorporated; Morgan Stanley & Company LLC
* Damage field dollar figures are divided by 1,000 and rounded to the nearest $100; e.g., $2,500 appears as" 2.5."
Case Summary
A broker wins expungement of a customer complaint alleging that he failed to follow the customer's request that he liquidate a portion of her portfolio.
* Damage field dollar figures are divided by 1,000 and rounded to the nearest $100; e.g., $2,500 appears as" 2.5."
Case Summary
A customer settles her claims regarding a private placement investment hedge fund and a non-party broker wins expungement of them from his CRD records.
Notes
This is a Stipulated Award. All-Public Panel. Arbitrator Remarks -- Expungement granted.
Arbitrators
Mary M. O'Neil - Chair; Natalie Panossian-Bassler; Stephen Mack, III
Broker-Dealers Named
Morgan Stanley
Professionals
Cs: Bruce D. Oakes, Oakes & Fosher, St. Louis, MO.
Rs: (MSSBLLC) Nicholas Y. Lin, Legal & Compliance, San Francisco, CA. ISC.
* Damage field dollar figures are divided by 1,000 and rounded to the nearest $100; e.g., $2,500 appears as" 2.5."
Case Summary
A sole Arbitrator dismisses a broker's counterclaim because he failed to pay the filing fee or register for the FINRA Portal. The Arbitrator then holds the broker liable for breach of a promissory note.
Notes
Sanctions imposed. Arbitrator Remarks.
Arbitrators
Ralph L. Jacobson
Broker-Dealers Named
Wells Fargo Clearing Services LLC
Professionals
Cs: (WFCSLLC) Timothy N. Will, Albert & Will, Torrance, CA. OSC.
* Damage field dollar figures are divided by 1,000 and rounded to the nearest $100; e.g., $2,500 appears as" 2.5."
Case Summary
After a customer settles his claims of elder abuse and misrepresentation, among other causes of action, the Panel grants expungement relief to one of the respondent brokers, finding that he was not involved.
Notes
This is a Stipulated Award. All-Public Panel. Panel composition issue. Arbitrator Remarks -- Expungement granted.
Arbitrators
Diane M. Perry, Esq. - Chair; Donald Theodore Ryce, Jr., Esq.; Joseph Michael Librie
Broker-Dealers Named
Cadaret Grant & Company Incorporated
Professionals
Cs: Bradford M. Gucciardo, Gucciardo Law Group PA, Lakewood Ranch, FL.
* Damage field dollar figures are divided by 1,000 and rounded to the nearest $100; e.g., $2,500 appears as" 2.5."
Case Summary
A broker wins expungement of a customer arbitration arising from a private placement of stock, but fails to secure similar relief with respect to another customer complaint after the customer shows up at the expungement hearing to contest the broker's request.
Notes
Arbitrator Remarks -- Expungement granted.
Arbitrators
Gerald W. Hepp
Broker-Dealers Named
Berthel Fisher & Company Financial Services Incorporated
Professionals
Cs: (JPL) Michael Bessette, AdvisorLaw LLC, Broomfield, CO.
Rs: (BF&CFSInc) Shelley Davenport, Vice President Legal & Regulatory Matters, Cedar Rapids, IA. ISC.
* Damage field dollar figures are divided by 1,000 and rounded to the nearest $100; e.g., $2,500 appears as" 2.5."
Case Summary
A customer alleges that respondents engaged in unauthorized trading and over-concentrated his account in unsuitable securities. However, when he ignores a discovery order, the Panel dismisses his claims and recommends expunging them from the CRD records of the only respondent who pursues his request for that remedy.
Notes
Pre-Hearing Adjudication -- Full Dismissal. Sanctions imposed. Majority Public Panel. Arbitrator Remarks -- Expungement granted.
Arbitrators
Steven H. Vogel, Esq. - Chair; Frank A. Dusek, CPA; Stephen W. Mack
Broker-Dealers Named
NewBridge Securities Corporation; National Securities Corporation
Professionals
Cs: James Malachy Meaney, Meaney & Meaney, Huntington, NY as of 9/12/17. Cs was originally represented by counsel until 1/5/17 when a Notice of Substitution Representation was filed by a non-attorney representative. On 7/5/17, a Notice of Appearance was filed by counsel.
* Damage field dollar figures are divided by 1,000 and rounded to the nearest $100; e.g., $2,500 appears as" 2.5."
Case Summary
A customer settles his claims alleging that his broker failed to properly advise him of the nature and risks of a MetLife Balanced variable annuity, among other claims, and the Panel expunges the claim from the broker's CRD records.
Notes
This is a Stipulated Award. All-Public Panel. Arbitrator Remarks -- Expungement granted.
Arbitrators
Jeff Howard Abrams - Chair; Ashley Lucile Belleau, Esq.; Mark A. Myers, Esq.
Broker-Dealers Named
Williams Financial Advisors LLC; LPL Financial LLC
Professionals
Cs: Steven G. Durio, Durio McGoffin et al., Lafayette, LA.
Rs: (SCD, LPLFLLC & WFALLC) Thomas F. Barnett, Boston, MA. ISC.
* Damage field dollar figures are divided by 1,000 and rounded to the nearest $100; e.g., $2,500 appears as" 2.5."
Case Summary
A Panel recommends expungement of a previously settled customer arbitration claim regarding the purchase and liquidation of a Pacific Life Variable Annuity from a claimant broker's CRD records.
Notes
Majority Public Panel. Arbitrator Remarks -- Expungement granted. Explained Award.
Arbitrators
James W. (Jim) Geiger - Chair; Ellen F. Kandell; Timothy J. Wright
Broker-Dealers Named
Morgan Stanley Smith Barney LLC
Professionals
Cs: (BCO) Timothy C. Lynch & Sarah M. Sawyer, Offit Kurman PA, Baltimore, MD.
* Damage field dollar figures are divided by 1,000 and rounded to the nearest $100; e.g., $2,500 appears as" 2.5."
Case Summary
A customer alleging that his broker over-concentrated his account in securities that were unsuitable for his risk tolerance or trading strategy settles with the broker's employer and obtains a default judgment against the broker.
Notes
Rs Meyers Associates LP was not assessed any portion of the awarded amount. Rs Michael Scott LaVolpe aka Michael S. LaVordie was assessed. Rule 12801 default judgment. Panel composition issue.
Arbitrators
Susan L. Walker, Esq.
Broker-Dealers Named
Meyers Associates Limited Partnership
Professionals
Cs: Bradley Schnur, Law Office of B. Schnur PC, Jericho, NY. as of 7/29/17. Cs was previously represented by a non-attorney representative. On 10/19/16, a Notice of Appearance was filed by counsel.
Rs: (MALP) Gregory S. Sparer, Baritz & Colman, New York, NY. OSC. as of 9/7/17. Previously represented by other counsel.
* Damage field dollar figures are divided by 1,000 and rounded to the nearest $100; e.g., $2,500 appears as" 2.5."
Case Summary
After 80 hearing sessions, a broker-dealer proves its raiding claim against a rival, winning injunctive relief, compensatory damages, attorney fees and costs, but its recovery is reduced by sanctions. Complicating matters, the claimant's former counsel asserts a lien against the recovery.
Notes
Rs Steven E. Savoy was not assessed any portion of the awarded amount. Rs Oppenheimer & Company Incorporated was assessed. Raiding case. Bankruptcy involved. PHL -- TRO granted. Sanctions imposed. Setoff Award. Arbitrator Remarks.
Arbitrators
Robert J. Kheel, Esq. - Chair; Jack Friedman, Esq.; Jerry M. Greenspan
Broker-Dealers Named
Euro Pacific Capital Incorporated; Oppenheimer & Company Incorporated
Professionals
Cs: (EPCInc) Rachael Kierych, Robin Kaplan LLP, New York, NY. OSC.
Rs: (O&CInc) S. Lawrence Polk, Eversheds Sutherland (US) LLP, Atlanta, GA. OSC.
Rs: (SES) Christopher E. Chang, Law Offices of C.E. Chang, New York, NY.
T-Pty Cs: (O&CInc) S. Lawrence Polk, Eversheds Sutherland (US) LLP, Atlanta, GA. OSC.
T-Pty Rs: (SES) Christopher E. Chang, Law Offices of C.E. Chang, New York, NY.
* Damage field dollar figures are divided by 1,000 and rounded to the nearest $100; e.g., $2,500 appears as" 2.5."
Case Summary
After customers settle their claims regarding an investment in GMF Warren/Tulane bonds, their broker (who was not a party to the arbitration) wins expungement of the claims from his CRD records.
Notes
This is a Stipulated Award. All-Public Panel. Arbitrator Remarks -- Expungement granted.
Arbitrators
Joseph J. Arata, Esq. - Chair; Paul Bennett Marrow; Barry Stephen Spector
Broker-Dealers Named
The GMS Group LLC
Professionals
Cs: Michael C. Farkas, Attorney-at-Law, New York, NY.
Rs: (TGMSGLLC) Alex R. Schmidt, Lubiner Schmidt & Palumbo, Cranford, NJ. OSC.
* Damage field dollar figures are divided by 1,000 and rounded to the nearest $100; e.g., $2,500 appears as" 2.5."
Case Summary
A sole Arbitrator recommends the expungement from a broker's CRD records of three customer complaints alleging that the broker recommended high-risk securities to customers who were either risk-averse or wanted only moderate risk.
Notes
Arbitrator Remarks -- Expungement granted.
Arbitrators
Ted M. Rosen, Esq.
Broker-Dealers Named
Oppenheimer & Company Incorporated; Raymond James & Associates Incorporated
Professionals
Cs: (PCM) Robert L. Herskovits, Herskovits PLLC, New York, NY.
Rs: (O&CInc) Ralph T. Izzo, New York, NY. ISC.
Rs: (RJ&AInc) Robert M. Rudnicki, St. Petersburg, FL. ISC.
* Damage field dollar figures are divided by 1,000 and rounded to the nearest $100; e.g., $2,500 appears as" 2.5."
Case Summary
A sole Arbitrator recommends expungement of a customer complaint from a broker's CRD records, finding that the customer relied on false information when he complaint and then withdrew his complaint.
* Damage field dollar figures are divided by 1,000 and rounded to the nearest $100; e.g., $2,500 appears as" 2.5."
Case Summary
After denying a motion to dismiss an expungement proceeding based on the Six-Year Eligibility Rule, a sole Arbitrator explains his decisions to recommend expungement of two customer complaints, one of which alleged the unauthorized purchase of stock and the other the purchase of unsuitable stock, from a broker's CRD records.
Notes
Arbitrator Remarks -- Expungement granted.
Arbitrators
Michael D. McDowell
Broker-Dealers Named
AG Edwards & Sons Incorporated; Merrill Lynch Pierce Fenner & Smith Incorporated
* Damage field dollar figures are divided by 1,000 and rounded to the nearest $100; e.g., $2,500 appears as" 2.5."
Case Summary
A broker-dealer receives an award of the unpaid balances of two promissory notes, dated 2014 and 2015, with interest, in their claim against one of their former employees.
Notes
None.
Arbitrators
Maurice M. Feller, Esq.
Broker-Dealers Named
Wells Fargo Clearing Services LLC
Professionals
Cs: (WFCSLLC) Gregory S. Tendrich, G. Tendrich PA, Boca Raton, FL. OSC.
* Damage field dollar figures are divided by 1,000 and rounded to the nearest $100; e.g., $2,500 appears as" 2.5."
Case Summary
A sole Arbitrator explains his decision to grant pre-hearing dismissal of a customer's unsuitability claim under FINRA's Six-Year Eligibility Rule, even as the Arbitrator acknowledges that the eligibility period may be subject to tolling.
Notes
Pre-Hearing Adjudication -- Full Dismissal. Arbitrator Remarks. Explained Award.
Arbitrators
Craig Charles Beles, Esq.
Broker-Dealers Named
Charles Vista LLC
Professionals
Cs: Jennifer Tarr, Cold Spring Advisory Group, New York, NY.
Rs: (AJS, AJU & JV) Michael P. Gilmore, Moss & Gilmore, Mineola, NY.
Rs: (MRM) None.
Rs: (CVLLC) No-show.
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