* 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
In this small claims case, a customer alleging that Respondent broker-dealer violated the Electronic Funds Transfer Act by transferring her account to another broker-dealer is awarded damages including attorney fees pursuant to Section 15 U.S.C. 1693m(a)(3) of the EFTA.
Notes
Arbitrator Remarks.
Arbitrators
Helen Marinak Blohm, Esq. (fka Helen M. Marinak, Esq.)
Broker-Dealers Named
E*Trade Securities LLC
Professionals
Cs: Andrei Armas, Armas & Joseph, Montebello, CA.
Rs: (ETSLLC) Meredith Hoffman, Jersey City, NJ. 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
Although the Arbitrator Chair dissents with the rest of the Panel, a customer is awarded damages against Respondent broker-dealer after alleging that her funds were fraudulently electronically transferred to a third-party bank account without her consent.
Notes
Majority Public Panel. Arbitrator Remarks -- Arbitrator Chair dissents without explanation.
Arbitrators
Andrew M. Mintzer, CPA (Dissents) - Chair; Barry D. Kaye; Mario H. Metzger
Broker-Dealers Named
Fidelity Brokerage Services LLC
Professionals
Cs: Pro se.
Rs: (FBSLLC) Elizabeth H. Lindh, Keesal Young & Logan, Long Beach, CA. OSC and Chan Nam, FMR LLC Legal Department, Jersey City, NJ. 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
Claimant broker loses his request for reformation of his Form U5 record for his failure to appear at the hearing and meet his burden of proof and is held liable to Respondent broker-dealer for the amounts due and owing pursuant to a promissory note and representative agreement.
Notes
Arbitrator Remarks.
Arbitrators
John J. Mager, Esq. - Chair; Robert M. Singer; Karen Kim
Broker-Dealers Named
LPL Financial LLC
Professionals
Cs: (KJC) None.
Rs: (LPLFLLC) Matthew T. Bohenek & Andrew R. Park, 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
Two customer trustees alleging elder abuse and unsuitability with respect to the purchase of the Spirit of America Energy Fund and Energy 11 LP settle their case against Respondent. Non-Party broker is granted expungement of this matter from his CRD record.
Notes
This is a Stipulated Award. Rescission Requested. All-Public Panel. Arbitrator Remarks -- Expungement granted.
Arbitrators
Monica I. Salis, Esq. - Chair; Susan J. Jones; Eric Mealus
Broker-Dealers Named
David Lerner Associates Incorporated
Professionals
Cs: August M. Iorio, Iorio Altamirano LLP, New York, NY.
Rs: (DLAInc) Michael G. Shannon & Riccardo M. DeBari & Anna K. Stark, Thompson Hine LLP, New York, NY. 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
An All-Public Panel grants, without prejudice, Respondent broker-dealer's Pre-Hearing Motion to Dismiss pursuant to FINRA Rule 12206 (Six-year Eligibility Rule) finding that the date of purchase of the subject alternative investments occurred more than 6 years prior to the filing of the Statement of Claim.
Notes
Pre-Hearing Adjudication -- Full Dismissal. All-Public Panel. Arbitrator Remarks.
Arbitrators
Mimi B. Osiason - Chair; Maurice M. Feller, Esq.; Kathy A. Tatone, Esq.
Broker-Dealers Named
First Allied Securities Incorporated
Professionals
Cs: Nicholas J. Guiliano, The Guiliano Law Group, Philadelphia, PA.
Rs: (FASInc) Benjamin J. Biard & Zachary S. Knoblock, Winget Spadafora Schwartzberg LLP, Miami, 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
In this selling away case, two customers (Joint Tenants) alleging that they were led to believe the securities they were investing in were safe when in fact they were illiquid are awarded damages against a non-appearing broker. Said customers voluntarily dismissed with prejudice their claims against Respondent broker-dealer as their claims related to activities and sales that occurred outside Respondent broker's employment with Centaurus Financial.
Notes
Rs Centaurus Financial Inc. was not assessed any portion of the awarded amount. Rs Joseph Michael Todd was assessed. Rescission Requested. Selling Away case. All-Public Panel. Arbitrator Remarks.
Arbitrators
Nicholas John Taldone, Esq. - Chair; Joanna Salapska-Gelleri; Lloyd S. Green, Esq.
Broker-Dealers Named
Centaurus Financial Incorporated
Professionals
Cs: Mark E. Maddox, Maddox Hargett & Caruso, Fishers, IN.
Rs: (CFInc) Chad Weaver & Elizabeth Fellmeth, Freeman Mathis & Gary, Seal Beach, 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
In this small claims arbitration, a customer alleging that Respondent broker failed to communicate with her after he purchased securities for her portfolio and placed her in non-transferable accounts loses her case. Respondent broker loses his request for expungement of this matter from his CRD record after a contested hearing on the expungement.
Notes
Please Note* This case was administered under the Special Proceeding option for simplified cases.
Arbitrators
Susanne J. Hollander, Esq.
Broker-Dealers Named
Edward Jones
Professionals
Cs: Pro se.
Rs: (EDJ&CLP, DES & SW) Thomas J. McDonell, Quarles & Brady, Chicago, IL. OSC and Jonathan W. Hackbarth, Quarles & Brady, Milwaukee, WI. 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
Although a customer loss funds in his retirement account, the Arbitrator determined that Respondent broker-dealer did not violate any FINRA rule or have a duty to monitor said customer's account activities as the account was self-directed. Thus, the customer's claims are denied.
Notes
Arbitrator Remarks -- Explained Award.
Arbitrators
Andrea J. Goldman, Esq.
Broker-Dealers Named
Sofi Securities LLC
Professionals
Cs: Pro se.
Rs: (SSLLC) William Corey & Andrew Marsh, 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 group of customers (on behalf of their respective IRA accounts) alleging they were placed in high-risk investments such as Enerplus Corporation, gold, and variable annuities voluntarily dismiss their claims against Respondents with prejudice (NO SETTLEMENT AGREEMENT). Respondent broker loses his request for expungement of this matter from his CRD record after a contested hearing on the request.
Notes
All-Public Panel.
Arbitrators
Barbara M. Zak, Esq. - Chair; Avery B. Goodman, Esq.; Ann H. Nevers
Broker-Dealers Named
Cetera Advisors LLC
Professionals
Cs: Richard S. Frankowski, The Frankowski Firm LLC, Birmingham, AL.
Rs: (CALLC & RAP) Edwin A. Barkel, Lewis Roca et al., Phoenix, AZ. 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
Claimant broker is awarded damages on his breach of contract claim while Respondent broker-dealer loses its Counterclaim seeking the alleged amounts due and owing on a promissory note agreement.
Notes
Arbitrator Remarks.
Arbitrators
Julian F. Santos, Esq. - Chair; Veronica Ann Williams; Jennifer Lupo, JD
Broker-Dealers Named
Aegis Capital Corporation
Professionals
Cs: (JAS) Michael S. Hill, Menzer & Hill, Boca Raton, FL.
Rs: (ACCorp) Michael P. Gilmore, Moss & Gilmore, Mineola, NY. 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 broker alleging wrongful termination and seeking reformation of alleged defamatory information from his Form U5 record loses his case against Respondent broker-dealer and registered representative.
Notes
None.
Arbitrators
Daniel Robbins, Esq. - Chair; Charlane Brown; Carole R. Bernstein, Esq.
Broker-Dealers Named
UBS Financial Services Incorporated
Professionals
Cs: (DRW) Jeffrey L. Liddle, The Liddle Law Firm PLLC, New York, NY.
Rs: (UBSFSInc & CCA) Lloyd B. Chinn, Proskauer Rose LLP, New York, NY. 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
Registered Rep wins expungement of a customer complaint from appearing on his CRD record after the Arbitrator found the occurrence to be factually impossible and false.
* 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
Respondent broker is held liable for the amounts due and owing pursuant to an executed promissory note and loses his Counterclaim for wrongful termination.
Notes
Big $s. Arbitrator Remarks.
Arbitrators
John James McGovern, Jr., Esq. - Chair; Jud Perkins; Peter Svorinic
Broker-Dealers Named
Ameriprise Financial Services Incorporated
Professionals
Cs: (AFSInc) Scott A. La Porta, Shumaker Loop & Kendrick, Sarasota, 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 personal representative (on behalf of the customer estate) settles her case against Respondents after alleging that they failed to determine and/or investigate the customer's mental state after she gave control of her assets to her daughter, thus causing loses in the account. Respondent broker is granted expungement of this matter from his CRD record despite the objection of the customer.
Notes
This is a Stipulated Award. All-Public Panel. Arbitrator Remarks -- Expungement granted.
Arbitrators
Brian James Tagtmeier - Chair; Stephen Andrew McCarthy; John Donahue Sullivan
Broker-Dealers Named
Sun Life Institutional Distributors LLC; LPL Financial LLC
Professionals
Cs: Robert H. Rex, Dickenson Murphy et al., Austin, TX and Chetan Patil, Patil Law, Los Angeles, CA.
Rs: (SLIDLLC) Michael G. Brown, Figari + Davenport LLP, Dallas, TX. OSC.
Rs: (LPLFLLC & JJC) Jack D. Ballard, Bressler Amery & Ross, Houston, TX. OSC.
Rs: (UBSFSInc) John Murphy, J. Murphy & Associates, New York, NY. OSC.
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