UPDATE : ARBchek

This Report is a product of Securities Arbitration Commentator, Inc.

New Award Briefs

Report Dated: 2023-06-05

2023-10

Primary Sort

Secondary Sort

Dispute Information

Damages*

TypeDisp

SmallClms

Allegation I

Suitability

Short Caption

Nickerson v. LPL Financial

Allegation II

Misreprestn

Forum

FINRA

Allegation III

BreachContract

Docket No

21-02116

Products

BDCs; REITs

Issue Date

2023-05-03

Situs

Little Rock

State

AR

Clmd Compensatory

50.0

Total Amt Awarded

Equity

Compensatory Awarded

Equity

Punitive Damage Awarded

0.0

Attorney Fees Awarded

0.0

* 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 (on behalf of his IRA) alleging he was placed in illiquid investments such as business development companies and real estate investment trusts settles his case against Respondent broker-dealer. Non-Party broker is granted his request for expungement of this matter from his CRD record.

Notes

This is a Stipulated Award. Rescission Requested. Arbitrator Remarks -- Expungement granted.

People & Entities

Arbitrators

Lynne M. Gomez, Esq.

Broker-Dealers Named

LPL Financial LLC

Professionals

  • Cs: Kirk C. Smith, Shepherd Smith et al., Houston, TX.
  • Rs: (LPLFLLC) Matthew T. Bohenek, Boston, MA. ISC.

TypeDisp

CustomerMember

Allegation I

BreachFiducDty

Short Caption

Jallow v. Charles Schwab

Allegation II

Negligence

Forum

FINRA

Allegation III

BreachContract

Docket No

19-00105

Products

Equity; Warrants

Issue Date

2023-05-01

Situs

Los Angeles

State

CA

Clmd Compensatory

6900.0

Total Amt Awarded

54.7

Compensatory Awarded

54.7

Punitive Damage Awarded

0.0

Attorney Fees Awarded

0.0

* 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 prevails on his claim against Respondent broker-dealer and is awarded compensatory damages, while a Non-Party broker is granted her request for expungement of this matter from her CRD record. The customer's case involved his placement in Respondent's Troubled Asset Relief Program related to PNC Financial Services Group Inc. warrants.

Notes

Rs Carter Taylor was not assessed any portion of the awarded amount. Rs Charles Schwab & Co. Inc. was assessed. All-Public Panel. Arbitrator Remarks -- Expungement granted.

Arbitrators

Sandra L. Malek, Esq. - Chair; Camille Brown; Alina Landver

Broker-Dealers Named

Charles Schwab & Company Incorporated

Professionals

  • Cs: Liam O'Brien, McCormick & O'Brien, New York, NY.
  • Rs: (CS&CInc & CT) Gordon C. Young, Barr & Young Attorneys, Danville, CA. OSC and Garrett R. Wynne, Lone Tree, CO. ISC.

TypeDisp

CustomerMember

Allegation I

Misreprestn

Short Caption

Cordell v. Crown Capital

Allegation II

BreachContract

Forum

FINRA

Allegation III

PromissoryEstoppel

Docket No

21-00320

Products

DirectInvesmts; Equity

Issue Date

2023-05-05

Situs

San Diego

State

CA

Clmd Compensatory

1000.0

Total Amt Awarded

780.2

Compensatory Awarded

780.2

Punitive Damage Awarded

0.0

Attorney Fees Awarded

0.0

* 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 customers are awarded over $780,000 in compensatory damages from one named Respondent broker-dealer and one named broker relating to their investments in GPB Capital, MVP Parking, and APEX Oil.

Notes

Big $s. Rs SCF Securities Inc., Don Michael Edwards, Jonathan Lee French, Darol Kenneth Paulsen, and Phyllis Jean Paulsen were not assessed any portion of the awarded amount. Rs Crown Capital Securities LP and John D. Nguyen were assessed. Rescission Requested. All-Public Panel.

Arbitrators

Barbara M. Zak, Esq. - Chair; Herbert Liberman; Deanna J. Johnson

Broker-Dealers Named

Crown Capital Securities Limited Partnership; SCF Securities Incorporated

Professionals

  • Cs: Samuel B. Edwards, Shepherd Smith et al., Houston, TX.
  • Rs: (CCSLP, DME, JLF, JDG, DKP & PJP) Craig R. Bockman, Jones Bell et al., Los Angeles, CA. OSC.
  • Rs: (SCFSInc) Gary S. Kessler, Kessler Collins PC, Dallas, TX. OSC.

TypeDisp

CustomerMember

Allegation I

Misreprestn

Short Caption

Costa v. Interactive Brokers

Allegation II

Negligence

Forum

FINRA

Allegation III

Supervision

Docket No

21-03054

Products

*

Issue Date

2023-05-04

Situs

Los Angeles

State

CA

Clmd Compensatory

432.7

Total Amt Awarded

0.0

Compensatory Awarded

0.0

Punitive Damage Awarded

0.0

Attorney Fees Awarded

0.0

* 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 customers alleging securities fraud and seeking emotional distress and pain and suffering damages lose their case against Respondent broker-dealer.

Notes

Majority Public Panel.

Arbitrators

Kendall C. Reed, Esq. - Chair; Claudia Mai Morehead; David Maurer, Esq.

Broker-Dealers Named

Interactive Brokers LLC

Professionals

  • Cs: J. Owen Murrin, Murrin Law Firm, Long Beach, CA.
  • Rs: (IBLLC) Katherine L. Schuerman & Carlos E. Provencio, Washington, DC. ISC.

TypeDisp

CustomerMember

Allegation I

Misreprestn

Short Caption

Won v. UBS Financial

Allegation II

BreachFiducDty

Forum

FINRA

Allegation III

Supervision

Docket No

22-01403

Products

Equity; Margin

Issue Date

2023-04-27

Situs

Los Angeles

State

CA

Clmd Compensatory

174.9

Total Amt Awarded

0.0

Compensatory Awarded

0.0

Punitive Damage Awarded

0.0

Attorney Fees Awarded

0.0

* 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 Panel denies Respondent broker-dealer's requests for sanctions, it decides to dismiss the customer's claims in this case without prejudice.

Notes

Pre-Hearing Adjudication -- Full Dismissal. Sanctions imposed. Rescission Requested. All-Public Panel.

Arbitrators

Anthony D. DeToro, Esq. - Chair; Michael John Florio; Ellie Khabazian Vilendrer, Esq.

Broker-Dealers Named

UBS Financial Services Incorporated

Professionals

  • Cs: Pro se.
  • Rs: (UBSFSInc) Anastasia B. Wohar, UBS Business Solutions US LLC, Weehawken, NJ. ISC.

TypeDisp

EmployeeMember

Allegation I

Expungement(CRD)

Short Caption

Jenkins v. QA3 Financial

Allegation II

Forum

FINRA

Allegation III

Docket No

22-01878

Products

Annuities

Issue Date

2023-04-26

Situs

San Diego

State

CA

Clmd Compensatory

Equity

Total Amt Awarded

Equity

Compensatory Awarded

Equity

Punitive Damage Awarded

Attorney Fees Awarded

* 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 is granted his request for expungement of two customer complaints from appearing on his CRD record involving the purchase of annuities.

Notes

Panel composition issue. Arbitrator Remarks -- Expungement granted.

Arbitrators

Erik R. Siering

Broker-Dealers Named

QA3 Financial Corporation; SunAmerica Securities Incorporated

Professionals

  • Cs: (JLJ) Samantha Pastor, HLBS Law, Westminster, CO.
  • Rs: (QA3FCorp) No-show.
  • Rs: (SASInc) Jennifer R. Cox, Advisor Group LLC, Jersey City, NJ. ISC.

TypeDisp

EmployeeMember

Allegation I

Reformation(U-5)

Short Caption

Plante v. AIG Capital

Allegation II

Defamation

Forum

FINRA

Allegation III

Docket No

22-01910

Products

NP

Issue Date

2023-04-28

Situs

Los Angeles

State

CA

Clmd Compensatory

0.0

Total Amt Awarded

Equity

Compensatory Awarded

0.0

Punitive Damage Awarded

Attorney Fees Awarded

* 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 Arbitrator grants a broker's request for reformation of his Form U5 record based on the defamatory nature of the entry.

Notes

Arbitrator Remarks -- Reformation U-5 granted.

Arbitrators

Benjamin F. Breslauer

Broker-Dealers Named

AIG Capital Services Incorporated

Professionals

  • Cs: (JP) Zachary Morse, HLBS Law, Westminster, CO.
  • Rs: (AIGCSInc) Michael S. Cargnel, Shook Hardy & Bacon, Kansas City, MO. OSC.

TypeDisp

EmployeeMember

Allegation I

Expungement(CRD)

Short Caption

Kneen v. Citigroup Global

Allegation II

Forum

FINRA

Allegation III

Docket No

22-02319

Products

NP

Issue Date

2023-05-03

Situs

Denver

State

CO

Clmd Compensatory

Equity

Total Amt Awarded

Equity

Compensatory Awarded

Equity

Punitive Damage Awarded

Attorney Fees Awarded

* 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 granted his request for expungement of three customer complaints from appearing on his CRD record.

Notes

Arbitrator Remarks -- Expungement granted.

Arbitrators

Leonard Arthur Nelson, Esq. - Chair; Matthew Stalcup; Tosh Daniel Grebenik, Esq.

Broker-Dealers Named

Citigroup Global Markets Incorporated; UBS Financial Services Incorporated

Professionals

  • Cs: (TBK) James P. Galvin, Galvin Legal PLLC, Decatur, GA.
  • Rs: (CGMInc) Adam Kauff, Kauff Laton Miller LLP, New York, NY. OSC.
  • Rs: (UBSFSInc) John Murphy, J. Murphy & Associates, New York, NY. OSC.

TypeDisp

EmployeeMember

Allegation I

Expungement(CRD)

Short Caption

Karjanis v. National Securities

Allegation II

Forum

FINRA

Allegation III

Docket No

22-02151

Products

NP

Issue Date

2023-05-02

Situs

Hartford

State

CT

Clmd Compensatory

Equity

Total Amt Awarded

Equity

Compensatory Awarded

Equity

Punitive Damage Awarded

Attorney Fees Awarded

* 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.

Notes

Arbitrator Remarks -- Expungement granted.

Arbitrators

Peter E. Gillespie - Chair; David Adams Reif; Philip S. Wellman

Broker-Dealers Named

National Securities Corporation

Professionals

  • Cs: (DK) Craig A. Riha, Carmel Milazzo & Feil, Melville, NY.
  • Rs: (NSCorp) Emily A. Hayes, B. Riley Financial, New York, NY. ISC.

TypeDisp

CustomerMember

Allegation I

Supervision

Short Caption

Willoughby v. Oppenheimer & Company

Allegation II

Negligence

Forum

FINRA

Allegation III

Misreprestn

Docket No

21-03115

Products

PrivSecTrans; DirectInvesmts

Issue Date

2023-05-04

Situs

Orlando

State

FL

Clmd Compensatory

6989.7

Total Amt Awarded

13979.4

Compensatory Awarded

6989.7

Punitive Damage Awarded

6989.7

Attorney Fees Awarded

Equity

* 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, Respondent broker-dealer is held liable to a group of customers for nearly $14 million in damages (inclusive of $6.9 million in punitive damages) after the Panel found it was grossly negligent in its failure to supervise four of its employees by allowing them to operate a Ponzi scheme out of its Atlanta, Georgia office. Said customers are also awarded attorney fees and costs to be determined by a court of competent jurisdiction.

Notes

Big $s. Punitive Damages Awarded. Selling Away case. All-Public Panel. Arbitrator Remarks.

Arbitrators

Gayle B. Carlson, Esq. - Chair; Anthony Richard Sanchez, III; Edgar Vazquez-Cruz

Broker-Dealers Named

Oppenheimer & Company Incorporated

Professionals

  • Cs: John S. Chapman & Jason T. Albin & Philip L. Vujanov, ChapmanAlbin LLC, Cleveland, OH and Craig H. Kuglar, The Law Office of C.H. Kuglar LLC, Atlanta, GA.
  • Rs: (O&CInc) William E. Mahoney Jr., Stradley Ronon et al., Philadelphia, PA. OSC.

TypeDisp

EmployeeMember

Allegation I

Expungement(CRD)

Short Caption

Beitler v. FSC Securities

Allegation II

Forum

FINRA

Allegation III

Docket No

22-02352

Products

VariableAnnuities; Equity

Issue Date

2023-05-05

Situs

Boca Raton

State

FL

Clmd Compensatory

Equity

Total Amt Awarded

Equity

Compensatory Awarded

Equity

Punitive Damage Awarded

Attorney Fees Awarded

* 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 Arbitrator provides factual background and details as to why she has decided to grant Claimant broker's request for expungement of three customer complaints from his CRD record.

Notes

Arbitrator Remarks -- Expungement granted.

Arbitrators

Kimberly A. Gilmour, Esq.

Broker-Dealers Named

FSC Securities Corporation; Raymond James Financial Services Incorporated

Professionals

  • Cs: (JMB) Jennifer P. Farrar, Farrar Law PLLC, Tomball, TX.
  • Rs: (FSCSCorp) James Noblett, Advisor Group Incorporated, Jersey City, NJ. ISC.
  • Rs: (RJFSInc) Laura Ruiz Rivera, St. Petersburg, FL. ISC.

TypeDisp

EmployeeMember

Allegation I

Expungement(CRD)

Short Caption

Russell v. Cetera Advisors

Allegation II

Forum

FINRA

Allegation III

Docket No

22-02468

Products

NP

Issue Date

2023-05-04

Situs

Orlando

State

FL

Clmd Compensatory

Equity

Total Amt Awarded

Equity

Compensatory Awarded

Equity

Punitive Damage Awarded

Attorney Fees Awarded

* 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 complaint from his CRD record despite the objection of the customers.

Notes

Arbitrator Remarks -- Expungement granted.

Arbitrators

Christopher J. Klein, Esq. - Chair; Alan E. Linden, BS, MA; Ken Ziesenheim, Esq.

Broker-Dealers Named

Cetera Advisors LLC

Professionals

  • Cs: (NJR) Elaine M. Rice & Bradley F. Kinni, Johnson Newlon & DeCort, Tampa, FL.
  • Rs: (CALLC) Benjamin J. Biard, Winget Spadafora Schwartzberg LLP, Miami, FL. OSC.

TypeDisp

CustomerMember

Allegation I

Misreprestn

Short Caption

Demuth v. CFD Investments

Allegation II

Suitability

Forum

FINRA

Allegation III

Supervision

Docket No

22-00202

Products

PrivSecTrans; DirectInvesmts

Issue Date

2023-04-25

Situs

Des Moines

State

IA

Clmd Compensatory

0.0

Total Amt Awarded

Equity

Compensatory Awarded

Equity

Punitive Damage Awarded

0.0

Attorney Fees Awarded

0.0

* 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, a customer alleging that one of Respondent broker-dealer's agents (who had an ownership interest) misrepresented her investment in Onco Group LLC dba SRS Holdings settles her case against Respondents. Seven named Respondent brokers are awarded expungement of this matter from their respective CRD records.

Notes

This is a Stipulated Award. Selling Away case. All-Public Panel. Arbitrator Remarks -- Expungement granted.

Arbitrators

Robert J. Scafuri, Esq. - Chair; Barry Goldman, Esq.; Joseph Tim Keeling

Broker-Dealers Named

CFD Investments Incorporated; Creative Financial Designs Incorporated

Professionals

  • Cs: Paul D. Gamez & Abram V. Carls, Simmons Perrine et al., Cedar Rapids, IA.
  • Rs: (CFDIInc, BAO, BLR, MOB, DKH, TWM, KJR, CFDInc & MLO) Gary S. Kessler & Bryon L. Romine, Kessler & Collins, Dallas, TX. OSC.
  • Rs: (DBV) Andrew R. Shedlock, Kutak Rock LLP, Minneapolis, MN.

TypeDisp

EmployeeMember

Allegation I

Expungement(CRD)

Short Caption

Crowe v. Advanced Equities

Allegation II

Forum

FINRA

Allegation III

Docket No

22-01870

Products

NP

Issue Date

2023-05-01

Situs

Chicago

State

IL

Clmd Compensatory

Equity

Total Amt Awarded

Equity

Compensatory Awarded

Equity

Punitive Damage Awarded

Attorney Fees Awarded

* 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 wins his uncontested request for expungement of a customer complaint from appearing on his CRD record.

Notes

Panel composition issue. Arbitrator Remarks -- Expungement granted.

Arbitrators

Theodore W. Wrobleski, Esq.

Broker-Dealers Named

Advanced Equities Incorporated

Professionals

  • Cs: (BKC) Zachary Morse & Dochtor Kennedy, AdvisorLaw LLC, Westminster, CO.
  • Rs: (AEInc) No-show.

TypeDisp

EmployeeMember

Allegation I

Expungement(CRD)

Short Caption

Engen v. Merrill Lynch

Allegation II

Forum

FINRA

Allegation III

Docket No

22-01660

Products

NP

Issue Date

2023-04-24

Situs

Bismarck

State

ND

Clmd Compensatory

Equity

Total Amt Awarded

Equity

Compensatory Awarded

Equity

Punitive Damage Awarded

Attorney Fees Awarded

* 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 Arbitrator grants a broker's request for expungement of a customer complaint from his CRD record.

Notes

Panel composition issue. Arbitrator Remarks -- Expungement granted.

Arbitrators

Mark L. Miller, Esq.

Broker-Dealers Named

Merrill Lynch Pierce Fenner & Smith Incorporated

Professionals

  • Cs: (MHE) Samantha Pastor & Dochtor Kennedy, AdvisorLaw LLC, Westminster, CO.
  • Rs: (MLPFSInc) Laura A. Pizzitola, Bressler Amery & Ross, Birmingham, AL. OSC.

TypeDisp

CustomerMember

Allegation I

Churning

Short Caption

Siefert v. Todaro

Allegation II

UnauthTdg

Forum

FINRA

Allegation III

Suitability

Docket No

23-00391

Products

Equity; Margin

Issue Date

2023-04-25

Situs

Omaha

State

NE

Clmd Compensatory

191.8

Total Amt Awarded

131.6

Compensatory Awarded

131.6

Punitive Damage Awarded

Attorney Fees Awarded

0.0

* 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 Rule 12801 default judgment case, a customer alleging churning and excessive use of margin is awarded compensatory damages from a non-appearing Respondent broker.

Notes

Rule 12801 Default Judgment.

Arbitrators

Thomas R. Bromberg, Esq.

Broker-Dealers Named

None.

Professionals

  • Cs: Robert Kerrigan, Grossman & Kerrigan, West Islip, NY.
  • Rs: (JPT) No-show.

TypeDisp

EmployeeMember

Allegation I

Expungement(CRD)

Short Caption

D'Silva v. PFS Investments

Allegation II

Forum

FINRA

Allegation III

Docket No

22-00803

Products

NP

Issue Date

2023-05-04

Situs

Manchester

State

NH

Clmd Compensatory

Equity

Total Amt Awarded

Equity

Compensatory Awarded

Equity

Punitive Damage Awarded

Attorney Fees Awarded

* 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 wins expungement of two customer complaints from his CRD record.

Notes

Arbitrator Remarks -- Expungement granted.

Arbitrators

John James McGovern, Jr., Esq.

Broker-Dealers Named

PFS Investments Incorporated

Professionals

  • Cs: (ND) Dochtor Kennedy & Samantha Pastor, AdvisorLaw LLC, Westminster, CO.
  • Rs: (PFSIInc) Marva Graham, Primerica, Duluth, GA. ISC.

TypeDisp

SmallClms

Allegation I

Suitability

Short Caption

Roberson v. Citigroup Global

Allegation II

Misreprestn

Forum

FINRA

Allegation III

Supervision

Docket No

22-02014

Products

*

Issue Date

2023-04-24

Situs

Jersey City

State

NJ

Clmd Compensatory

50.0

Total Amt Awarded

Equity

Compensatory Awarded

0.0

Punitive Damage Awarded

0.0

Attorney Fees Awarded

* 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 Arbitrator explains her reasoning for granting Respondent broker-dealer's Pre-Hearing Motion to Dismiss pursuant to Rule 12206 of the Code after finding that the customer closed her account with Respondent way back in 2001 outside the scope of the eligibility period and was unable to sustain her burden of proof with respect to her claims.

Notes

Pre-Hearing Adjudication -- Full Dismissal. Arbitrator Remarks.

Arbitrators

Linda J. Baer, Esq.

Broker-Dealers Named

Citigroup Global Markets Incorporated

Professionals

  • Cs: Pro se.
  • Rs: (CGMInc) Adam Kauff, Kauff Laton Miller LLP, New York, NY. OSC.

TypeDisp

CustomerMember

Allegation I

Churning

Short Caption

Reuben v. Spartan Capital

Allegation II

Suitability

Forum

FINRA

Allegation III

BreachFiducDty

Docket No

22-00245

Products

*

Issue Date

2023-04-27

Situs

New York

State

NY

Clmd Compensatory

134.0

Total Amt Awarded

0.0

Compensatory Awarded

0.0

Punitive Damage Awarded

0.0

Attorney Fees Awarded

* 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

Despite being awarded their Motion for Default Judgment pursuant to Rule 12801 of the Code, two customers lose their case against a non-appearing broker. Said customers previously voluntarily dismissed their claims against Respondent broker-dealer in this matter.

Notes

Rule 12801 Default Judgment.

Arbitrators

John Caracciolo

Broker-Dealers Named

Spartan Capital Securities LLC

Professionals

  • Cs: Scott L. Silver, Silver Law Group, Coral Springs, FL.
  • Rs: (SCSLLC) David Schrader, Paykin Krieg & Adams, Purchase, NY. OSC.
  • Rs: (JD) No-show.

TypeDisp

EmployeeMember

Allegation I

Reformation(U-5)

Short Caption

Netis v. Stephens Incorporated

Allegation II

Defamation

Forum

FINRA

Allegation III

Docket No

22-01014

Products

NP

Issue Date

2023-05-05

Situs

New York

State

NY

Clmd Compensatory

Equity

Total Amt Awarded

Equity

Compensatory Awarded

Equity

Punitive Damage Awarded

Attorney Fees Awarded

* 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 grants Claimant broker's request for reformation of defamatory information from his Form U5 record.

Notes

Arbitrator Remarks -- Reformation U-5 granted.

Arbitrators

Richard W. Vallario, Esq. - Chair; Melinda G. Gordon, Esq.; Marilyn Yang

Broker-Dealers Named

Stephens Incorporated

Professionals

  • Cs: (DGN) David I. Greenberger & Shashi K. Dholandas, Bailey Duquette PC, New York, NY.
  • Rs: (SInc) Allison Rhodes, Little Rock, AR. ISC.

TypeDisp

EmployeeMember

Allegation I

Expungement(CRD)

Short Caption

Cox v. Morgan Stanley

Allegation II

Forum

FINRA

Allegation III

Docket No

22-01046

Products

NP

Issue Date

2023-05-04

Situs

New York

State

NY

Clmd Compensatory

Equity

Total Amt Awarded

Equity

Compensatory Awarded

Equity

Punitive Damage Awarded

Attorney Fees Awarded

* 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 granted his request for expungement of a customer complaint from appearing on his CRD record.

Notes

Arbitrator Remarks -- Expungement granted.

Arbitrators

Julian F. Santos, Esq. - Chair; Veera V. Konka, Esq.; Thomas Hansen Boast

Broker-Dealers Named

Morgan Stanley; National Securities Corporation

Professionals

  • Cs: (RDC) Seth N. Bursky, Carmel Milazzo & Feil, Melville, NY.
  • Rs: (MSSBLLC) Jeremy Winer, New York, NY. ISC.
  • Rs: (NSCorp) Emily A. Hayes, New York, NY. ISC.

TypeDisp

EmployeeMember

Allegation I

Expungement(CRD)

Short Caption

Lastihenos v. Ladenburg Capital

Allegation II

Forum

FINRA

Allegation III

Docket No

22-01047

Products

NP

Issue Date

2023-05-03

Situs

New York

State

NY

Clmd Compensatory

Equity

Total Amt Awarded

Equity

Compensatory Awarded

Equity

Punitive Damage Awarded

Attorney Fees Awarded

* 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 awards Claimant broker expungement of a customer complaint from his CRD record.

Notes

Arbitrator Remarks -- Expungement granted.

Arbitrators

Howard L. Sobel - Chair; Peter A. Goldman, Esq.; Anthony J. Casino

Broker-Dealers Named

Ladenburg Capital Management Incorporated

Professionals

  • Cs: (MCL) Seth N. Bursky, Carmel Milazzo & Feil, Melville, NY.
  • Rs: (LCMInc) No-show.

TypeDisp

EmployeeMember

Allegation I

Expungement(CRD)

Short Caption

Alagna v. Joseph Gunnar

Allegation II

Forum

FINRA

Allegation III

Docket No

22-01452

Products

NP

Issue Date

2023-04-27

Situs

New York

State

NY

Clmd Compensatory

Equity

Total Amt Awarded

Equity

Compensatory Awarded

Equity

Punitive Damage Awarded

Attorney Fees Awarded

* 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 grants a broker's request for expungement of three customer complaints from appearing on his CRD record.

Notes

Arbitrator Remarks -- Expungement granted.

Arbitrators

Brian John Gallagher - Chair; Lynne M. Reid-McQueen, Esq.; Leslie Ruth Nydick

Broker-Dealers Named

Joseph Gunnar & Company LLC

Professionals

  • Cs: (JAA) John E. Lawlor, Attorney-at-Law, Mineola, NY.
  • Rs: (JG&CLLC) Peter Bon Viso, New York, NY. ISC.

TypeDisp

CustomerMember

Allegation I

FailToObey

Short Caption

Elnenaey v. Fidelity Brokerage

Allegation II

Misappropriatn

Forum

FINRA

Allegation III

Operations

Docket No

22-01565

Products

NP

Issue Date

2023-05-01

Situs

New York

State

NY

Clmd Compensatory

0.0

Total Amt Awarded

Equity

Compensatory Awarded

0.0

Punitive Damage Awarded

0.0

Attorney Fees Awarded

0.0

* 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 Respondents Pre-Hearing Motions to Dismiss pursuant to FINRA Rule 12504(a)(6)(C) (Fidelity Respondents) and FINRA Rule 12206 (Six-year Eligibility Rule) (Vanguard Marketing) and orders the customer to pay $500.00 as a monetary sanction for his non-compliance with their orders regarding the production of discovery.

Notes

Pre-Hearing Adjudication -- Full Dismissal. Sanctions imposed. All-Public Panel. Arbitrator Remarks.

Arbitrators

Keely D. Parr, Esq. - Chair; Jeanne M. Keefe, Esq.; Eric Howard, Esq.

Broker-Dealers Named

Fidelity Brokerage Services LLC; Fidelity Investments Institutional Services Company Incorporated; National Financial Services LLC; Vanguard Marketing Corporation

Professionals

  • Cs: Pro se, through Ahmed Elnenaey, Brooklyn, NY.
  • Rs: (FBSLLC, FIISCInc, NFSLLC, JPB & JJD) Joel M. Everest, Bressler Amery & Ross, Birmingham, AL. OSC.
  • Rs: (VMCorp) Paula D. Shaffner, Stradley Ronon et al., Philadelphia, PA. OSC.

TypeDisp

EmployeeMember

Allegation I

Expungement(CRD)

Short Caption

Lewine v. UBS Financial

Allegation II

Forum

FINRA

Allegation III

Docket No

22-02039

Products

NP

Issue Date

2023-05-05

Situs

New York

State

NY

Clmd Compensatory

Equity

Total Amt Awarded

Equity

Compensatory Awarded

Equity

Punitive Damage Awarded

Attorney Fees Awarded

* 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

Broker wins expungement of a customer complaint from appearing on his CRD record.

Notes

Panel composition issue. Arbitrator Remarks -- Expungement granted.

Arbitrators

Veronica Ann Williams

Broker-Dealers Named

UBS Financial Services Incorporated

Professionals

  • Cs: (SML) Samantha Pastor & Dochtor Kennedy, AdvisorLaw LLC, Westminster, CO.
  • Rs: (UBSFSInc) John Murphy, J. Murphy & Associates, New York, NY. OSC.

TypeDisp

EmployeeMember

Allegation I

Expungement(CRD)

Short Caption

Dalton v. Belle Haven

Allegation II

Forum

FINRA

Allegation III

Docket No

22-02934

Products

NP

Issue Date

2023-05-02

Situs

New York

State

NY

Clmd Compensatory

Equity

Total Amt Awarded

Equity

Compensatory Awarded

Equity

Punitive Damage Awarded

Attorney Fees Awarded

* 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 expungement of a customer complaint from appearing on his CRD record.

Notes

Panel composition issue. Arbitrator Remarks -- Expungement granted.

Arbitrators

Selma Moy, JD

Broker-Dealers Named

Belle Haven Investments Limited Partnership

Professionals

  • Cs: (JMD) Aleaha N. Jones, Pickard Djinis & Pisarri, Washington, DC.
  • Rs: (BHILP) Paul J. Bazil, Pickard Djinis & Pisarri, Washington, DC. OSC.

TypeDisp

EmployeeMember

Allegation I

Expungement(CRD)

Short Caption

Burke v. Wells Fargo

Allegation II

Forum

FINRA

Allegation III

Docket No

22-02050

Products

NP

Issue Date

2023-05-03

Situs

Cleveland

State

OH

Clmd Compensatory

Equity

Total Amt Awarded

Equity

Compensatory Awarded

Equity

Punitive Damage Awarded

Attorney Fees Awarded

* 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 grants registered rep' request for expungement of three customer complaints from his CRD record despite the objection of one customer.

Notes

Arbitrator Remarks -- Expungement granted.

Arbitrators

Michael L. Fortney, Esq. - Chair; David Arnold; Stephen M. Bales

Broker-Dealers Named

Wells Fargo Clearing Services LLC

Professionals

  • Cs: (SMB) Brandon M. Taaffe, Shumaker Loop & Kendrick, Sarasota, FL.
  • Rs: (WFCSLLC) Jason A. Kempf, St. Louis, MO. ISC.

TypeDisp

EmployeeMember

Allegation I

Expungement(CRD)

Short Caption

Rivera Vazquez v. Popular Securities

Allegation II

Forum

FINRA

Allegation III

Docket No

22-02079

Products

NP

Issue Date

2023-05-05

Situs

San Juan

State

PR

Clmd Compensatory

Equity

Total Amt Awarded

Equity

Compensatory Awarded

Equity

Punitive Damage Awarded

Attorney Fees Awarded

* 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 is awarded expungement of two customer complaints from his CRD record but is denied his request for expungement of a third.

Notes

Panel composition issue. Arbitrator Remarks -- Expungement granted.

Arbitrators

Robert G. Falbisaner

Broker-Dealers Named

Popular Securities LLC

Professionals

  • Cs: (RLRV) Gara M. Seagraves, Kaufman Dolowich Voluck LLP, Chicago, IL.
  • Rs: (PSLLC) Mariela M. Ramirez-Morales, San Juan, PR. ISC.

TypeDisp

CustomerMember

Allegation I

Suitability

Short Caption

Rosenthal v. UBS Financial

Allegation II

Misreprestn

Forum

FINRA

Allegation III

Supervision

Docket No

19-01127

Products

Options

Issue Date

2023-04-28

Situs

Houston

State

TX

Clmd Compensatory

400.0

Total Amt Awarded

Equity

Compensatory Awarded

Equity

Punitive Damage Awarded

0.0

Attorney Fees Awarded

0.0

* 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 trustee alleging he was unsuitably placed in Respondent broker-dealer's Yield Enhancement Options Strategy settles his case, while Non-Party broker is awarded expungement of this matter from his CRD record.

Notes

This is a Stipulated Award. Rescission Requested. All-Public Panel. Arbitrator Remarks -- Expungement granted.

Arbitrators

Julie Marie Miller - Chair; Francis Joseph Bourgeois; Edwin Kisiel, III

Broker-Dealers Named

UBS Financial Services Incorporated

Professionals

  • Cs: Samuel B. Edwards & Ryan Cook, Shepherd Smith et al., Houston, TX.
  • Rs: (UBSFSInc) Anthony J. Borrelli, Riker Danzig LLP, Morristown, NJ. OSC.

TypeDisp

EmployeeMember

Allegation I

Expungement(CRD)

Short Caption

Stine v. NEXT Financial

Allegation II

Forum

FINRA

Allegation III

Docket No

22-00654

Products

NP

Issue Date

2023-04-28

Situs

Houston

State

TX

Clmd Compensatory

0.0

Total Amt Awarded

Equity

Compensatory Awarded

0.0

Punitive Damage Awarded

Attorney Fees Awarded

* 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 grants one named Respondent broker-dealer's Pre-Hearing Motion to Dismiss pursuant to FINRA Rule 13206 (Six-year Eligibility Rule for Industry Disputes) and later denies Claimant broker's request for expungement of seven customer complaints from his CRD record.

Notes

Pre-Hearing Adjudication -- Party Dismissal. Arbitrator Remarks -- Explained Award.

Arbitrators

Maryanne M. Esser, Esq. - Chair; Stuart M. Diamond; Irving Sylvester Moses, Jr., CFP

Broker-Dealers Named

NEXT Financial Group Incorporated; Cetera Advisor Networks LLC; AG Edwards & Sons Incorporated nka Wells Fargo Clearing Services LLC

Professionals

  • Cs: (TLS) Avinoam Rosenfeld, The Rosenfeld Law Office PLLC, Lawrence, NY.
  • Rs: (NEXTFGInc) John T. Unger, Houston, TX. ISC.
  • Rs: (CANLLC) David Feldstein, Cetera Financial Group, New York, NY. ISC.
  • Rs: (AGE&SInc) Deirdre C. Wolff, Wells Fargo Legal Department, St. Louis, MO. ISC.

TypeDisp

CustomerMember

Allegation I

Suitability

Short Caption

Berg v. Charles Schwab

Allegation II

Misreprestn

Forum

FINRA

Allegation III

BreachContract

Docket No

21-02041

Products

NP

Issue Date

2023-05-02

Situs

Seattle

State

WA

Clmd Compensatory

1500.0

Total Amt Awarded

0.0

Compensatory Awarded

0.0

Punitive Damage Awarded

0.0

Attorney Fees Awarded

0.0

* 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 alleging fraud with respect to an Investment Manager Service Agreement they entered into with Respondent broker-dealers lose their case.

Notes

All-Public Panel.

Arbitrators

Elwood C. Avery - Chair; Cheung David Chhieng, MD; Katherine L. Sidener

Broker-Dealers Named

Charles Schwab & Company Incorporated; Interactive Brokers LLC

Professionals

  • Cs: Duncan E. Manville & Michele L. Stephen & Michael E. Chait, Savitt Bruce & Willey, Seattle, WA.
  • Rs: (CS&CInc) Christopher A. Stecher & Igor V. Stadnik, Keesal Young & Logan, San Francisco, CA. OSC.
  • Rs: (IBLLC) Christian T. Kemnitz & David Luger, Katten Muchin Rosenman LLP, Chicago, IL. OSC.

TypeDisp

SmallClms

Allegation I

FailToObey

Short Caption

Luo v. TD Ameritrade

Allegation II

Forum

FINRA

Allegation III

Docket No

22-02883

Products

NP

Issue Date

2023-05-01

Situs

Seattle

State

WA

Clmd Compensatory

3.5

Total Amt Awarded

0.0

Compensatory Awarded

0.0

Punitive Damage Awarded

Attorney Fees Awarded

* 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 the cancellation of a fund withdrawal from his account loses his case against Respondent broker-dealer.

Notes

Please Note* This matter proceeded pursuant to Rule 12800 of the Code.

Arbitrators

Isidoro Berkman, Esq.

Broker-Dealers Named

TD Ameritrade Incorporated

Professionals

  • Cs: Pro se.
  • Rs: (TDAInc) James J. Vihstadt, Omaha, NE. ISC.
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