Securities Lawyers Blog
The securities attorneys at Gana Weinstein LLP are currently investigating Merrill Lynch, Pierce, Fenner & Smith Incorporated (Merill Lynch) broker Charles Kenahan (Kenahan). According to BrokerCheck Records held by the Financial Industry Regulatory Authority (FINRA), Kenahan has been subject to four customer disputes, three of which are still pending. The majority of these disputes concern unsuitable investment recommendations and excessive trading of the customer account.
In May 2018, a customer alleged that from 2012 to 2017, Kenahan excessively traded the funds in the customer account and also unsuitably recommended investments to the customer. The customer has requested $700,000 in damages. This dispute is currently still pending.
In March 2018, a customer alleged that from February 2012 to December 2017, Kenahan excessively traded customer funds, misrepresented the nature of the investments, and unsuitably recommended the investments to the customer. This dispute is currently still pending.
In February 2018, a customer alleged that from December 2007 to February 2018, Kenahan had placed the customer into unsuitable investments and excessively traded the customer’s funds in the account. This dispute is currently still pending.
In August 2009, a customer alleged that from December 2007 to February 2018, Kenahan recommended investments that were unsuitable to the customer and excessively traded the account. The customer requested $148,353 in damages.
All advisers are obligated to make suitable investment recommendations for their clients by following certain criteria. For an investment recommendation to be suitable, the broker must have first have a reasonable basis for recommending the security/product based off the broker’s research of the investments properties including its benefits, risks, tax consequences, and other relevant factors. In addition, the broker must also understand the customer’s specific investment objectives to determine whether or not the specific product or security being recommended is appropriate for the customer based upon their needs including the clients net worth, life savings, age, investor experience, among other factors.
Kenahan entered the securities industry in 1985 and has been registered with Merrill Lynch since December 2007. From April 2007 to December 2007, Kenahan was registered with Morgan Stanley & Co., Incorporated. From June 1994 to April 2007, Kenahan was registered with Morgan Stanley DW Inc. From October 1989 to July 1994, Kenahan was registered with Smith Barney Inc.
Investors who have suffered losses may be able recover their losses through securities arbitration. The attorneys at Gana Weinstein LLP are experienced in representing investors in cases of unsuitable investment recommendations and excessive trading. Our consultations are free of charge and the firm is only compensated if you recover.