advisor fraud attorney

Advisor Frank Avallone Has Suitability Complaints

September 16, 2022 | by Staff Attorney

The attorneys at Gana Weinstein LLP are investigating BrokerCheck records reports that financial advisor Frank Louis Avallone (Avallone), currently employed by Ceros Financial Services, Inc (Ceros) and formerly registered with National Securities Corporation (NSC) has been subject to at least four customer complaints during the course of his career. According to records kept by The Financial Industry Regulatory Authority (FINRA), Mr. Avallone’s customer complaints alleges that Mr. Avallone recommended unsuitable investments.

In February 2020, a customer complained that Mr. Avallone violated the securities laws by alleging that Mr. Avallone engaged in unsuitable investment advice. The claim alleges $140,000 in damages and is currently pending.

In November 2019, a customer complained that Mr. Avallone violated the securities laws by alleging that Mr. Avallone engaged in unsuitable investment advice. The claim alleged $209,200 in damages and was later closed-no action.

In December 2013, a customer complained that Mr. Avallone violated the securities laws by alleging that Mr. Avallone engaged in unsuitable investment advice, breach of fiduciary duty, churning, negligence, and breach of contract. The claim settled in the amount of $6,100.

Advisor Matthew Gaer Claimed to Have Provided Unsuitable Investment Advice

August 29, 2022 | by Staff Attorney

The attorneys at Gana Weinstein LLP are investigating BrokerCheck records reports that broker Matthew Steven Gaer (Gaer), currently employed by Aegis Capital Corporation (Aegis) has been subject to at least two customer complaints during the course of his career. According to records kept by The Financial Industry Regulatory Authority (FINRA), Gaer’s customer complaints alleges that Gaer recommended unsuitable investments in various investments, among other allegations of misconduct relating to the handling of their accounts.

In April 2020, a customer complained that Gaer violated the securities laws by alleging that Gaer engaged in breach of fiduciary duty, and breach of contract. The damage amount requested was $150,000. The claim was later withdrawn.

In September 2019, a customer complained that Gaer violated the securities laws by alleging that Gaer engaged in unsuitable investment advice within the customer’s retirement account. The damage amount requested was $50,000. The claim settled in the amount of $14,999.

Nicolas Barrios Barred From Financial Industry Over Investment Fraud Allegations

September 8, 2019 | by Staff Attorney

The attorneys at Gana Weinstein LLP are currently investigating reports that advisor Nicolas Barrios (Barrios) engaged in undisclosed outside business activities (OBAs) that were not approved by his brokerage firm resulting in potential fraudulent investments. Barrios, formerly registered with UBS Financial Services Inc. (UBS) out of Winter Haven, Florida was barred from the financial industry according to records kept by The Financial Industry Regulatory Authority (FINRA). In addition, Barrios disclosed at least four customer complaints and one employment termination for cause.

In April 2019 UBS terminated Barrios for cause alleging that he was discharged after stating during a firm review: (1) he arranged for client to invest away from firm in private company; (2) he personally invested in that company without firm approval; and (3) he used personal email to communicate with client’s family in an attempt to evade firm detection. UBS claims to have subsequently learned that at least seven of Barrios’ clients moved money from UBS accounts to outside bank accounts from which they wrote checks to an entity with which Barrios is affiliated

In June 2019 FINRA found that Barrios consented to the sanctions and findings that he failed to provide FINRA with requested documents and information in connection with FINRA’s investigation into allegations that Barrios mismanaged and committed fraud with respect to a customer’s account. Accordingly, Barrios was automatically barred from the securities industry.

At this time it is unclear what OBA Barrios engaged in that FINRA was investigating. Barrios’s public disclosures state that he was involved in a auto boat broker dealer business. It is unclear if these OBAs were the subject of FINRA’s investigation.

Raymond James Advisor George Mathis Has Five Investment Complaints

March 18, 2019 | by Staff Attorney

According to BrokerCheck records financial advisor George Mathis (Mathis), currently employed by Raymond James & Associates, Inc. (Raymond James) has been subject to at least five customer complaints and one termination for cause. According to records kept by The Financial Industry Regulatory Authority (FINRA), most of Mathis’ customer complaints allege that Mathis made unsuitable recommendations in a variety of securities.

In May 2018 a customer brought a complaint against Mathis alleging the broker violated the securities laws by breaching his fiduciary duty, negligence, and fraud from 2014 through September 2016. The claim alleged $65,000 in damages and is pending.

In August 2016 a customer brought a complaint against Mathis alleging the broker violated the securities laws by breaching his fiduciary duty, negligence, and and violation of the FINRA Rules from September 2013 through January 2016. The claim alleged $190,000 in damages and settled.

In August 2015 a customer brought a complaint against Mathis alleging the broker violated the securities laws by making misrepresentations. The claim alleged $17,946 in damages and was closed.

Advisor Charles Bloom Barred by Regulator Over Unsuitable Trading

December 4, 2018 | by Staff Attorney

According to BrokerCheck records former financial advisor Charles Bloom (Bloom), formerly employed by Chelsea Financial Services (Chelsea Financial) has been subject to at least two customer complaints. In addition, Bloom has been subject to three regulatory actions, one employment termination for cause, and two financial disclosures including a bankruptcy filing. According to records kept by The Financial Industry Regulatory Authority (FINRA), many of the complaints against Bloom concern allegations of unsuitable investments.

In July 2018 Bloom consented to a FINRA sanction and findings that he refused to appear for testimony in connection with an investigation into allegations that Bloom engaged in an unsuitable pattern of trading in at least three customer accounts. Bloom accepted a bar from the securities industry.

In November 2017 a customer filed a complaint alleging that Bloom engaged in unsuitable recommendations and made misrepresentation with regard to a REIT purchase. The customer alleged $99,326 and the claim is currently pending.

Advisor Dexter Thomas Accused of Engaging in Client Loans and Unapproved Securities

November 24, 2018 | by Staff Attorney

According to BrokerCheck records kept by The Financial Industry Regulatory Authority (FINRA) former advisor Dexter Thomas (Thomas), formerly associated with United Planners Financial Services of America LP (United Planners) in Dallas, Texas has been accused by his former firm over unapproved securities and making client loans. In addition, Thomas has 19 customer complaints on his record – most of which relate to the unapproved activities.

In August 2018 United Planners terminated Thomas stating that he affiliated with the firm in late-2017. A short period of time later, the Thomas passed away. The firm claimed that immediately before his death, Thomas disclosed that he was involved with a number of private loans or private investments with individuals which private loans or investments were neither disclosed to, nor approved by, the firm. After Thomas’ death customers have claimed that Thomas did not return all of the funds privately loaned to or invested.

At this time it is unclear the nature or scope of the alleged outside business activities (OBAs) and private securities transactions. Thomas’ public disclosures state that his securities activity was conducted through a d/b/a – Dexter Thomas Financial Services, LLC.

David Lerner Advisor Robert Cavanagh Subject to Multiple Customer Complaints

October 8, 2018 | by Staff Attorney

According to BrokerCheck records financial advisor Robert Cavanagh (Cavanagh), currently employed by David Lerner Associates, Inc. (David Lerner) has been subject to at least five customer complaints. According to records kept by The Financial Industry Regulatory Authority (FINRA), many of the complaints against Cavanagh concern allegations of unsuitable investments, breach of fiduciary duty, and fraud.

In July 2018 a customer complained that Cavanagh engaged in unsuitable investments, made misrepresentations, breached his fiduciary duty, was negligent, and committed fraud in connection with Puerto Rico and Rochester Bond Fund. The customer alleged $100,000 in damages and the claim is currently pending.

In July 2017 a customer alleged unsuitable investments and misrepresentations and omissions of information causing $160,000 in damages. The claim is currently pending.