Aegis Capital Corp

Broker Keith Michelfelder’s FINRA Registration is Revoked

January 17, 2018 | by Staff Attorney

The securities attorneys at Gana Weinstein LLP are interested in hearing from investors who lost money due to the mishandling of their accounts by broker Keith Michelfelder (Michelfelder).

According to BrokerCheck records, in August 2017, FINRA sanctioned Keith Michelfelder (Michelfelder) for allegedly effecting “at least 16 transactions in the accounts of a member firm customer without having obtained prior written authorization from the customer and written acceptance of the accounts as discretionary by his firm. The findings stated that the firm’s policies prohibited the use of non-firm email addresses to conduct firm business. In 2010 and 2011, Michelfelder signed annual certifications agreeing to use the firm’s domain email only for communications with customers and concerning firm business. Nevertheless, during July 2012, Michelfelder knowingly used a non-firm email address to communicate with the above customer.” Michelfelder was fined $10,000 and was suspended for 60 days. In November 2017, Keith’s FINRA registration was revoked for failure to pay fines.

In August 2012, a customer alleged he discovered numerous unauthorized trades in his account. The customer was granted an award of $702,037.

INVESTOR WARNING: Broker Malcolm Segal is the Subject of Multiple Customer Complaints and Regulatory Actions

April 28, 2017 | by Staff Attorney

The securities and investment lawyers of Gana Weinstein LLP are investigating customer complaints filed with the Financial Industry Regulatory Authority (FINRA) against broker Malcolm Segal (Segal). According to FINRA’s BrokerCheck record, there are at least 11 disclosures on Segal’s record including customer complaints, multiple regulatory actions, and one employment separation from Aegis Capital Corp. The customer complaints against Segal allege misappropriation of customers’ funds, negligence, breach of fiduciary duty, and breach of contract.

Throughout his career with Aegis, Segal received number customer complaints:

January 2016: Alleging misappropriation of funds and misrepresentation. The damage amount requested is $135,000.00. This complaint is currently pending.

INVESTOR ALERT: Broker David James Mura Subject To Multiple Customer Complaints

April 25, 2017 | by Staff Attorney

The securities and investment lawyers of Gana Weinstein LLP are investigating customer complaints filed with the Financial Industry Regulatory Authority (FINRA) against broker David James Mura (Mura). According to FINRA’s BrokerCheck records for Mura, there are at least 14 disclosures on Mura’s record including customer complaints, multiple regulatory actions, and one employment separation from Aegis Capital Corp. The customer complaints against Mira allege securities law violations that claim unsuitable investments, excessive trading or “churning”, negligence, and breach of fiduciary duty.

The most recent customer complaint against Mura was in August 2014, alleging unsuitable investments, negligence, breach of fiduciary duty, and breach of contract. This claim occurring during Mura’s employment at J.P. Turner & Company. The customer alleged losses of $268,000.00 and the claim settled for the amount of $55,000.00.

In July 2013, another customer complaint was filed with FINRA alleging that Mura of unsuitable investments in private placement exchange-traded funds, negligence, breach of fiduciary duty, and breach of contract. The statement of claim did not specify an amount and the settled for $1,100,000.00.

Broker Investigation: Aegis Capital Financial Advisor Michael McDonald

November 2, 2015 | by Staff Attorney

According to the BrokerCheck records kept by Financial Industry Regulatory Authority (FINRA) broker Michael McDonald (McDonald) has been the subject of at least 5 customer complaints. Customers have filed complaints against McDonald alleging securities law violations including claims of churning and excessive trading, unsuitable investments, excessive commissions, unauthorized trading, breach of fiduciary duty, and fraud among other claims. In 2011, a customer complained that McDonald recommended a private placement leading to $450,000 in damages. In 2008, another customer also complained that McDonald recommended a private placement called Xyience, Inc which caused $450,000 in damages.

McDonald entered the securities industry in 1993. From November 2005, until February 2011, McDonald was registered with JHS Capital Advisors, Inc. Since February 2011, McDonald has been associated with Aegis Capital Corp. out of the firm’s Maitland Florida office location.

All advisers have a fundamental responsibility to deal fairly with investors including making suitable investment recommendations. In order to make suitable recommendations the broker must have a reasonable basis for recommending the product or security based upon the broker’s investigation 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.