Securities Lawyers Blog
The law offices of Gana Weinstein LLP are currently investigating claims that advisor Rhett Bedwell (Bedwell) has been accused by clients of engaging in fraudulent investment activities including undisclosed outside business activities (OBAs) and private securities transactions. According to records kept by FINRA Bedwell was employed by LPL Financial LLC (LPL Financial) at the time of the activity. If you have been a victim of Bedwell’s alleged misconduct our firm may be able to assist you in recovering funds.
Rhett Bedwell is accused by investors and was investigated for unsuitably recommending investors to invest in a Ponzi scam involving Small World Capital and Graysail Capital. In March 2021 FINRA barred Bedwell after finding that Bedwell consented to sanctions and findings that he refused to produce information and documents requested by FINRA during the course of its review of an amended Form U5 filed by his former member firm. FINRA’s investigation stemmed from a disclosure that Bedwell had been identified in a pending customer arbitration alleging that he moved a client’s IRA to a different administrator and used forged documentation to invest the claimant’s money in a Ponzi scheme.
Our law firm has significant experience bringing cases on behalf of defrauded victims when their advisors engage in receiving loans from clients or selling securities sales through OBAs. The sale of unapproved investment products – is a practice known in the industry as “selling away” – a serious violation of the securities laws. In the industry the term selling away refers to when a financial advisor solicits investments in companies, promissory notes, or other securities that are not pre-approved by the broker’s affiliated firm. Sometimes those investments have some legitimacy but often times these types of investments can end up being Ponzi schemes or the advisor can be engaging in the conversion of funds.