Feltl & Company

Broker Eric Overvig in Feltl & Company Firm Has Customer Complaint

April 9, 2025 | by Staff Attorney

According to records kept by The Financial Industry Regulatory Authority (FINRA) financial Broker Eric Overvig (Overvig), currently associated with Feltl & Company, has at least one disclosable event. These events include one customer complaint, alleging that Overvig recommended unsuitable investments in different investment products including debt securities among other allegations and complaints.

FINRA BrokerCheck shows a settled customer complaint with a damage request of $64,712.00 on August 02, 2024.

Client deceased (1/15/2024), complainant is [REDACTED] who is personal representative on his estate and was former guardian on IRA account (as of 3/27/2023). Complainant alleges unsuitable investments and breach of fiduciary duty. Client transferred into firm, following RR’s transition to the firm, in June 2019. Client bought a position in June 2000 and three additional positions in December 2000. The remaining transactions were unsolicited sales to generate funds for distributions either by the client or the complainant/guardian. The dates involved in the allegations would be June 2019 to January 2024. The actual net losses on the account given the market value of the account received in June 2019, less distributions either to the client, or for taxes, was approximately $4500.

There are Recent Customer Complaints with Broker Justin Pagel in Firm Feltl & Company

February 14, 2025 | by Staff Attorney

According to records kept by The Financial Industry Regulatory Authority (FINRA) financial Broker Justin Pagel (Pagel), previously associated with Feltl & Company, has at least one disclosable event. These events include one regulatory, alleging that Pagel recommended unsuitable investments in different investment products including debt securities among other allegations and complaints.

FINRA BrokerCheck shows a final customer complaint on January 17, 2025.

Without admitting or denying the findings, Pagel consented to the sanction and to the entry of findings that he made recommendations to three customers that that were not suitable, and he willfully violated Rule 15l-1(a)(1) of the Exchange Act (Reg BI) by making recommendations to another customer that was not in his best interest. The findings stated that when opening their accounts with Pagel, each of the three customers instructed him to invest the money conservatively and informed him that they planned to use the money for anticipated upcoming expenses, such as a home down payment or a child’s college tuition. At Pagel’s recommendation, the three customers invested all, or a significant portion of, their assets at Pagel’s member firm in low-priced stocks or other speculative securities. The trading activity in these accounts was inconsistent with the customers’ investment profiles and resulted in losses and customer complaints from all three customers. In connection with two of the complaints, Pagel and the firm made payments totaling $26,000. In addition, the other customer informed Pagel that he wanted to make only safe investments. However, Pagel recommended that the other customer purchase positions in low-priced stocks and other speculative securities inconsistent with his investment profile. The findings also stated that Pagel exercised discretion when effecting trades in customer accounts without obtaining written authorization from the customers and from his firm to treat the accounts as discretionary. The findings also included that Pagel mismarked solicited trades as unsolicited in customer accounts, including the accounts in which he exercised discretion without authorization.

Broker Timothy O’Brien Sanctioned By FINRA Over Unauthorized Trade

May 25, 2021 | by Staff Attorney

According to records kept by The Financial Industry Regulatory Authority (FINRA) financial advisor Timothy O’Brien (O’Brien), formerly employed by Feltl & Company has been subject to numerous disclosures including at least six customer complaints, two criminal matters, four judgement or tax liens, and regulatory complaints during the course of his career. O’Brien customer complaints alleges that O’Brien recommended unsuitable investments, made misrepresentations, and overconcentrated investments relating to the handling of client accounts.

In November 2020 O’Brien consented to FINRA findings and sanctions that he placed unauthorized trades in a customer’s account. FINRA found that O’Brien sold a limited partnership position in the customer’s account and purchased Class A shares of a mutual fund. FINRA found that O’Brien then attempted to call the customer to discuss the trades but did not reach her before executing the transactions.

In July 2020 a customer complained that O’Brien violated the securities laws by alleging that O’Brien made unsuitable investments, over concentration, and misrepresentation resulting in excessive losses in the account. The claim alleged $450,000 in damages and settled for $350,000.

O’Brien has several large tax liens. Such disclosures on a broker’s CRD can be a red flag that the broker may be influenced to engage in high commission activity in order to satisfy personal debts. In addition, a broker’s inability to manage their own finances is relevant in a customer’s decision to use their services. Continue Reading

Financial Advisor Todd Meier Terminated Over Customer Misconduct

July 20, 2018 | by Staff Attorney

According to BrokerCheck records kept by The Financial Industry Regulatory Authority (FINRA) former Feltl & Company (Feltl) broker Todd Meier (Meier) has been discharged for failure to follow firm policies and procedures with regards to interactions with a client. This discharge occurred in April 2018. The termination occurred shortly after Meier was subject to a customer complaint alleging churning or excessive trading that occurred from 2009 through 2012 causing $363,443 in damages. The claim was settled for $125,000.

In addition, Meier has been subject to numerous tax liens and declared bankruptcy in 2015. Such disclosures on a broker’s record can reveal a financial incentive for the broker to recommend high commission products or services. FINRA discloses information concerning a broker’s financial condition because a broker’s inability to handle their own personal finances has also been found to be material information in helping investors determine if they should allow the broker to handle their finances.

When brokers engage in excessive trading, sometimes referred to as churning, the broker will typical trade in and out of securities, sometimes even the same stock, many times over a short period of time. Often times the account will completely “turnover” every month with different securities. This type of investment trading activity in the client’s account serves no reasonable purpose for the investor and is engaged in only to profit the broker through the generation of commissions created by the trades. Churning is considered a species of securities fraud. The elements of the claim are excessive transactions of securities, broker control over the account, and intent to defraud the investor by obtaining unlawful commissions. A similar claim, excessive trading, under FINRA’s suitability rule involves just the first two elements. Certain commonly used measures and ratios used to determine churning help evaluate a churning claim. These ratios look at how frequently the account is turned over plus whether or not the expenses incurred in the account made it unreasonable that the investor could reasonably profit from the activity.

Broker Investigation: Feltl & Company Advisor Timothy Wynne

November 19, 2015 | by Staff Attorney

According to the BrokerCheck records kept by Financial Industry Regulatory Authority (FINRA) broker Timothy Wynne (Wynne) has been the subject of at least 5 customer complaints. The customer complaints against Wynne allege securities law violations that claim churning and excessive trading, unsuitable investments, unauthorized trading, fraud, misrepresentations, and discretionary trading among other claims. The most recent complaint was filed in October 2014, and alleged $500,000 in losses due to churning and excessive commission charges from February 2012 through October 2014. Another complaint filed in July 2014, alleged over $3.3 million in damages caused by unsuitable discretionary trading. Another complaint also filed in July 2014 alleged unsuitable investments in Monticello MN Telecommunication municipal bonds.

Wynne entered the securities industry in 1986. From January 2002, until February 2012, Wynne was associated with with Oppenheimer & Co. Inc. Presently, Wynne is associated with Feltl & Company out of the firm’s Minneapolis, Minnesota branch office location.

Churning is investment trading activity in the client’s account that serves no reasonable purpose for the investor and is transacted solely to profit the broker. The elements to establish a churning claim, which is considered a species of securities fraud, are excessive transactions of securities, broker control over the account, and intent to defraud the investor by obtaining unlawful commissions. A similar claim, excessive trading, under FINRA’s suitability rule involves just the first two elements. Certain commonly used measures and ratios used to determine churning help evaluate a churning claim. These ratios look at how frequently the account is turned over plus whether or not the expenses incurred in the account made it unreasonable that the investor could reasonably profit from the activity.

FINRA Fines Feltl & Company $1 Million Conerning the Firm’s Penny Stock Business

October 22, 2014 | by Staff Attorney

The Financial Industry Regulatory Authority (FINRA) has sanctioned brokerage firm Feltl & Company (Feltl) and fined the firm $1,000,000 concerning allegations that the firm, between January 2008, and February 2012. failed to comply with the suitability, disclosure, and record-keeping requirements for broker-dealers who engage in penny stock business. FINRA alleged that Feltl did not provide some customers with Securities and Exchange Commission (SEC) risk disclosure document two days prior to effecting a penny stock transaction in the customers’ accounts. failed to sufficiently supervise penny stock transactions for compliance with applicable rules and regulations, and failed to establish, maintain, and enforce written supervisory procedures for its penny stock business.

Feltl has eight branch offices located in Minnesota and Illinois, and approximately 113 registered representatives and has been a FINRA member since 1975.

The term “penny stock” generally refers to securities that trades below $5 per share, issued by a small company. Penny stocks often trade infrequently making it difficult to sell and price. Due to the size of the issuer, the market cap, the liquidity issues, and other reasons penny stocks are generally considered speculative investments. Consequently, the SEC requires broker-dealers effecting penny stock transactions to make a documented determination that the transactions are suitable for customers and obtain the customers’ written agreement to those transactions.