Bad Broker Blog

A former attorney for the Fort Worth office of the SEC was convicted last week for securities fraud and participating in a stock manipulation scheme, with a possible sentence of up to 20 years in prison.

Last Friday a FINRA arbitration panel ordered Memphis-based Morgan Keegan & Co. to pay $2.5 million to an investor for losses tied to six bond funds. According to FINRA, the federal regulator has received 400 similar arbitration complaints against Morgan Keegan, with the majority still pending.

InvestmentNews interviewed financial compliance experts who said financial advisers frequently fail to meet "some of the simplest regulatory requirements."

It is far too common for stockbrokers to defraud their clients, when considering FINRA received 7,137 new requests for arbitration last year. But it is not every day that a stockbroker is accused of ripping off his own firm.

Everyone is going "green" these days. With public support behind green products, investments, and programs, the financial scammer is sure to take advantage.

It is difficult to understand the motivation of a Ponzi schemer. The Minneapolis Star-Tribune have dug deep into the life of alleged fraudster Trevor Cook, who is sitting in federal jail, likely facing a fate similar to that of Bernie Madoff and Allen Stanford.

Medical Capital president Sidney M. Field is no stranger to defending fraud allegations.

The Financial Industry Regulatory Authority is preparing for a year full of stockbroker arbitrations.

Last month a lawsuit was filed against Securities America Inc., the leading seller of private holdings in Medical Capital. According to the complaint filed by the Massachusetts Securities Division, which is the state's largest financial regulator, 400 Securities America advisors sold $700 million in the private securities, about half of which are now in default.

ABC News ran a story last week detailing the future of stock broker regulation, including arbitration reform.

Page 1 of 13 pages  1 2 3 >  Last »