Articles Posted in BrokerCheck

Thumbnail image for Thumbnail image for Thumbnail image for warning_flag.jpgThe following information regarding broker misconduct and disciplinary activities taken against California stockbrokers was released by the Financial Industry Regulatory Authority (FINRA) in August and September 2010:

Michael Frederick Siegel, formerly with BMA Securities and FSC Securities was fined $30,000 and suspended from association with any FINRA member in any capacity for two consecutive six-month terms in connection with the sale of securities to customers that were unsuitable and also for participating in private securities transactions without approval from his employing firm.

Michael Alcide Poutre, formerly of Brookstone Securities and also Maxxtrade was suspended from association with any FINRA member in any capacity for 30 days for charging excessive markups in connection with the sale of corporate bonds. According to FINRA, because the corporate bonds were readily available and involved large transactions of higher priced securities, a percentage rate of less than 3 percent was appropriate.

Thumbnail image for Thumbnail image for warning_flag.jpgThe following information regarding broker misconduct and disciplinary activities taken against California stockbrokers was released by the Financial Industry Regulatory Authority (FINRA) in July 2010:

Stephen White Wilson (Westlake Village and Thousand Oaks, California) formerly with AFA Financial Group, Brookstreet Securities, Wedbush Morgan Securities, Securities America and Wachovia Securities, among others, was barred from association with any FINRA member in any capacity for making fraudulent and material misrepresentations in the sale of mutual funds, inducing customers to switch mutual funds, and for engaging in unauthorized trading when switching customers from Class B to Class C mutual fund shares. Mr. Wilson has appealed this decision.

First Allied Securities, Inc. (formerly known as FFP Securities, Inc.) of San Diego, California, was fined $27,500 and, without admitting liability, consented to an entry of findings that the firm failed to provide customers with a confirmation and other information disclosing the total price paid or the amount of commission paid by customers in connection with the purchase of variable life settlements. The findings also noted that the firm failed to supervise the broker that handled the life settlement transactions.

Thumbnail image for warning_flag.jpgThe following information regarding broker misconduct and disciplinary activities taken against California stockbrokers was released by the Financial Industry Regulatory Authority (FINRA) in June 2010:

Donald Edwin Derieg, formerly with Wedbush Morgan Securities in Encino, California, was barred from association with any FINRA member in any capacity for what appears to be a case of elder financial abuse. According to FINRA, Mr. Derieg acted as a successor co-trustee in an elderly customer’s account, was appointed as a beneficiary of the client’s trust and life insurance policy, borrowed money from the client and made unsuitable investment recommendations.

Carlos Suazo of Marina del Rey, California, formerly with MetLife Securities, Inc. in Los Angeles, California, was barred from association with any FINRA member in any capacity for misusing $12,000 in customer funds that were supposed to be used to purchase a variable annuity.

Thumbnail image for warning_flag.jpgThe following information regarding broker misconduct and disciplinary activities taken against California stockbrokers was released by the Financial Industry Regulatory Authority (FINRA) in May 2010:

Mission Securities Corporation of San Diego, California, was expelled from FINRA membership and the firm’s principal Craig Michael Biddick was barred from association with any FINRA member in any capacity. The firm and Mr. Biddick were also ordered to pay $38,946.06, plus interest, to customers, for converting and misusing securities held in customer accounts to pay firm operating expenses.

Wedbush Morgan Securities Inc. of Los Angeles, California was censured and fined $12,500 and required to make restitution to customers totaling $5,986.26 for allegedly selling municipal securities to customers from its own account at unfair and unreasonable prices.

warning_flag.jpgThe following information regarding broker misconduct and disciplinary activities taken against California stockbrokers was released by the Financial Industry Regulatory Authority (FINRA) in April 2010:

Heriberto Americo Artiga Sr. of Sylmar, California, formerly with Lincoln Financial Securities Corporation in Downey, California, was barred from association with any FINRA member in any capacity for engaging in private securities transactions involving the sale of $2.5 million of promissory notes to individuals that were promised to be risk-free, high yield investments.

Horus River Brown, formerly with Banc of America Investment Services in La Jolla, California, was barred from association with any FINRA member in any capacity for engaging in a private securities transaction outside the scope of his employment involving the investment of $200,000 in a convertible debenture that Brown promised would return 10 percent within ten months.

The following information regarding broker misconduct and disciplinary activities taken against California stockbrokers was released by the Financial Industry Regulatory Authority (FINRA) in March 2010:

Gary Thomas Armitage of Healdsburg, California, formerly with EPlanning Securities was barred from association with any FINRA member in any capacity for engaging and participating in private securities transactions without notifying his employing firm.

Francisco P. Esparza of Tustin Ranch, California, formerly with J.P. Turner & Company and LPL Financial Corporation was fined $10,000 and suspended from association with any FINRA member in any capacity for 15 business days for making unsuitable recommendations to his customers to buy closed-end funds (CEFs) purchased in an initial public offering (IPO) and selling them in the short term without fully understanding the pricing of CEFs and the risks and rewards of the investments.

The following information regarding broker misconduct and disciplinary activities taken against California stockbrokers was released by the Financial Industry Regulatory Authority (FINRA) in February 2010:

Donald Dunakin, formerly with GunnAllen Financial and Delta Equity Services Corporation in El Dorado Hills, California, was barred from association with any FINRA member in any capacity for making unsuitable recommendations to customers who had to borrow money in order to purchase securities.

Jeffrey Allan Forrest, formerly with Associated Securities Corp. in Van Nuys, California, was was barred from association with any FINRA member in any capacity. Forrest was also permanently barred by the SEC along with his company Wealthwise, LLC of San Louis Obispo, California, for failing to disclose material conflicts of interest when recommending that his clients invest in a high-risk hedge fund that made undisclosed subprime investments.

The following information regarding broker misconduct and disciplinary activities taken against California stockbrokers was released by the Financial Industry Regulatory Authority (FINRA) in January 2010:

Robert Lee Mandeville, formerly with Securian Financial Services in Newport Beach, California, and Morgan Stanley in Laguna Woods, California, was fined $35,000 and suspended from association with any FINRA member in any capacity for five months for allegedly engaging in unauthorized trades in customer accounts and making unsuitable trades in customer accounts.

Kale Edgar Evans, formerly with First Allied Securities in San Diego, California, and TD Waterhouse (now known as TD Ameritrade) was barred from association with any FINRA member in any capacity based on findings that Evans engaged in unsuitable and excessive trading in a young customer’s account, misappropriated approximately $127,450 from the customer’s savings account for his own purposes and gave the customer a $35,000 check as a settlement without his firm’s knowledge or consent.

The following information regarding broker misconduct and disciplinary activities taken against California stockbrokers was released by the Financial Industry Regulatory Authority (FINRA) in December 2009:

Dean Jay Addinanti formerly of Wells Fargo Advisors, LLC and A.G. Edwards & Sons, Inc. in Torrance, California, was fined and suspended from association with any FINRA member in any capacity for 60 days for allegedly conducting unauthorized transactions in customer accounts.

Stephen Crai Keifner formerly of First Allied Securities, Inc. and A.G. Edwards & Sons, Inc. in Ventura and Oxnard, California, was barred from association with any FINRA member in any capacity for allegedly engaging in unauthorized trades in customer accounts, making unsuitable recommendations and altering customer account documentation.

The following information regarding broker misconduct and disciplinary activities taken against California stockbrokers was released by the Financial Industry Regulatory Authority (FINRA) in November 2009:

Lisa Ann Tomiko Nouchi of Fairfield, California, was suspended from association with any FINRA member in any capacity for 90 days and fined $10,000 for allegedly entering inaccurate and false customer information while she was employed at UBS Financial Services.

Marc Winters of Chatsworth, California, was suspended from association with any FINRA member in any capacity for 90 days and fined $19,882 for allegedly entering inaccurate and false customer information while he was employed at UBS Financial Services.

Contact Information