Law

We cover latest news on investor lawsuits, investigations and investment fraud.  Unfortunately, investment fraud is very common, especially with seniors.  We report on several different kinds of security fraud that includes Ponzi-Schemes, Bad Accounting and Improper Sales Practices.

Ponzi-scheme

NJ Ponzi Scheme

A Princeton couple has been accused by New Jersey authorities of conducting a $5 million Ponzi scheme to finance a lavish lifestyle that entailed “tropical holidays, private schools as well as country clubs”. The New

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UBS Faces Lawsuits Over Yield Enhanced Strategy

Financial Advisor Adam Feierstein Settles Customer Dispute for $40,000

Title: Financial Advisor Adam Feierstein Settles Customer Dispute for $40,000

Subtitle: Claimants alleged that Feierstein recommended an unsuitable investment in a variable annuity

Date: May 16, 2022

Adam Feierstein, a financial advisor currently registered with Concourse Financial Group Securities, Inc., has recently settled a customer dispute for $40,000. The claimants in the case alleged that Mr. Feierstein had recommended an unsuitable investment in a variable annuity, which led to a loss of $400,000.

The dispute, filed under case number 22-01029, was settled on April 11, 2022, with the claimants agreeing to accept a payment of $40,000 in order to resolve the matter. The settlement amount represents 10% of the total loss claimed by the customers.

Adam Feierstein has been in the financial services industry for over 20 years and has been associated with ProEquities, Inc. (CRD 15708) from December 11, 2018, to October 28, 2020. He is not currently registered as an investment advisor.

The variable annuity in question is a type of investment that combines features of an insurance contract with those of an investment product. Variable annuities allow investors to allocate their money among various investment options, with the potential for growth based on the performance of these investments. However, they also come with certain risks, and the suitability of such investments depends on the individual investor’s financial situation, risk tolerance, and investment objectives.

In this case, the claimants argued that Mr. Feierstein had not taken their specific needs and circumstances into account when recommending the variable annuity investment. As a result, they suffered significant losses and sought compensation through the dispute process.

The settlement of this customer dispute serves as a reminder to both financial advisors and investors of the importance of thoroughly evaluating the suitability of investment recommendations. Financial professionals have a responsibility to ensure that the products and strategies they recommend align with their clients’ needs and objectives, while investors should always perform their due diligence and seek advice from multiple sources before making any investment decisions.

It is worth noting that the settlement of a customer dispute does not necessarily indicate that the financial advisor was at fault or acted improperly. In some cases, advisors may choose to settle disputes in order to avoid the time, expense, and potential reputational damage associated with a lengthy arbitration process.

Investors can review a financial advisor’s history of customer disputes and other regulatory actions by consulting the Financial Industry Regulatory Authority’s (FINRA) BrokerCheck database. This free, online resource provides comprehensive information about the professional background and disciplinary history of registered brokers and investment advisors, helping investors make informed decisions when choosing a financial professional.

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Investor Alleges Unsuitable Recommendation and Misrepresentations in Oil and Gas Partnership: ONEAMERICA SECURITIES Faces Customer Dispute

In a recent development, ONEAMERICA SECURITIES, INC., a renowned financial services firm, is facing a customer dispute as clients allege an unsuitable recommendation, material misrepresentations, and omissions in the recommendation of an oil and gas

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