Scott Mass of David Lerner Associates has been subject to five customer complaints

According to BrokerCheck records financial advisor Scott Mass (Mass), currently employed by David Lerner Associates, Inc. (David Lerner) has been subject to five customer complaints.  According to records kept by The Financial Industry Regulatory Authority (FINRA), most of Mass’ customer complaints allege that Mass made unsuitable recommendations in a variety of investments including REITs, Puerto Rico bonds, and mutual funds.

In July 2018 a customer complained that Mass violated the securities laws by recommending unsuitable investments, breach of fiduciary duty, negligence, fraud and breach of contract in connection with the sale of Puerto Rico Bonds.  The customer alleges $500,000 in damages.  The claim is currently pending.

In December 2016 a customer complained that Mass violated the securities laws by recommending unsuitable investments from June 2007 through July 2015 causing $90,000 in damages.  The claim settled for $15,000.

If you or someone you know lost money investing with Scott Mass and/or David Lerner Associates you may be entitled to recover your investment losses through FINRA arbitration. CMD accepts cases on a contingency fee basis, which means we only get paid if you get paid.  Your time to file a claim may be limited, so contact us today at (212) 658-0458 or contact@cmdllp.com for a free and confidential case evaluation.

CMD Investigating Claims Against Mauricio Jaramillo and Ultralat Capital Markets, Inc. for Unsuitable Trading, Unsuitable use of Margin, Short-term Trading and for Failure to Supervise

Securities law firm Carmel, Milazzo & DiChiara LLP (CMD) is investigating claims against Mauricio Jaramillo and Ultralat Capital Markets, Inc. for unsuitable trading, unsuitable use of margin, short-term trading and for failure to supervise.

As reported by FINRA, Mr. Jaramillo recommended unsuitable trades in at least three customer accounts, in that he recommended short-term trading in bonds, undue concentration of positions, and the use of margin to customers who were not suitable for such trading. The findings stated that Jaramillo maintained limited trading authorization over various customer accounts at his member firm and received compensation on trades he placed in such accounts. Two of the customers had long-term growth investment objectives and another customer had a moderate risk tolerance, but their accounts were almost totally concentrated in bonds typically denominated in Brazilian Reais. These customers also had significant margin balances in their accounts. Jaramillo did not have any reasonable basis to believe that such short-term trading, concentrations of positions and use of margin was suitable for the customers, or that such trading was consistent with their investment objectives, risk tolerances, and financial situations and needs.

If you or someone you know lost money investing with Mauricio Jaramillo or Ultralat Capital Markets, Inc., you may be entitled to recover your investment losses through FINRA arbitration. CMD accepts cases on a contingency fee basis, which means we only get paid if you get paid.  Your time to file a claim may be limited, so contact us today at (212) 658-0458 or contact@cmdllp.com for a free and confidential case evaluation.

CMD Investigating Claims Against Lawrence Roberson and Capital City Securities, LLC for Misrepresentations and Fraud

Securities law firm Carmel, Milazzo & DiChiara LLP (CMD) is investigating claims against securities broker Lawrence Roberson and brokerage firm Capital City Securities, LLC for misrepresentations and omissions, fraud and failure to supervise.  According to Mr. Roberson’s FINRA BrokerCheck, he has been the subject of at least five (5) regulatory inquires.

In September 2016, Roberson consented to the sanction and to the entry of findings that he made material misrepresentations and omissions in the sale of a $40,000 bond debenture to a customer when the purported investment was not a genuine security.  Roberson did not invest the customer’s funds and instead converted the funds to pay for his personal expenses.  As a result of his conduct, Roberson willfully violated Section 10(b) of the Exchange Act and Rule 10b-5, and FINRA Rules 2010 and 2020.

If you or someone you know lost money investing with Lawrence Roberson and/or Capital City Securities, LLC, you may be entitled to recover your investment losses through FINRA arbitration. CMD accepts cases on a contingency fee basis, which means we only get paid if you get paid.  Your time to file a claim may be limited, so contact us today at (212) 658-0458 or contact@cmdllp.com for a free and confidential case evaluation.

CMD Investigating Claims Against Lawson Financial Corporation, Inc. and CEO Robert Lawson for Fraud

Carmel, Milazzo & DiChiara LLP (CMD) is investigating potential claims against Lawson Financial Corporation, Inc., an Arizona based company, and its CEO Robert Lawson for fraud related to municipal bonds.

FINRA has issued a formal complaint against Lawson Financial Corporation, Inc. (LFC), as well as Robert Lawson, the company’s CEO and President with self-dealing – furthermore the regulator has charged LFC with abuse and securities fraud given their role as co-trustees of a charitable remainder trust. In particular, LFC and Lawson were improperly using the trust funds to indirectly prop up the struggling offerings via transfers of millions of dollars from the charitable remainder trust account – the allegations also extend to Pamela Lawson, LFC’s Chief Operating Officer (COO).

The specific municipal bonds at issue in the cited complaint include a $10.5 million bond offering back in October 2014 for bonds relating to an Arizona charter school – this was underwritten by LFC and peddled to LFC customers.  In addition, LFC had also been involved in secondary market bond sales to its clientele in 2015, involving earlier-issued municipal revenue bonds to the same charter school.  Finally, the complaint details secondary market sales to LFC’s customers between early 2013 and July 2015, concerning two separate assisted living facilities in Alabama.

FINRA has alleged that Lawson and LFC were acutely aware of the financial difficulties faced by the municipal revenue bond conduit borrowers, i.e. the Arizona charter school and the assisted living centers, opting to mask the financial woes facing these groups to its customers. This was further compounded by allegations that Lawson and LFC carried out their securities fraud by transferring millions of dollars from a deceased customer’s charitable trust account to cover up any associated risks endemic in the municipal revenue bonds.

Securities fraud, also known as stock fraud and investment fraud, is a deceptive practice in the stock, bond or commodities markets that induces investors to make purchase or sale decisions on the basis of false information, frequently resulting in losses, in violation of securities laws. 

Investors are protected against fraudulent securities activities by several different civil laws. First, the Securities Exchange Act of 1934 (15 U.S.C. § 78a et seq.) and Rule 10b-5 protect investors against deceptive and manipulative acts in the purchase or sale of securities. This sweeping legislation is the cornerstone of federal securities laws. Rule 10b-5 makes it unlawful to employ a device or scheme to defraud, to make any untrue statement of material fact or omit to state a material fact not misleading, or to engage in any practice that would operate as a fraud.

If you or someone you know lost money investing in or with Lawson Financial Corporation, Inc., you may be entitled to recover your investment losses through FINRA arbitration.  CMD accepts cases on a contingency fee basis, which means we only get paid if you get paid.  Your time to file a claim may be limited, so contact us today at (212) 658-0458 or contact@cmdllp.com for a free and confidential case evaluation.