CMD Investigating Claims Against Kelly Althar and Financial West Group for Unsuitable Recommendations and Engaging in Excessive Trading

Securities law firm Carmel, Milazzo & DiChiara LLP (CMD) is investigating claims against Kelly Althar and Financial West Group for unsuitable recommendations, engaging in excessive trading (churning) and failure to supervise, particularly related to elderly customers.

According to FINRA, Kelly Althar made unsuitable recommendations and engaged in excessive trading in an elderly customer’s accounts. FINRA alleges that Althar engaged in high-volume trading to generate commissions and over-concentrated the customer’s accounts in risky securities, despite the fact that the customer was close to retirement and wanted only low-risk investments. Althar’s trading decimated the customer’s accounts, which constituted the bulk of her net worth and retirement savings. Althar exercised control over the customer’s account at his member firm. Althar rarely consulted the customer about the transactions in her accounts and made the investment decisions for her, including what to buy and sell, the quantities, and when each transaction would occur.  Althar used this control to excessively trade the accounts in a manner that was inconsistent with the customer’s investment objectives, financial situations and needs.

If you or someone you know lost money investing with Kelly Althar and Financial West Group 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 CUSO Financial Services, L.P. for Recommending Unsuitable Unit Investment Trusts (UITs)

Securities law firm Carmel, Milazzo & DiChiara LLP (CMD) is investigating claims against CUSO Financial Services, L.P. for recommending unsuitable Unit Investment Trusts (UITs) and for failure to supervise.

As reported by FINRA, CUSO Financial Services, L.P. through a registered representative unsuitably solicited and sold to customers certain unit investment trusts (UITs) that invested in closed-end mutual funds that employed leverage. The findings stated that CUSO Financial Services, L.P., through the registered representative and the two principals who supervised him and approved his UIT transactions, failed to have a reasonable basis to recommend and approve UIT transactions sold to customers. Neither the registered representative nor the principals who approved the UIT transactions understood the potential risks of the UITs and, in particular, neither understood that the UITs might employ leverage. CUSO Financial Services, L.P., through the registered representative and principals, sold these UITs to customers, including some seniors, in transactions totaling $4,636,146. The customers lost approximately $443,000 on the UITs that the registered representative sold without a reasonable basis. Some of these customers indicated that they had low risk tolerances, which should have raised questions about the suitability of the UITs for them. The firm voluntarily provided restitution totaling approximately $325,000 to many of the customers who indicated that they had low or medium risk tolerances.

The findings also stated that these unsuitable UIT recommendations occurred, in part, because of the firm’s lack of reasonable supervision.

If you or someone you know lost money investing with CUSO Financial Services, L.P. 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 Scott Forrest Goldman, Cambridge Investment Research, Inc. and H. Beck, Inc. for Unsuitable and Over-Concentration in Precious Metals

Securities law firm Carmel, Milazzo & DiChiara LLP (CMD) is investigating claims against Scott Forrest Goldman, Cambridge Investment Research, Inc. and H. Beck, Inc. for recommending unsuitable over-concentrations in precious metals and failure to supervise.  Mr. Goldman’s CRD evidences a history of customer complaints, with at least six reported customer complaints.

As reported by FINRA, Scott Forrest Goldman recommended an investment strategy to an elderly customer that was unsuitable because it unduly concentrated her in risky, leveraged precious metal products. The findings stated that the customer received a prospectus but was not adequately informed of the investment components in that she did not understand the nature of and market risk associated with it.

If you or someone you know lost money investing with Scott Forrest Goldman, Cambridge Investment Research, Inc. or H. Beck, 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 Clams Arising from Investments in REITs of Inland American Real Estate Trust, Inc., now known as InvenTrust Properties Corp.

Carmel, Milazzo & DiChiara LLP (CMD) is investigating potential claims arising from investments in REITs of Inland American Real Estate Trust, Inc. (Inland American), now known as InvenTrust Properties Corp.  Inland American has been the largest issuer of non-traded REITs in the United States.

Generally, a non-traded Real Estate Investment Trust, or “REIT”, is a company that owns and operates income producing real estate, such as apartment buildings, office buildings and shopping centers.  The company sells shares to investors to raise capital to purchase the underlying assets and operate the company.  Non-traded REITs are not traded on any stock exchange, and are generally, illiquid.  Non-traded REITs are often marketed by brokers to older investors as providing high yields, price stability and a steady income stream through periodic distributions.  What brokers often gloss over when selling these products to clients are the high commissions they receive, the lack of liquidity, high fees and other substantial risks.  Among the risks that are often not adequately disclosed is the fact that a REIT may suspend its shareholders’ ability to redeem his or her shares, or reduce, or entirely suspend distributions – the income stream that many brokers use to entice retirees to invest in a REIT.

Many non-traded REITs, including Inland American Real Estate Trust, have fallen short of brokers’ rosy promises and representations of price stability and a steady income stream.

If you or someone you know lost money or were misled about a non-traded REIT, such as Inland American Real Estate Trust, now known as IvenTrust Properties Corp., you may be entitled to recover your 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.