Securities law firm Carmel, Milazzo & DiChiara LLP (CMD) is investigating claims against IMS Securities, Inc. and Jackie Wadsworth for unsuitable recommendations, over-concentration and failure to supervise.
According to FINRA, Ms. Wadsworth faces allegations of negligence, over-concentration, breach of fiduciary duty, misrepresentations and failure to supervise. The product types in the complaint are variable annuities and real estate securities, such as REITs.
IMS Securities, Inc. is a small Houston, Texas based firm that posted $11.5 million in revenue last year, according to a filing with the Securities and Exchange Commission. Its balance sheet is tilted heavily in the direction of high-commission products like variable annuities and non-traded REITs; close to 86% of its revenue in 2015 came from commissions, according to the SEC filing.
IMS Securities was one of the four leading sellers of real estate investment trusts sponsored by United Development Funding (UDF). The bottom fell out of those REITs last December, after an investor website posted a report that alleged that UDF IV, which was a non-traded REIT that later listed as a publicly traded REIT, operated for years like a Ponzi scheme. Management at UDF has denied those allegations.
If you or someone you know lost money investing with IMS Securities, Inc. and/or Jackie Wadsworth, 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 email@example.com for a free and confidential case evaluation.