Recent regulatory and customer dispute developments involving Patrick Alexander Moriarty (CRD #4764378) have raised concerns about client authorization, supervision and internal compliance controls at major brokerage firms. Moriarty, a former registered broker previously associated with UBS Financial Services Inc. and Citigroup Global Markets, is no longer registered in the securities industry. The issues arose from [...]

The Financial Industry Regulatory Authority (FINRA) has sanctioned former LPL Financial broker Kyle Ray Critcher (CRD #7351555) after finding he negligently misrepresented the nature of investments he recommended to senior customers. According to FINRA, Critcher falsely described corporate bonds as FDIC-insured certificates of deposit (CDs), a misstatement that materially altered the risk profile of the [...]

Key Takeaways What It Means to Sue a Stockbroker Suing a stockbroker means bringing a legal claim against an individual broker, financial advisor or brokerage firm for financial harm caused by misconduct or negligence. These claims are not based on ordinary market losses. Instead, they arise when a broker violates legal duties, regulatory rules or [...]

Early redemptions of Unit Investment Trusts can significantly increase investor costs, particularly when proceeds are rolled into new products that carry additional sales charges. A recent Financial Industry Regulatory Authority (FINRA) enforcement action against Carter, Terry & Company, Inc. (CRD #16365) focuses on whether the firm’s supervisory systems were equipped to identify and address those [...]