Austin Wayne Morton, a previously registered broker with Edward D. Jones & Co. L.P. (Edward Jones), was named a Respondent in a Financial Industry Regulatory Authority (FINRA) complaint alleging that he converted $36,000 from his former customer, an elderly man suffering from dementia.
According to the FINRA complaint, Austin Wayne Morton, of Spiro, Oklahoma, allegedly kept $22,000 in cash that his elderly customer, whom Mr. Morton apparently knew since childhood, had withdrawn from his closed IRA account. Mr. Morton is alleged by FINRA to have used those funds for his own benefit.
FINRA’s complaint goes on to allege that a month later, Mr. Morton asked the same elderly client for a loan of $6,000 at 6% interest for certain anticipated medical costs. The elderly gentlemen allegedly gave Mr. Morton a signed, blank check for the loan. According to the FINRA complaint, Mr. Morton completed the check, allegedly making it out for $22,000 – $16,000 more than what the customer had agreed to lend him. FINRA alleges that Mr. Morton did not use any of the proceeds to pay for medical costs nor has he repaid any portion of the funds to the elderly gentleman.
Stockbrokers, registered representatives, and other financial professionals have been known to engage in many different kinds of fraudulent and prohibited behavior which are in violation of industry rules and procedures. In order to protect investors from such stockbroker misconduct, FINRA rules require broker-dealers to establish and implement a supervisory system in order to safeguard customer assets. If broker-dealers and their supervisors fail to establish and implement these protective measures, they may be liable to account holders for investment losses. As a result, account holders who have suffered losses stemming from a registered representative’s misconduct can file a claim to recover damages against broker-dealers, like Edward Jones, which have a duty to supervise its employees in order to prevent the above-described misconduct.
Have you suffered losses in your Edward Jones or other investment account due to your stockbroker’s misconduct? If so, call Robert Pearce at the Law Offices of Robert Wayne Pearce, P.A. for a free consultation. Mr. Pearce is accepting clients with valid claims against Edward Jones stockbrokers who may have engaged in misconduct and caused investors losses.
The most important of investors’ rights is the right to be informed! This Investors’ Rights blog post is by the Law Offices of Robert Wayne Pearce, P.A., located in Boca Raton, Florida. For over 35 years, Attorney Pearce has tried, arbitrated, and mediated hundreds of disputes involving complex securities, commodities and investment law issues. The lawyers at our law firm are devoted to protecting investors’ rights throughout the United States and internationally! Please visit our website, www.secatty.com, post a comment, call (800) 732-2889, or email Mr. Pearce at firstname.lastname@example.org for answers to any of your questions about this blog post and/or any related matter.