Jeffrey Scheibner, a stockbroker formerly employed by Accelerated Capital Group, submitted a Letter of Acceptance, Waiver and Consent (AWC) to the Financial Industry Regulatory Authority (FINRA) in which he was fined $5,000 and suspended for 3 months for allegedly making unauthorized mutual fund exchanges without the customers’ authorization or discretionary authority over their accounts.
FINRA found that between August 24, 2015 and September 16, 2015, Jeffrey Lloyd Scheibner, of Ladera Ranch, California, exchanged 303 mutual fund positions into corresponding money market funds across 36 accounts. Mr. Scheibner allegedly did so without prior customer authorization and had no discretionary authority over the accounts. Without admitting or denying FINRA’s findings, Mr. Scheibner was suspended by FINRA for 3 months and assessed a fine of $5,000. The suspension is in effect from May 15, 2017 through August 14, 2017.
Stockbrokers have been known to engage in many practices that may be a violation of industry and firm rules, practices, and procedures. In order to protect investors from stockbroker misconduct, FINRA rules require brokerage firms to establish and implement a reasonable supervisory system. The implementation of the rules require supervisors to monitor employees to ensure they comply with federal and state securities laws, securities industry rules and regulations, and the brokerage firm’s own policies and procedures. If broker-dealers and their supervisors fail to establish and implement these protective measures, they may be liable to investors for damages flowing from the misconduct. Therefore, investors who have suffered losses stemming from unauthorized account activity can bring forth claims to recover damages against broker-dealers, like Accelerated Capital Group, which should consistently oversee its brokers’ activities in order to prevent the above-described prohibited conduct.
Have you suffered losses in your Accelerated Capital Group account due to your stockbroker’s unauthorized mutual fund exchanges or other 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 Accelerated Capital Group stockbrokers who may have engaged in unsuitable trading strategies 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 email@example.com for answers to any of your questions about this blog post and/or any related matter.