Craig Gary Langweiler, a Philadelphia, Pennsylvania-based registered representative formerly employed with Meyers Associates, L.P., n/k/a Windsor Street Capital, was named a Respondent in a Financial Industry Regulatory Authority (FINRA) complaint alleging that he excessively traded the account of his customer, generating high commissions for himself and substantial losses for his customer.
According to the FINRA complaint, Mr. Langweiler executed 257 trades in his customer’s account during the relevant period, which was a mere 193 days. FINRA alleges that Mr. Langweiler generated approximately $27,092 in commissions, whereas his customer incurred losses in excess of $33,000. FINRA found that Mr. Langweiler exercised control over the customer’s account through his use of discretion, for which he allegedly never sought, nor obtained, written authorization.
In its complaint, FINRA charges Mr. Langweiler with violating FINRA Rule 2111, which governs suitability, and states that a registered representative with control over a customer’s account must have “a reasonable basis for believing that a series of recommended transactions, even if suitable when viewed in isolation, are not excessive and unsuitable for the customer when taken together in light of the customer’s profile.” FINRA’s complaint also charges Mr. Langweiler with violating NASD Rule 2510(b) and FINRA Rule 2010, for his alleged unauthorized discretionary trading.
Stockbrokers, registered representatives, and other financial professionals have been known to engage in many types of fraudulent and prohibited behavior which are in violation of industry rules and procedures. In order to protect investors from 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 excessive trading can file a claim to recover damages against broker-dealers, like Meyers Associates, L.P., n/k/a Windsor Street Capital, which have a duty to supervise their employees in order to prevent the above-described misconduct.
Have you suffered losses in your Meyers Associates, L.P., n/k/a Windsor Street Capital account due to your stockbroker’s excessive trading? 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 Meyers Associates, L.P., n/k/a Windsor Street Capital 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 40 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.