The Securities and Exchange Commission (SEC) filed charges against an investment adviser with Laurel Wealth Advisors for leading a multi-year cherry-picking scheme that deceived his clients.
Advisor Allocated Profitable Trades to Personal Trading Account
According to the SEC's complaint, from May 2012 to September 2015, Donald J. Kellen profited at his clients' expense. He allegedly allocated profitable trades to a personal account at Laurel Wealth Advisors, instead of assigning those trades to his client's accounts. He also allegedly misused his omnibus account to engage in riskless day trading.
According to FINRA’s BrokerCheck report, Kellen has been been the subject of other customer complaints involving allegations of unsuitable recommendations, misrepresentations, and failure to properly manage client accounts.
Laurel Wealth Advisors Has History of Broker Misconduct
Back in August 2019, the SEC entered into an administrative and cease-and-desist order against Laurel Wealth Advisors and Joseph C. Buchanan — another investment adviser associated with the company. Buchanan was barred from the industry.
Investors are encouraged to review their brokers’ BrokerCheck report to determine if their broker has been subject to customer complaints.
Speak with a Securities Lawyer
Dimond Kaplan & Rothstein, P.A. has vast experience with cases related to stockbroker misconduct. The firm has successfully represented numerous victims who have lost money as a result of stockbroker negligence. We will aggressively pursue claims to recover your losses.
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