Securities America | DKR | Investment Losses

Securities America

Securities America

Securities America is an independent brokerage firm with more than 1,600 brokers. Securities America is based in Omaha, Nebraska and was founded in 1984. It is one of the nation’s largest independent general securities broker/dealers. The Advisory division of the company (Securities America Advisors, Inc.) was founded in 1993 and is an SEC Registered Investment Advisor firm with over $13 billion in assets under management.

Securities America Ordered to Pay Investors $6.7 Million

An NASD arbitration Panel ordered Securities America to pay two investors a total of $6.7 million plus attorneys’ fees. NASD Panel found that Securities America was negligent in hiring the broker in the first place and then it permitted the unregistered broker, who fraudulently worked under an assumed name, to engage in abusive and unsuitable trading in the customers’ accounts. Moreover, after Securities America learned of the broker’s misdeeds, it intentionally withheld crucial information that might have not only assisted Securities America’s customers, but also mitigated the damages that the customers had incurred.

Securities America fined for Supervision Failures

The NASD fined Securities America $2.5 million for failing to supervise a broker who allegedly lured clients into early retirement with exaggerated promises of high returns. The firm was also ordered to pay $13.8 million in restitution to victims and to hire a consultant to review its supervisory procedures. According to the NASD, a Securities America broker offered a group of Exxon Corp. retirees exaggerated promises of high returns. Seminars were held in which Exxon employees between the ages of 50 and 60 were advised to liquidate of their company 401(k) and pension plan assets and deposit the funds into Securities America accounts. The NASD added that “in this case, Securities America’s lack of supervision resulted in Exxon employees being fraudulently induced into retiring early based upon false and misleading projections of future investment returns on their nest eggs.”

Securities America Ordered to Pay $9 Million to Retired Pilots

An NASD arbitration panel ordered Securities America to pay up to $9.3 million to three retired American Airlines pilots who claimed that their Securities America broker improperly invested their retirement savings into risky mutual funds with high fees and trading costs.

If you suffered investment losses, please contact us or communicate with a Dimond Kaplan & Rothstein, P.A. attorney at 888-578-6255 or for a free case evaluation.

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Miami Office
Grand Bay Plaza
2665 S. Bayshore Drive
Penthouse 2B
Miami, FL 33133
Telephone: 786.628.8236

Los Angeles Office
Available by Appointment
2029 Century Park East
Century Plaza Tower
Suite 400N
Los Angeles, CA 90067
Telephone: 424.544.7930

New York City Office
Available by Appointment
14 Wall St, 20th Floor
New York, NY 10005
Telephone: 917.382.5217

West Palm Beach Office
Northbridge Centre
515 N. Flagler Drive, Suite P-300
West Palm Beach, FL 33401
Telephone: 561.475.2887

Detroit Office
41000 Woodward Avenue,
Suite 350 East
Bloomfield Hills, Mi 48304
Telephone: 248.368.0182