Breach of fiduciary duty, suitability, and misrepresentation

$450,000.00

$160,000.00

The matter was settled to avoid the high cost of litigation and because two of the primary witnesses are deceased and thus unavailable to provide material testimony.

The customer alleges unsuitable recommendations in violation of FINRA Rule 2111, Material misrepresentations and omissions in violation of Federal Law, Blue Sky Laws and FINRA Rule 2020, and Violation of Fiduciary Duty. Based on the information available, the firm feels the investment was suitable for the customer's financial profile. The firm and Financial Professional intend to vigorously defend themselves in this matter.

$90,000.00

$40,000.00

Allegations of unsuitable investment, Breach of Fiduciary Duty, Violation of Missouri's Securities Act, Common Law Fraud, Breach of Contract and Negligence/Misrepresentation/Omission. The claim was settled to avoid the costs and fees that would be incurred in a final hearing.

$400,000.00

$110,000.00

The client is alleging that she inherited her father's IRA from his estate. She is alleging the account was not set up correctly causing a tax liability. Further, the client alleges she will lose the investment property at a rate of 8% which will cause an approximate $100,000 she could have earned over the years, if invested correctly, up to her retirement"

$200,000.00

COMPLAINT WAS WRITTEN BY OUR CLIENT'S DAUGHTER, HOWEVER BOTH SHE AND HER FATHER (CLIENT) SIGNED THE LETTER. DAUGHTER IS ALLEGING FINANCIALS NOTED ON AZTEC NEW ACCOUNT FORM IS NOT CORRECT AND HER FATHER DID NOT QUALIFY AS AN ACCREDITED INVESTOR. ALSO, SHE IS ALLEGING HER FATHER'S ARC BDCA IS DECREASING AT AN FRIGHTENING RATE. IN MARCH 2013 CLIENT INVESTED $125,000 IN AZTEC COMANCHE OIL & GAS DRILLING PROGRAM AND $85,000 IN BUSINESS DEVELOPMENT CORP. OF AMERICA (ARC BDCA). ACCORDING TO MR. REESE, CLIENT PROCURED MUCH CONSIDERATION AND MADE HIS DECISION THOUGHTFULLY. CLIENT SIGNED MANY DOCUMENTS ACKNOWLEDGING HIS FINANCIALS AS AN ACCREDITED INVESTOR (INCLUDED BOTH AZTEC & ARC BDCA NEW ACCOUNT FORMS AND SUBSCRIPTION AGREEMENTS). CLIENT ALSO SIGNED AZTEC AND ARC BDCA CUSTOMER DISCLOSURE FORMS ACKNOWLEDGING HE IS AN ACCREDITED INVESTOR AS WELL AS HE UNDERSTOOD ALL OF THE RISK FACTORS INVOLVED. A COMPLETE SUITABILITY REVIEW WAS CONDUCTED. JANUARY 2014 ARC BDCA ACCOUNT TRANSACTION STATEMENT SHOWING AS 01/02/14 BALANCE AMOUNT OF $87,339.45 AND OVER $11,000 OF INCOME. DURING AUGUST 4, 2014 CLIENT MEETING, CLIENT RESCINDED HIS PERMISSION (VIA SIGNED LETTER) INDICATING DAUGHTER IS AFTER HIS MONEY. ALSO, AT THIS CLIENT MEETING CLIENT REMOVED HIS DAUGHTER AS "TRANSFER ON DEATH" OF HIS AZTEC INVESTMENT.

$125,000.00

$95,000.00

Settled without admission to any wrongdoing

CLIENT ALLEGED WHEN PURCHASE OF VARIABLE LIFE POLICY WAS TOLD BY AGENT AND IN MY PRESENCE (HIS SUPERVISOR) NO FURTHER PREMIUMS NEED TO BE PAID, NO SUCH STATEMENTS WERE MADE. CASE CLOSED WITH NO FAULT OR MISREPRESENTATION FOUND. I WAS UNAWARE OF THIS FILING UNTIL NOW AS I LEFT PRUCO IN 1997.

$5,162.97

CASE IS CLOSED WITH PRUCO AND NO FINDINGS AGAINST THE REPRESENTATIVES AT ALL.

THE CLIENT ALLEGED MISREPRESENTATION CONCERNING THE PURCHASE OF A VARIABLE ANNUITY. THE CLIENT DIDN'T ALLEGE ANY SPECIFIED DAMAGES.

$5,647.50

$7,688.27

PRUDENTIAL RESCINDED HIS POLICY AND RESTORED THE CLIENT'S EXISITNG POLICY ESTIMATED COST OF $7,688.27. THE COMPANY, PRUDENTIAL, MADE NO ALLEGATIONS REGARDING THE ACTIONS OF ME. NOR DID THEY FIND ANY FAULT ON MY BEHALF. I DID NOT MISREPRESENT THIS CLIENT IN ANY WAY. THE COMPANY I BELIEVE IS JUST ANXIOUS TO SETTLE THESE MATTERS AS A RESULT OF THE REMEDIATION PLAN THAT THEY ARE A PART OF.