Attorney for the client alleges the financial advisor breached the fiduciary duty to the client.

After completion of the firm's investigation, the claim was denied.

CLIENT IS UPSET WITH THE LACK OF COMMUNICATION THE IR HAD REGARDING THE LOAN THE CLIENT HAD ON HER ACCOUNT, ALONG WITH THE MONTHLY WITHDRAWAL. CLIENT ALLEGES THAT SHE NOW HAS NOTHING LEFT IN HER ACCOUNT DUE TO THE IR'S ACTIONS. CLIENT WANTS AN INVESTIGATION INTO THE BUSINESS PRACTICES OF THE IR. POSSIBLE LOSSES EXCEED $5,000.

$5,000.00

ACCORDING TO THE IR AT THE TIME THE CLIENTS ACCOUNT WAS OPENED HE DISCUSSED THE RECOMMENDED INVESTMENTS IN DETAIL ALONG WITH MARKET FLUCTUATION,HISTORICAL PERFORMANCE. THE CLIENT RECEIVED PROSPECTUS DETAILING THE INVESTMENT OBJECTIVES. ACCORDING TO THE IR HE RAN HYPOS FOR THE CLIENT REGARDING HER MONTHLY DISTRIBUTION AND THE EFFECTS THE WITHDRAW WOULD HAVE ON THE PRINCIPAL BASED UPON MARKET PERFORMANCE. ACCORDING TO THE IR THE CLIENT CONTINUED EVEN AFTER RECEIVING STATEMENTS TO WITHDRAW BY USE OF THE MARGIN ACCOUNT AND DID NOT TAKE HIS RECOMMENDATIONS UNTIL SHE HAD DEPLETED THE PRINCIPAL ACCOUNT. BASED UPON OUR RESEARCH THE CLIENTS INVESTMENTS WERE SUITABLE AND HAD THE INFORMATION NECESSARY TO MAKE AN INFORMED DECISION. CLAIM DENIED.

THE CLIENT STATES SHE NEVER RECEIVED ADVICE FROM THE IR AFTER HE PRESSURED HER INTO PUTNAM FUNDS. THE CLIENT CLAIMS SHE LOST OVER $40,000 OF HER ROLLOVER MONIES. NO CLAIM MADE. FILING REQUIRED...ALLEGED LOSS GREATER THAN $5,000.

$40,000.00

A REVIEW OF THE FUNDS IN QUESTION REVEALS THAT THEY APPEAR TO HAVE BEEN PURCHASED IN 1999. THE MUTUAL FUND INVESTMENTS ALSO APPEAR TO BE WITHIN THE SCOPE OF THE CLIENT'S INVESTMENT OBJECTIVES AS LISTED ON HER ACCOUNT. AT THE TIME OF THE TRANSACTIONS, THE CLIENT WOULD HAVE RECEIVED CONFIRMATIONS AS WELL AS THE APPROPRIATE MUTUAL FUND PROSPECTUSES. IN ADDITION, THE CLIENT WOULD HAVE RECEIVED STATEMENTS WHICH PROVIDE INFORMATION REGARDING THE INVESTMENTS HELD IN THE ACCOUNT AS WELL AS REFLECTING ACCOUNT ACTIVITY. WHILE THE FIRM UNDERSTANDS THE CLIENT'S DISAPPOINTMENT WITH THE PERFORMANCE OF HER PORTFOLIO, IT DOES APPEAR THE DECLINE WAS ATTRIBUTED TO MARKET FLUCTUATION. CLAIM DENIED.