August 8, 2009 Comments (0) Blog, Securities Fraud

SEC Investigating Morgan Stanley and William Keith Phillips for Breach of Fiduciary Duty

(Last Updated On: July 17, 2015)

The Securities and Exchange Commission recently charged Morgan Stanley and one of the firm’s former investment adviser representatives, William Keith Phillips, with securities law violations for misleading clients about the money managers being recommended to them and failing to disclose conflicts of interest.

According to the SEC’s orders in the case, Morgan Stanley breached its fiduciary duty to advisory clients in its Nashville, Tennessee, branch office by making material misstatements about a program through which the firm assisted clients in developing investment objectives and in selecting properly vetted money managers. Contrary to its disclosures, Morgan Stanley recommended some money managers who had not been approved for participation in the firm’s advisory programs and had not been subject to the firm’s due diligence review. William Keith Phillips of Nashville, Tennessee, then a top producer at Morgan Stanley, steered clients to three unapproved managers in particular. Unbeknownst to investors, Morgan Stanley and William Keith Phillips received substantial brokerage commissions or fees from these three unapproved managers.

William Keith Phillips is now registered with Wiley Bros-Aintree Capital, LLC.
According to Phillips’ FINRA Broker Report, he has been named in at least three customer complaints related to securities fraud, including claims for unsuitable investments and various sales practice violations.

If you have questions about investments you made with William Keith Phillips or Morgan Stanley’s Nashville, Tennessee branch, or if you believe that you have been the victim of a securities fraud, The White Law Group may be able to help. To speak to a securities attorney, please call our Chicago office at 312-238-9650.

The White Law Group, LLC is a national securities fraud, securities arbitration, investor protection, and securities regulation/compliance law firm with offices in Chicago, Illinois and Boca Raton, Florida.

To learn more about The White Law Group, visit http://www.whitesecuritieslaw.com.

-->