According to Financial Advisor IQ, a FINRA arbitration panel awarded approximately $2 million to an investor whose brokerage firm failed to supervise former broker Jeffrey Davis.
According to the report, Ameriprise Financial was ordered pay a little over $2 million in damages and sanctions to the estate of Glenny B. White, an amount significantly higher than the roughly $200,000 Davis admitted to stealing from the investor and four other clients.
Sadly the investor died in 2014 but not before learning of Davis’ theft.
According to reports, Jeffrey Davis pled guilty to wire fraud in 2014 and was sentenced to 4.5 years in prison. Ameriprise reportedly settled two other cases involving Davis for similar allegations.
The majority of FINRA arbitration claims are resolved before going to hearing. In 2015, according to FINRA, approximately 76% cases were resolved through settlement, mediation and other means.
The White Law Group is a national securities law firm dedicated to the representation of investors throughout the country in claims against their brokerage firm.
If you invested with Jeffrey Davis and would like to speak to a securities attorney about your potential to recover losses through Financial Industry Regulatory Authority (FINRA) arbitration, please call 1-888-637-5510 for a free consultation.
For more information on The White Law Group and its representation of investors, visit www.WhiteSecuritiesLaw.com.