February 17, 2017 Comments (0) Current Investigations

Andrew Corbman Barred from Securities Industry

Aldo Comuzzi
(Last Updated On: February 17, 2017)

Concerned about investment losses with Andrew Corbman?

Have you suffered losses investing with Andrew Corbman? If so, The White Law Group may be able to help you recover your losses through a FINRA Arbitration claim.

According to FINRA, Andrew Corbman (CRD #2513558, Ashburn, Virginia) has been permanently barred from the securities industry.  There were several allegations of industry rule violations for making allegedly unsuitable investment recommendations to clients.

Corbman allegedly refused to appear for FINRA on-the-record testimony in connection with its inquiry into the circumstances surrounding Corbman’s termination from his member firm, as well as allegations against him regarding unsuitable and unauthorized trading.

FINRA alleges between April 2009 and March 2010, Corbman made recommendations to clients that were inconsistent with the client’s’ investment objectives -and risk tolerance which resulted in over-concentration of the client’s’ liquid net worth.

For FINRA’s full findings see FINRA Case #2016051009001.

FINRA reported that Corbman purportedly recommended unsuitable highly risky leveraged inverse Exchange-Traded Funds (non-traditional ETFs) to a married couple with growth objectives and a moderate risk tolerance. Per Corban’s recommendations, the couple invested in two non-traditional ETFs and continued to invest in those products which grew from 11% to 64% of their liquid net worth.

In another case, FINRA alleged Corbman improperly recommend that an elderly widow purchase a risky alternative mutual fund with no operating history. The investment constituted 71% of the widow’s liquid net worth and was allegedly not appropriate for an investor, like her, that was seeking regular income.

According to Corbman’s FINRA BrokerCheck, he has been the subject of 14 customer complaints. It appears that many of the customer complaints involve similar allegations as those raised by FINRA. Corbman was registered with FSC Securities Corporation in Ashburn, VA from 02/27/2008 – 01/26/2011. He then worked for Kovack Securities from 01/27/2011 – 11/13/2015 and most recently was registered with Newbridge Securities in Lansdowne, VA from 11/12/2015 – 03/24/2016.

Recovery of Investment Losses

The White Law Group continues to investigate the liability that FSC Securities may have for failure to properly supervise Andrew Corbman. Brokerage firms are required to perform adequate due diligence on any investments they recommend and to ensure that all recommendations that are made are suitable in light of that client’s age, investment experience, net worth, investment objectives, and time horizon. If a firm permits unsuitable investments to be made, the firm can be held responsible for the losses in a FINRA arbitration claim.

If you suffered losses investing with Andrew Corbman and would like to discuss your litigation options, please call the securities attorneys of The White Law Group at 888-637-5510 for a free consultation.

The White Law Group is a national securities fraud, securities arbitration, and investor protection law firm with offices in Chicago, Illinois and Vero Beach, Florida. For more information on the firm, visit http://www.whitesecuritieslaw.com.