May 3, 2018 Comments (0) Current Investigations, Securities Fraud

Former Ameriprise Advisor James Knee Indicted

James Knee

James Knee charged with Theft, Financial Exploitation of the Elderly

According to an article posted on wmur.com, former financial advisor James Knee, 65, was indicted on Friday, accused of deceiving his customers and illegally taking money.

The Merrimack County, New Hampshire grand jury reportedly returned 11 indictments against James Knee, including theft by misapplication, theft by deception, financial exploitation of the elderly and investment adviser fraud in connection with one of his clients, from whom he allegedly stole over $490,397, which he used for personal expenses. The alleged scheme occurred in Concord between 2014 and 2017.

According to his FINRA BrokerCheck report, Knee worked for Ameriprise Financial Services Inc. from August 2012 until November 2015. He then worked for Voya Financial Advisors Inc. from 2015 until 2016 when he was fired for “failure to cooperate in an internal investigation relating to potential receipt by the representative of a cash gift from a customer.” Knee has 5 customer disputes listed on his broker report.

Knee was also reportedly indicted on perjury charges in connection with statements he made to the Bureau of Securities Regulation while it was investigating him in 2016, witness-tampering during the state’s investigation, and a securities-law violation concerning a 2016 agreement entered into with the BSR.

According to reports, Knee left the country after being advised in June 2017 that the state intended indict him. He was reportedly arrested on a criminal complaint filed by the attorney general in 6th Circuit—District Division—Concord Court, when he returned to the United States on March 1.

Knee will be arraigned in Merrimack County Superior Court.

Failure to Supervise

The White Law Group is investigating potential claims involving the liability Knee’s employers may have for failure to properly supervise him.

Brokers are prohibited from engaging in underhanded businesses practice, like churning or unauthorized trading, that violate securities laws and regulations. They have a fiduciary duty to make investment recommendations that are consistent with the clients net worth, investment experience and objectives. Risk tolerance, age, and liquidity needs also need to be considered.

When brokers abuse client accounts and conduct transactions that violate securities laws, the brokerage firm they are working with may be liable for investment losses through FINRA Arbitration. Brokerage firms that fail to monitor the business activities of their employees may be liable for investment losses due to negligent supervision for the misconduct of their employees.

Have you suffered losses investing with financial advisor James Knee? If so, the securities attorneys of The White Law Group may be able to help you recover your losses. For a free consultation with a securities attorney, please call 888-637-5510.

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 White Law Group, visit www.WhiteSecurtiesLaw.com.