The White Law Group, LLC » misappropriation

Investigation Into Possible Securities Fraud Involving Travis Wright And Waterford Loan Fund

CarterPA — Fri, 09 Jul 2010 17:08:17 +0000

The U.S. Securities and Exchange Commission has recently sued a Utah man for fraudulently misusing $139 million of investor funds. According to a lawsuit filed in federal court in Salt Lake City, Travis Wright misappropriated all but $6 million of the $145 million he raised from about 175 investors between 2001 and 2009 by selling notes issued by his Waterford Loan Fund LLC.

The White Law Group is investigating whether investors in the Waterford Loan Fund were introduced to the firm or to Travis Wright by their financial professional or brokerage firm. If a financial professional or brokerage firm recommended that an investor invest with Waterford Loan Fund, they may have liability for failing to perform the necessary due diligence to determine that the Waterford Loan Fund was a ponzi scheme.

Waterford Loan Fund LLC and its Waterford Funding LLC affiliate are being liquidated in bankruptcy.

If you have any information that may assist The White Law Group in its investigation, please contact 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. With over 30 years of securities law experience, including experience working at FINRA (f/k/a the NASD) and the SEC, The White Law Group has the expertise to help investors defrauded in securities, investment and financial business transactions. For more information on The White Law Group, please visit our website at http://www.whitesecuritieslaw.com.

Christopher William Shanahan, a former financial advisor in Westlake, Ohio, barred from securities industry.

CarterPA — Tue, 15 Jun 2010 20:10:59 +0000

FINRA recently announced that Christopher William Shanahan, a former financial advisor in Westlake, Ohio, has been barred from association with any FINRA member in any capacity. Without admitting or denying the findings, Shanahan consented to the described sanction and to the entry of findings that he misappropriated more than $30,000 from his member firm.

According to his FINRA Broker Report (CRD), Christopher William Shanahan was previously a registered representative with Sentinel Financial Services Company, a registered broker-dealer based in Montpelier, Vermont, American Century Investment Services, a registered broker-dealer based in Kansas City, Missouri, and Putnam Retail Management, a registered broker-dealer based in Boston, Massachusetts.

If you have questions regarding investments you made with Christopher William Shanahan, or if you believe that you have been the victim of a securities fraud, The White Law Group may be able to help. The White Law Group is a national securities fraud, securities arbitration and investor protection law firm with offices in Chicago, Illinois and Boca Raton, Florida. The firm has over 30 years of experience reviewing securities fraud claims and handles matters throughout the country and Ohio, including reviewing securities fraud cases in Westlake, Cleveland, Shaker Heights, Toledo, Akron, and Sandusky. To contact the firm, please call 312-238-9650. Or, for more information on The White Law Group, please visit our website at http://www.whitesecuritieslaw.com.

Daniel Glenn Carlen, formerly of Slavic Investment Corporation in Boca Raton, Florida, barred from securities industry for misappropriating funds.

CarterPA — Mon, 24 May 2010 13:21:03 +0000

FINRA recently announced that Daniel Glenn Carlen, formerly a registered representative for Slavic Investment Corporation in Boca Raton, Florida, has been barred from association with any FINRA member in any capacity. Without admitting or denying the findings, Carlen consented to the described sanctions and to the entry of findings that he was associated with a member firm and was also employed as a supervisor of payroll for a non-registered third-party administration company related to the firm. The findings further stated that Carlen systematically directed unauthorized payments from the administration company’s payroll to a business entity under his sole control and converted the funds to his personal use. Finally, the findings stated that when Carlen was confronted with actual falsified checks and tampered bank statements, he signed a written statement in which he confessed to embezzling $235,000 and misappropriating the funds for his personal use.

According to Carlen’s FINRA Broker Report (CRD), he was registered as a financial professional with Slavic Investment Corporation from March 1992 to October 2008.

If you have questions regarding investments you made with Daniel Carlen or Slavic Investment Corporation, or if you believe that you have been the victim of a securities fraud, The White Law Group may be able to help. The White Law Group is a national securities fraud, securities arbitration and investor protection law firm with offices in Chicago, Illinois and Boca Raton, Florida. The firm has over 30 years of experience reviewing securities fraud claims and handles matters throughout the country and Florida, including reviewing securities fraud cases in Boca Raton, Deerfield Beach, Parkland, Pompano Beach, Lighthouse Point, Fort Lauderdale, Sunrise, and Hollywood. To contact the firm, please call 561-961-5411. Or, for more information on The White Law Group, please visit our website at http://www.whitesecuritieslaw.com.

Former ING Financial Parterns and John Hancokc Mutual Life Insurance Company financial advisor, Michael J. DiMare, barred from securities industry for securities violations including misappropriation of client funds.

CarterPA — Wed, 12 May 2010 20:25:36 +0000

The Financial Industry Regulatory Authority (FINRA) recently announced that it has permanently barred Ponte Vedra Beach, FL, registered representative Michael J. DiMare, formerly registered with ING Financial Partners, Inc., from the securities industry for misappropriating over $1.9 million in client funds – while making false statements and sending falsified account statements and other documents statements to his customers to hide his scheme.

FINRA found that from at least 2001 to 2008, DiMare persuaded his clients to invest in fictitious financial products, including what purported to be tax-free corporate bonds and CDs. Between 2001 and 2006, DiMare was employed as a sales manager with John Hancock Mutual Life Insurance Company. Between October 2006 and May 2008, DiMare was registered as a registered representative/insurance agent with ING Financial Partners, Inc.

FINRA’s investigation found that 14 of DiMare’s clients wrote checks payable to John Hancock, believing they were making legitimate investments. DiMare simply collected the checks and deposited them in his own bank account and diverted their funds to his personal use. Even after he left John Hancock, DiMare made false statements to his customers by telling them he was still employed at that firm and had them write checks to John Hancock, which he then converted to his own use.

To conceal his misconduct, DiMare prepared and provided his clients with false account statements purporting to be from John Hancock. Those statements falsely indicated that the clients owned investments in tax-free corporate bonds and CDs.

In concluding this settlement, DiMare neither admitted nor denied the charges, but consented to the entry of FINRA’s findings.

If you have questions about investments you made with Michael DiMare, or if you believe that you have been the victim of a securities fraud, the Law Offices of David A. Carter, P.A. may be able to help. David A. Carter is a securities lawyer based in Boca Raton, Florida. He reviews securities fraud cases throughout the country and Florida, including reviewing securities fraud cases in Ponte Vedra Beach, St. Augustine, Jacksonville, Fernandina Beach, Palm Coast, Ormond Beach, and New Smyrna Beach. For more information on the firm’s securities fraud practice, please visit http://www.carterpa.com. To contact the Law Offices of David A. Carter, P.A., please call 561-750-6999 or email us at contact@carterpa.com.

Thailia Alisa Tucker, a former financial advisor for Wachovia Securities, LLC in Miami , Florida , barred from FINRA for securities fraud.

CarterPA — Tue, 19 Jan 2010 23:02:05 +0000

FINRA recently announced that Thailia Alisa Tucker, a former financial advisor for Wachovia Securities, LLC in Miami , Florida , has been barred from association with any FINRA member in any capacity. Without admitting or denying the findings, Tucker consented to the described sanction and to the entry of findings that she misappropriated approximately $847,188.87 from customers’ account at her member firm and used the funds for her own use and benefit. The findings further stated that to facilitate her improper use and misappropriation of customer funds, Tucker caused international customers’ accounts to be removed from an abandoned status, caused the addresses for the accounts to be changed to addresses that she controlled, effected unauthorized sales of securities in the customers’ accounts, forged Letters of Authorization (LOAs) and Wire Transfer Agreements (WTAs) to transfer funds out of the customers’ accounts, and approved and processed the fraudulent LOAs and WTAs. Tucker’s actions caused her firm to maintain inaccurate books and records. Finally, the findings stated that, to make cash available, Tucker sold securities in several accounts with the customers’ knowledge or authorization, then transferred the proceeds to herself through relatives by wire or check.

In addition to working as a financial advisor for Wachovia Securities, Thailia Tucker was also a registered representative for Global Strategic Investments, LLC, First Union Brokerage Services, Inc., Raymond James & Associates, Dean Witter Reynolds, Inc., and Merrill Lynch, Pierce, Fenner & Smith, Incorporated.

If you have questions about investments you made with Thailia Tucker, or if you believe that you are the victim of a misappropriation or other conversion by your financial advisor, the Law Offices of David A. Carter, P.A. may be able to help. David A. Carter is a securities lawyer based in Boca Raton, Florida. He reviews securities fraud cases throughout the country and Florida, including reviewing securities fraud cases in Miami, Coral Gables, Coconut Grove, Key Largo, Aventura, Hollywood, Fort Lauderdale, Sunrise, and Deerfield Beach. For more information on the firm’s securities fraud practice, please visit http://www.carterpa.com. To contact the Law Offices of David A. Carter, P.A., please call 561-750-6999 or email us at contact@carterpa.com.

FINRA Bars Citigroup Sales Assistant Tamara Lanz Moon of Redwood City, California for Taking More Than $850,000 From Customers, Falsifying Records, and Making Unauthorized Trades

CarterPA — Fri, 04 Sep 2009 23:01:00 +0000

Broker Targeted Accounts of Elderly and Vulnerable Clients; Citigroup Has Paid Restitution to Customers

The Financial Industry Regulatory Authority (FINRA) recently announced that it has barred Tamara Lanz Moon of Redwood City , CA , from the securities industry for wrongfully taking over $850,000 in funds from at least 22 customers, including her own father. Moon was also charged with falsifying numerous account records, engaging in unauthorized trades in customer accounts and related recordkeeping violations.

Moon’s misconduct occurred over an eight-year period ending in March 2008, while she was working as a sales assistant for Citigroup Global Markets at the firm’s Palo Alto , CA , branch office. Citigroup has compensated customers for losses resulting from Moon’s misconduct.

FINRA found that Moon targeted elderly, ill or otherwise vulnerable customers whom she believed were unable to monitor their accounts. Victims of Moon’s scheme included elderly customers (including a senior with Parkinson’s disease), an American diplomat and even her own father. Moon forged signatures on letters of instruction requesting unauthorized address changes, trades and transfers between and to accounts controlled by Moon for the purpose of paying her personal expenses, remodeling her home and making personal investments in other real estate properties.

In one case, FINRA found that Moon misappropriated approximately $26,000 belonging to an elderly widow. In November 2006, following the death of the customer’s husband, Moon helped the widow consolidate her holdings into one Citigroup account. In June 2007, when the widow was 83 years old, Moon began moving money from the widow’s Citigroup account — without the widow’s authorization — to accounts owned by Moon and to accounts owned by other Citigroup customers to replace funds Moon had previously stolen from those accounts.

To further her scheme, Moon falsified documents requesting address changes. On May 21, 2007, the widow’s account appeared on an internal report that indicated a discrepancy between the address on the widow’s account and her address in government and telephone directories. Moon explained the discrepancy to Citigroup by falsely stating that the “client moved into a nursing home.”

Moon’s misconduct was not limited to taking funds belonging to elderly widows. Moon misappropriated approximately $55,000 belonging to an American diplomat working overseas, who held custodial accounts at Citigroup for his two daughters, and forged his signature on authorizations to change his address so account statements wouldn’t reach him.

Moon also misappropriated funds belonging to her own father. In January 2006, Moon created a phony account for her father, without his knowledge or consent, and used this account to misuse approximately $30,000 belonging to her father and approximately $250,000 belonging to other Citigroup customers. On Jan. 20, 2006, Moon forged her father’s signature on a letter of authorization to Citigroup, changing the address on the account to keep account statements from being sent to her father. From August 2006 to March 2008, Moon requested and processed unauthorized cash transfers into her father’s phony account from other Citigroup customers totaling over $250,000. During this same timeframe, Moon — again forging her father’s signature — disbursed the funds from the account for her own personal use.

In settling this matter, Moon neither admitted nor denied the charges, but consented to the entry of FINRA’s findings.

If you have questions about investments you made with Citigroup, or where Tamara Lanz Moon acted as a sales assistant for your financial advisor, or if you believe that your funds have been misappropriated by your broker, the Law Offices of David A. Carter, P.A. may be able to help. David A. Carter is a South Florida securities and bankruptcy attorney based in Boca Raton, Florida. He reviews securities fraud cases throughout the country and Florida, including securities fraud cases in Delray Beach, Fort Lauderdale, Miami, West Palm Beach, Vero Beach, Fort Pierce, Wellington, Stuart, and Fort Myers. To contact the Law Offices of David A. Carter, P.A., please call 561-750-6999 or email us at contact@carterpa.com. You can also get more information about the firm at our website at http://www.carterpa.com.