October 1, 2018 Comments (0) Blog, Current Investigations, Securities Fraud

FINRA Claim Filed against Western International involving Dawn J. Bennett

Dawn J. Bennett

Lawsuit Filed – Western International Securities – Dawn J. Bennett

The White Law Group announces the filing of another FINRA arbitration claim against Western International Securities involving financial advisor Dawn J. Bennett.

The claim, filed by The White Law Group, was submitted to FINRA Dispute Resolution on behalf of a Maryland investor alleging claims for violation of common law fraud, breach of fiduciary duty, negligence, and negligent supervision. The claim further alleges that Western International Securities unsuitably over-concentrated the investors in gold and other precious metals causing substantial losses.

The claim seeks damages between $100,000 and $500,000.

Before recommending an investment, a broker-dealer has a fiduciary duty to adequately disclose the risks involved in the investment and to perform the necessary due diligence to determine whether the investment is suitable for the investor.  It is alleged that Western International Securities failed to perform the necessary due diligence on these investments prior to recommending them to this particular investor.

The White Law Group has represented several clients of the financial advisor that handled the accounts at issue, Dawn J. Bennett. According to the Financial Industry Regulatory Authority, Bennett is the broker of record for thirteen arbitration claims filed dating back to February 2013, eight of which are still pending.

Bennett  has  been  both  barred  from  the  financial  services  industry for  fraud and is  presently  in  jail  facing  criminal  charges  based  on  allegations  that  she  ran  a  $20  million  Ponzi  scheme.

The SEC has alleged that Bennett and The Bennett Group made material misstatements and omissions regarding assets that were purportedly “managed” for investors and regarding investment returns for the purpose of retaining existing customers and attracting new customers.

Brokerage firms are required to supervise their advisors to ensure that they are complying with FINRA rules. If it can be determined that Bennett violated FINRA rules and Western International failed to adequately supervise her, these firms can be held responsible for any resulting losses in a FINRA arbitration claim.

FINRA Dispute Resolution is an arbitration venue for investors with claims against their brokerage firm or financial professional.  It provides investors with an opportunity to attempt to recoup their investment losses and is an alternative to filing such claims in court.

Free Consultation with a Securities Attorney

For more information on the claim filed by The White Law Group, please contact the firm’s offices at 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 and its representation of investors in FINRA arbitration claims, visit https://www.whitesecuritieslaw.com.