November 5, 2018 Comments (0) Current Investigations

Terry Trenchard – Broker Investigation

Terry Trenchard

Terry Trenchard – Ruston, VA

Have you suffered investment losses with Terry Trenchard? If so, the securities attorneys at The White Law Group may be able to help you to recover your losses through a FINRA arbitration claim.

According to an article in the New Orleans Advocate, a retiree has filed a lawsuit against her nephew’s former employers, claiming the company’s failure to supervise him cost her over $1 million.

Beryl Patin’s nephew, Terry Trenchard, reportedly committed suicide in 2017, according to the lawsuit, days after he found out he was under investigation for fraud by the Financial Industry Regulatory Authority.

According to reports, Trenchard wrote a letter to Capitol Securities Management, admitting wrongdoing. He described a scheme in which he allegedly transferred money from his aunt’s account using forged letters of authorization and transferred it into another client’s account to make up for investment losses.

Trenchard reportedly said he tried to make up for the losses, allegedly defrauding other clients aside from his aunt and trading aggressively before ultimately losing more money.

The lawsuit seeks reimbursement of the amounts allegedly taken by Trenchard along with recovery of damages during the time Trenchard purportedly misused his aunt’s money.

Patin, described in the lawsuit as an elderly woman who relied on her investments for living expenses, had received $1.5 million for the 2005 sale of some property and had an account with her nephew.

The suit claims that Trenchard reportedly targeted victims who had little or no financial sophistication and who placed a high degree of trust in him personally and were unlikely to question his conduct or statements.

By the time he was under investigation, the suit says, most of his aunt’s money was gone, and while Trenchard blamed the losses on the 2008 stock market crash, the lawsuit alleges that the losses were primarily the result of his theft.

Trenchard also carried out unauthorized and inappropriate trading in his aunt’s bank accounts, the lawsuit says.

It says he caused her to allegedly incur margin debt of more than $870,000 on an account with a net value of only $766,000.

According to the lawsuit, his employer also should have spotted excessive trading or churning in Patin’s account, the suit alleges.

According to his FINRA BrokerCheck Report, Trenchard was registered with Capitol Securities Management in Reston, VA from May 2009 until March 2017, when he was fired. Prior to that, he was employed with Aegis Capital Corp. in Springfield, Virginia from January 2003 until June 2009.

Failure to Supervise

The White Law Group is investigating potential claims involving Terry Trenchard and the liability his former employers may have for failing to properly supervise him.

Under FINRA rules and regulations, Broker-Dealers are responsible for supervising the actions of those advisors registered with their firm, and therefore may be held liable for the actions of their Broker(s).

If you are concerned about your investments with Terry Trenchard, the securities attorneys at The White Law Group may be able to help you.

For a free case evaluation or to discuss any other investment losses, please contact The White Law Group, at 888-637-5510, or visit us on the web at www.whitesecuritieslaw.com.

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 Franklin, Tennessee.