John Greg Schmidt – Wells Fargo – Dayton, Ohio
According to a press announcement today, the Securities and Exchange Commission charged Ohio financial advisor John Greg Schmidt with allegedly defrauding his retail brokerage customers, some of whom were elderly, out of at least $1 million.
According to the SEC’s complaint, Schmidt, while registered with Wells Fargo Advisors in Dayton, Ohio, allegedly sold securities of at least seven of his customers and secretly transferred over $1 million in proceeds to 10 other customers to cover shortfalls in their accounts.
Schmidt purportedly made unauthorized sales and withdrawals from his clients’ variable annuities accounts, secretly transferring funds using fraudulent letters of authorization, and issuing fake account statements.
According to the SEC’s statement, most of the disadvantaged customers “were elderly with little to no financial expertise and were particularly vulnerable.” Schmidt purportedly received over $230,000 in brokerage commissions from these customers.
According to Schmidt’s FINRA BrokerCheck report, he was registered with Wells Fargo Advisors Financial Network in Dayton, OH from December 2006 until he was fired in November 2017, “after allegations of unauthorized money movement between clients, and after the Firm was notified of an allegation of the existence of inaccurate account statements which appear not to have been generated or approved by the Firm.”
Schmidt currently has 5 customer complaints listed on his broker report; FINRA barred him from working in the financial industry in March.
Did you incur investment losses with John Greg Schmidt?
The White Law Group is investigating potential securities fraud claims involving John Greg Schmidt and the liability his former employer, Wells Fargo may have for failing to properly supervise him.
Those investors that incurred losses investing with Schmidt may be able to recover those losses through the FINRA arbitration process.
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).
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 atwww.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.