July 9, 2015 Comments (0) Blog, Securities Fraud

Massachusetts Regulator charges Securities America over allegedly targeting senior citizens.

According to a recent InvestmentsNews report, Massachusetts regulator, William Galvin, has charged Securities America Inc. with failure to supervise Barry Armstrong, a broker who allegedly targeted senior citizens by using deceptive advertising on his radio show.

According to a news release from William Galvin’s office, Securities America is specifically accused of approving ads from Armstrong who “exploited the dangers of Alzheimer’s disease in order to gain access to senior clients.”

Mr. Galvin, the secretary of the commonwealth, has reportedly filed a separate complaint against Barry Armstrong.

The complaint against Securities America reportedly requests a censure, undisclosed fine and a requirement that the firm retain a compliance consultant.

The complaint from the Massachusetts regulator further alleges that the radio show that is hosted by Barry Armstrong ran ads that encouraged listeners to call him for “medical and support” information about Alzheimer’s disease. This Massachusettsalleges that this was done to get their contact information and then Armstrong attempted to sell financial advice.

This type of advertising is called a ‘bait and switch,’ which is falsely advertising one service to obtain contact information, and then switching it out for another.

The InvestmentNews article notes that Armstrong’s lawyer states that the ad generated no customer complaints and it was “unclear what has prompted the secretary of state’s office to pursue this matter” and that “Mr. Armstrong intends to vigorously defend his good name.”  Obviously Mr. Armstrong is innocent until proven guilty.

The foregoing information, which is all publicly available, is being provided by The White Law Group.  The White Law Group is a national securities arbitration, securities fraud, and investor protection law firm with offices in Chicago, Illinois and Vero Beach, Florida.

For more information on The White Law Group, visit www.whitesecuritieslaw.com.

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