The law firm of Oakes & Fosher is presently investigating the alleged misconduct of securities broker Alan Appelbaum. According to his publicly available FINRA BrokerCheck report, Alan Appelbaum has been the subject of multiple customer disputes over the course of his career.

Alan Appelbaum is a Florida based securities broker. He has worked in the securities industry for forty-three years. During his career, he has been registered with seven different securities firms.

His Registrations

  • J.B. Hannauer & Co. (1976-1982)
  • Paine, Webber, Jackson & Curtis (1982-1983)
  • A.F. Best Securities (1984-1999)
  • Gruntal & Co. (1999-2002)
  • Ryan, Beck & Co. (2002)
  • Herbert J. Sims & Co. (2002-2015)
  • Aegis Capital Corp. (2015-Present)

The Allegations

  • In October 2001, customers alleged that they were unhappy with the various municipal bonds that Alan Appelbaum had recommended. This case was settled for $75,000 in damages.
  • In September 2003, a customer alleged that Alan Appelbaum engaged in fraud, made negligent misrepresentations, recommended unsuitable investments, and breached his fiduciary duty. This case went to arbitration where the customer was awarded $45,722 in damages.
  • In December 2003, a customer alleged that Alan Appelbaum handled their account negligently, breached his fiduciary duty, and improperly managed their account. This case was settled for $42,500 in damages.
  • In March 2006, a customer alleged that Alan Appelbaum’s mark-ups on bonds were excessive. This case was settled for $250,000 in damages.
  • In August 2014, a customer alleged that Alan Appelbaum breached his fiduciary duty, handled their account negligently, engaged in fraud, breached contract, and violated FINRA rules. This case was settled for $25,000 in damages.
  • In August 2015, a customer alleged that Alan Appelbaum recommended unsuitable securities and churned their account. This case is currently pending. The customer is seeking $200,000 in damages.
  • In November 2018, a customer alleged that Alan Appelbaum made unsuitable investment recommendations. This case is currently pending. The customer is seeking $1.8 million in damages.
  • In September 2019, a customer alleged that Alan Appelbaum recommended unsuitable investments and executed unauthorized transactions. This case is currently pending. The customer is seeking an undisclosed amount in damages.

What Does This Mean?

The most important part of a securities broker’s job is the ability to recommend suitable securities to their customers. Brokers like Alan Appelbaum can determine if a particular investment is suitable for their customer by looking at factors like investment objectives, age, net worth, liquidity needs, financial situation, risk tolerance, and more. Brokers are expected to be able to perform this part of their job adequately as the ability to recommend suitable investments is the only reason that investors hire securities brokers in the first place.

Oakes & Fosher Can Help

Many investors are unaware of the legal recourse available to them after losing money due to securities broker fraud and/or negligence. The truth is that investors who have lost money in this fashion may actually be entitled to damages.

Oakes & Fosher dedicates its entire legal practice to helping investors across the nation. If you, or someone you know, have lost money investing with Alan Appelbaum, please contact Oakes & Fosher for a free and private consultation.