Oakes & Fosher is presently investigating the possible misconduct of former securities broker Craig Langweiler. According to his publicly available FINRA BrokerCheck report, Craig Langweiler has been the subject of multiple customer disputes.
Craig Langweiler was a Pennsylvania based securities broker. He worked in the securities industry for thirty-nine years. During his career, he was registered with nine different securities firms. He is no longer working as a registered securities broker in any fashion.
- First Jersey Securities (1977-1979)
- Philips, Appel & Walden (1979-1980)
- E.W. Smith Co. (1980-1982)
- Gruntal & Co. (1982-2002)
- Ryan Beck & Co. (2002-2004)
- American Portfolios Financial Services (2004-2007)
- Saxony Securities (2007-2008)
- Summit Brokerage Services (2008-2011)
- Windsor Street Capital (2011-2017)
- In December 1990, a customer alleged that Craig Langweiler executed unauthorized trades, recommended unsuitable investments, and engaged in an unsuitable use of margin. This case was settled for $70,000 in damages.
- In June 1992, a customer alleged that Craig Langweiler executed unsuitable transactions, engaged in an inappropriate use of margin, traded their account excessively, and misrepresented account information. This case was settled for $50,000 in damages.
- In March 2007, customers alleged that Craig Langweiler engaged in excessive and unsuitable trading. This case was settled for $49,500 in damages.
- In May 2009, a customer alleged that Craig Langweiler invested them in highly speculative equities and options without their authorization. The customer also alleged that they executed trades excessively. This case was settled for $32,500 in damages.
- In August 2011, a customer alleged that Craig Langweiler improperly exercised discretion, over-traded their account, and recommended unsuitable securities. This case was settled for $112,750 in damages.
- In April 2014, a customer alleged that Craig Langweiler churned their account, charged them excessive commissions, executed trades without authorization, engaged in an excessive use of margin, and solicited a loan from them. This case was settled for $114,000 in damages.
- Craig Langweiler was officially sanctioned by FINRA in July 2017. The findings in this matter state that he executed 257 trades in a customer’s account which in turn caused it to diminish in value by over 25 percent. According to FINRA, Craig Langweiler’s trading was both excessive and unsuitable, and that he engaged in this voluminous trading with the express purpose of generating $27,092 in commissions. Due to these alleged actions, Craig Langweiler was fined $17,500, forced to pay $18,192 in disgorgement, and suspended from acting as a securities broker in any fashion for a period of fourteen months.
Securities brokers have a duty to their customers to always act in their best financial interests. This means that they are to trade their customers’ account in ways that are financially suitable for them–not only with the securities they recommend, but the frequency in which they execute trades. Excessive trading can be detrimental to investors due to the fees and trading losses they might incur. Despite this, many less than scrupulous securities brokers still engage in this act. This is because trading an investor’s account excessively can be financially beneficial to the broker even though it is incredibly harmful to their customers. This is because it greatly increases a broker’s commissions. When a securities broker trades a customer’s account excessively with the express purpose of generating larger commissions for themself, it is referred to as churning. In conclusion, churning is a deceptive trading practice that many unethical securities brokers continue to engage in despite its fraudulent nature.
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 Craig Langweiler, please contact Oakes & Fosher for a free and private consultation. Oakes & Fosher handles cases on a contingency basis, which means there are no fees charged unless we collect for you.