Many investors are unaware of the legal recourse available to them after losing money due to securities fraud and/or negligence. Investors who have lost money in this fashion may be entitled to damages. The law firm of Oakes & Fosher is currently interested in hearing from investors who believe this may be them.

Oakes & Fosher is currently investigating the possible misconduct of securities broker Craig Siegel. According to his publicly available FINRA BrokerCheck report, Craig Siegel has been the the subject of multiple customer disputes.

Craig Siegel was a New York based securities broker. He worked in the securities industry for eight years. During his career, he was registered with just two different securities firms.

His Registrations

  • John Thomas Financial (2010-2013)
  • Portfolio Advisors Alliance (2013-2018)

The Allegations

  • In February 2016, a customer alleged that Craig Siegel churned their account, recommended unsuitable securities, breached his fiduciary duty, engaged in federal securities fraud, executed unauthorized trades, and engaged in common law fraud. This case was settled for $20,000 in damages.
  • In August 2016, a customer alleged unsuitable investment recommendations, unsuitable concentration, breach of fiduciary duty, breached of contract, material misrepresentations/omissions, and negligence. This case is currently pending. The customer is seeking $240,463 in damages.
  • In April 2016, a customer alleged that Craig Siegel traded their account excessively, churned their account, and executed unsuitable transactions. This case is currently pending. The customer is seeking $99,300 in damages.
  • In October 2018, a customer alleged that Craig Siegel made unsuitable investment recommendations, breached regulatory requirements, breached his fiduciary duty, breached contract, handled their account negligently, and churned their account. The alleged transgressions taking place between July 2013 and August 2017. This case is also currently pending.

What Does This Mean?

Receiving unsuitable investment recommendations is one of the most common allegations that customers bring forward. Securities brokers have a legal obligation to only recommend securities to customers that are suited for them. This suitability is determined by examining factors such as the customer’s investment objectives, liquidity needs, and financial situation. The securities broker is expected to conduct the necessary due diligence required to discern a customer’s suitability based these factors.

Another common allegation made against brokers like Craig Siegel is account churning. This is a fraudulent investment practice that involves the securities broker excessively trading a customer’s account with the express purpose of generating additional commissions for themself. This practice is detrimental to investors due to the fact that it causes them to incur substantial unnecessary fees and trading losses.

Investors who believe they may have lost money due to their securities broker recommending unsuitable securities, or from their securities broker churning their account, may be entitled to damages.

Oakes & Fosher Can Help

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 Siegel, please contact Oakes & Fosher for a free and private consultation.