The law firm of Oakes & Fosher is presently investigating the alleged misconduct of former securities broker Daniel Davila. According to his publicly available FINRA BrokerCheck report, Daniel Davila has been the subject of multiple customer disputes.
Daniel Davila was a Texas based securities broker. He worked in the securities industry for thirty-one years. During his career, he was registered with four different securities firms.
His Registrations
- H.D. Vest Investment Securities (1987-2001)
- National Planning Corporation (2001-2009)
- Triad Advisors (2009-2014)
- Purshe Kaplan Sterling Investments (2014-2019)
The Allegations
- In August 1996, a customer alleged that Daniel Davila breached contract, breached his fiduciary duty, engaged in fraud, engaged in conspiracy, engaged in deceptive trading practices, and acted negligently.
- In October 2017, multiple customers alleged that Daniel Davila recommended highly unsuitable alternative investments that included non-traded REITs and private placements. This case was settled for $670,000 in damages.
What Are Alternative Investments?
Alternative investments like non-traded REITs and private placements are privately traded securities that are not sold on any public securities exchanges. Private placements in particular are neither publicly traded or registered with the Securities and Exchange Commission. Due to their private nature, there is a significant lack of oversight associated with alternative investments. Less than scrupulous securities brokers will exploit the complex nature of these products when presenting them to unsuspecting investors. They often will misrepresent them as low-risk and consistently lucrative, when, in fact, just the opposite is true. The truth is that alternative investments are speculative and illiquid securities that are unsuitable for most investors. Despite how unsuitable these securities can be, these less than scrupulous securities brokers continue to recommend them due to the excessively high commissions they receive when doing so. Brokers can receive a commission as high as 10 percent of the investor’s principal investment. This is compounded with other upfront fees that even further drain an investor’s principal. When that large of a portion is subtracted from an investor’s principal investment, it makes it almost impossible for them to turn a profit under normal market conditions.
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 Daniel Davila, 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.
