The law firm of Oakes & Fosher is presently investigating the alleged misconduct of former securities broker David Seigerman. According to his publicly available FINRA BrokerCheck report, David Seigerman has been the subject of multiple complaints.

David Seigerman was a New Jersey-based securities broker. He worked in the securities industry for twenty years. During his career, he was registered with eight different securities firms. He is no longer working as a registered securities broker in any fashion.

His Registrations

  • Robert Thomas Securities (1995)
  • Saperston Financial (1995-1997)
  • Lasalle St. Securities (1997-1998)
  • Donaldson, Lufkin & Jenrette Securities Corporation (1998)
  • Jefferson Pilot Securities Corporation (1999)
  • Morgan Stanley (1999-2006, 2009-2013)
  • Citigroup Global Markets (2006-2009)
  • Janney Montgomery Scott (2013-2016)

The Allegations

  • In September 2010, a customer alleged that David Seigerman purchased investments in their accounts without authorization. This case was settled for $43,000 in damages.
  • In June 2014, customers alleged that David Seigerman failed to follow their instructions and breached his fiduciary duty. This case was settled for $160,000 in damages.
  • In March 2017, a customer alleged that David Seigerman misappropriated their funds through fraudulent outside investments. This case was settled for $995,000 in damages.
  • In February 2018, customers alleged that David Seigerman made unsuitable investments in their account. This case was settled for $60,000 in damages.

What Does This Mean?

Misappropriating a customer’s funds is one of the most blatant and fraudulent abuses of power a broker can commit against an investor. Misappropriation occurs whenever a securities brokers diverts an investor’s funds for purposes other than what the two parties previously agreed upon. This can range from the broker investing the funds in securities different than what had been discussed to the broker moving the funds to their own account and using it for their personal use. Regardless of what the money has been used for, it has been stolen from the investor. The investor trusted the broker with their money and that trust was violated.

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 David Seigerman, 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.