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

Dudley Stephens was a New York-based securities broker. He worked in the securities industry for seventeen years. During his career, he was registered with fifteen different securities firms. He is no longer working as a registered securities broker in any fashion.

His Registrations

  • Continental Broker-Dealer Corp. (2000)
  • Max International Broker/Dealer Corp. (2000, 2002-2004)
  • D.L. Cromwell Investments (2000)
  • Preston Langley Asset Management (2001)
  • Continental Broker-Dealer Corp. (2001-2002)
  • Pruco Securities Corporation (2002)
  • SWS Financial Services (2004)
  • Aura Financial Services (2004-2005)
  • Wallstreet Electronica, Inc. (2005-2008)
  • Brookstone Securities, Inc. (2008-2011)
  • HSBC Securities (2011-2013)
  • Prospera Financial Services (2014-2016)
  • Coastal Equities, Inc. (2016-2018)

The Allegations

  • In November 2004, a customer alleged that Dudley Stephens churned their account, recommended unsuitable investments, executed unauthorized trades, and managed their account negligently. This case was settled for $15,000 in damages.
  • In July 2018, Dudley Stephens was discharged from his position at Coastal Equities during a review of suspicious letters of authorization concerning third-party wires.
  • In December 2018, a customer alleged that Dudley Stephens charged them excessive and unauthorized commissions over two and a half years. The customer also alleged that Stephens invested her in a sham investment which resulted in the complete loss of her investment. This case was settled for $41,250 in damages
  • In February 2019, customers alleged that Dudley Stephens executed unauthorized trades, traded their accounts excessively, and recommended unsuitable investments. This case was settled for $122,500 in damages.

What Does This Mean?

Securities brokers have an obligation to their customers to make sure they are trading their accounts in a suitable manner. This not only means that brokers need to chose suitable investments, but also need to execute trades at a suitable frequency. It can be financially devastating to investors when their brokers trade their investment accounts excessively. This is because investors are charged additional fees whenever a transaction is executed on their behalf. These fees can very easily rack up and drastically drain investor principals.

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 Dudley Stephens, 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.