Eric Weschke Allegedly Recommends An Unsuitable GPB Private Placement Product

Securities broker, Eric Weschke, is currently being investigated by the law firm Oakes & Fosher for possible negligence and/or misconduct. According to his publicly available FINRA BrokerCheck report, Eric Weschke has received multiple complaints over the course of his career from a variety of different customers.

Eric Weschke is currently working as a New York based securities broker. He has worked in the securities industry for twenty years. During his career, he has been registered with six different securities firms.

His Registered Broker-Dealers

• Tasin & Company (1994-2000)


• Self Trading Securities (2000-2002)


• Equity Services (2003-2004)


• Alternative Wealth Strategies (2007-2011)


• Harrison Douglas (2011)


• Kalos Capital (2011-Present)

• In August 1998, a customer alleged that Eric Weschke engaged in an unauthorized use of margin. This case was settled for $20,000 in damages.


• Also in August 1998, a customer alleged Eric Weschke made unsuitable investment recommendations that were too aggressive for her financial stature. This case was settled for $33,998 in damages.


• In October 1998, a customer alleged that Eric Weschke invested them in speculative securities. This case was settled for $25,000 in damages.


• In December 1998, a customer alleged that Eric Weschke recommended unsuitable investments and engaged in an unauthorized use of margin. This case was settled for $60,000 in damages.


• Also in December 1998, a customer alleged that Eric Weschke engaged in an unsuitable use of margin. This case was settled for $47,500 in damages.


• In June 1999, a customer alleged that Eric Weschke executed unsuitable trades. This case was settled for $50,000 in damages.


• In March 2000, a customer alleged that Eric Weschke executed unauthorized purchases. This case went to arbitration where the customer was awarded $500,000 in damages.


• In February 2019, a customer alleged that Eric Weschke breached his fiduciary duty and made unsuitable investment recommendations. This case is currently pending. The customer is seeking $200,000 in damages.


• In September 2019, a customer alleged that Eric Weschke invested them in highly unsuitable GPB private placement products. THis case is currently pending. The customer is seeking $127,000 in damages.

Private placements are unregistered investment funds not sold on any public securities exchanges. There is a distinct lack of oversight for these products which provides less than scrupulous securities brokers ample opportunity to misrepresent these private products as safe and consistently lucrative. The truth is that private placements are speculative and illiquid securities with extremely high cost structures. Despite this, many securities brokers still recommended these products to financially unsuited investors due to the significant commissions they receive when doing so. Broker commissions for these products can be as high as ten percent of the investor's principal investment. Compounded with other upfront fees, this can drain an investor's principal of as much as 17 percent before any of the money is even put toward the investment. When an investor's principal is lowered that substantially, it becomes almost impossible for them to see a profit under anything other than a booming market.

How Can We Help?

Many investors are unaware of the legal recourse available to them after losing money due to stock broker negligence or fraud. 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 investors across the nation. If you, or someone you know, have lost money investing with Eric Weschke, 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.