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

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

His Registrations

  • Merrill Lynch (1990-1994)
  • Smith Barney (1994-1995)
  • JW Charles Securities (1995-1996)
  • First Union Capital Markets Corp. (1997-1999)
  • Morgan Stanley (1999-2004)
  • Janney Montgomery Scott (2004-2008)
  • Oppenheimer & Co. (2008-2014)
  • National Securities Corporation (2014-2016)
  • First Standard Financial Company (2016-2018)

The Allegations

  • In January 2011, it was alleged that Gabriel Block had handled a customer account in a manner contrary to the customer’s best interest. This case was settled for $375,000 in damages.
  • In December 2013, a customer alleged that her retirement savings were concentrated in positions that were unsuitable based on her investment objectives and risk tolerance by Gabriel Block. This case was settled for $30,000 in damages.
  • In July 2015, a customer alleged that Gabriel Block breached his fiduciary duty, recommended unsuitable investments, and managed their account negligently. This case was settled for $90,000 in damages.
  • In March 2018, a customer alleged that Gabriel Block made unauthorized and unsuitable purchases of Puerto Rico bonds on their behalf. This case was settled for $55,000 in damages.
  • In February 2019, a customer alleged that Gabriel Block executed unauthorized trades and recommended unsuitable investments. This case is currently pending. The customer is seeking $668,000 in damages.
  • In March 2019, a customer alleged that Gabriel Block recommended unsuitable investments. This case is currently pending.
  • In April 2019, a customer alleged that Gabriel Block recommended unsuitable investments and excessively traded their account. This case is currently pending. The customer is seeking $2 million in damages.
  • In May 2019, Gabriel Block was officially sanctioned by the New Jersey Bureau of Securities. The findings in this matter state that Block engaged in a scheme to defraud investors. Due to these alleged actions, Gabriel Block was fined $750,000.

What Does This Mean?

Securities brokers have an obligation to their customers to only recommend investments that they, the customers, would be financially suited for. Brokers can determine this suitability by analyzing financial information provided to them by their customers. This includes; the customer’s investment objectives, financial situation, risk tolerance, and liquidity needs. Brokers who invest their customers contrary to these stated factors either do so in a manipulative attempt to defraud the customer, or through their own negligence. Regardless of the broker’s intent, placing investors in securities they are not financially suited for can be detrimental to them. Because of this, brokers who invest customers in this fashion lack the ability to perform their duties to the necessary standard required for their position.

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 Gabriel Block, 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.