The law firm of Oakes & Fosher is presently investigating the alleged misconduct of securities broker Leslie Goldstein. According to his publicly available FINRA BrokerCheck report, Leslie Goldstein has been the subject of multiple customer disputes over the course of his career.

Leslie Goldstein is an Illinois based securities broker. He has worked in the securities industry for thirty-four years. During his career, he has been registered with nine different securities firms.

His Registrations

  • Dean Witter Reynolds (1984-1987)
  • Private Ledger Financial Services (1987)
  • A.S.A. Investment Company (1987-1990)
  • Equityline Securities (1990-1994)
  • Cousins Securities Corporation (1994-1996)
  • Harbour Investments (1996-1997)
  • Edwin C. Blitz Investments (1997-2001)
  • Sigman Financial Corporation (2001-2014)
  • Securities America (2014-Present)

The Allegations 

  • In August 1987, a customer alleged that he directed Leslie Goldstein to invest their funds into an IRA account, however, Goldstein failed to follow these instructions. This case was settled for $19,500 in damages.
  • In March 1990, a customer alleged that Leslie Goldstein recommended they purchase an unregistered security. This case was settled for $30,000 in damages.
  • In July 2018, customers alleged that Leslie Goldstein over-concentrated their accounts in illiquid investments, annuities, life insurance, and non-traded REITS, all of which were deemed unsuitable by the customers. The customers also alleged that Leslie Goldstein churned their account, charged them excessive commissions, breached his fiduciary duty, and managed their account negligently. This case was settled for $90,000 in damages.

What Does This Mean?

Most investors require the liquidity associated with most publicly traded investments. These types of investments are accompanied by a guaranteed redemption–meaning investors can liquidate their shares for the stated market value should the need to do so arise. However, there are some types of investments that lack this ability. This includes privately traded alternative investments and retirement vehicles known as annuities. Alternative investments such as non-traded REITs are not traded on any public securities exchanges. They are very poorly regulated and are often overvalued in an attempt to solicit investments. These types of investments usually only operate for a limited amount of time before they are liquidated. If an investor wishes to liquidate their shares before this time, they are usually offered buy outs significantly less than what they are told their shares are valued at.

Annuities on the other hand are specifically designed for an individual to receive income during their retirement. Essentially the individuals pays scheduled premiums, or a lump sum premium, and then receives schedule distributions during their retirement. However, if the investor tries to withdraw from their annuity before they retire (the annuity’s surrender period), they are charged outrageous percentages of their investment. These products are so illiquid that they are incredibly harmful for investors who believe they may need to liquidate assets during the life of their investment. It is imperative for securities brokers to fully explain a product’s liquidity to the customer they are recommending it to. Brokers should also never recommend these types of illiquid investments to investors they believe are not financially suited for them based on liquidity needs.

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 Leslie Goldstein, 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.