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

Matthew Lum is a Texas based securities broker. He has worked in the securities industry for thirty-two years. During his career, he has been registered with nine different securities firms.

His Registrations

  • Washington National Equity Company (1987-1988)
  • PFG Securities (1988-1989)
  • First Affiliated Securities (1989-1990)
  • Corporate Benefit Securities (1990-1995)
  • FSC Securities (1995-1997)
  • SII Investments (1997-2001)
  • Sentra Securities Corporation (2001-2004)
  • Girard Securities (2004-2017)
  • Cetera Advisor Networks (2017-Present)

The Allegations

  • In March 2010, a customer alleged that Matthew Lum caused him to incur $1.2 million in losses due to unsuitable investments. This case was settled for $290,000 in damages.
  • In July 2010, a customer alleged that Matthew Lum recommended unsuitable investments, breached his fiduciary duty, made fraudulent misrepresentations and omissions of material fact, engaged in deceitful behavior, handled their account negligently, engaged in constructive fraud, and engaged in elder abuse. This case was eventually settled for $175,000 in damages.
  • In January 2015, a customer alleged that Matthew Lum handled their account negligently, made material misrepresentations, and recommended unsuitable securities. This case was settled for $615,000 in damages.
  • In January 2017, a customer alleged that Matthew Lum engaged in fraud, made negligent misrepresentations, and breached his fiduciary duty. This case was settled for $310,000 in damages.

What Does This Mean?

One of the most noteworthy allegations levied against Matthew Lum was that he made material misrepresentations and omissions of material facts. Omission occurs when a securities broker leaves out pertinent details when disclosing information to their customers. Misrepresentation occurs when a broker provides their customer with falsified information regarding an investment or potential investment. Misrepresentation and omission can occur either through the broker’s fraudulent intent, or through the broker’s negligence. Regardless of the securities broker’s intent, misrepresentation and omission can be detrimental to investors as it can cause them to be invested in securities they would not have purchased if they had known the information about it accurately.

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 Matthew Lum, please contact Oakes & Fosher for a free and private consultation.