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

Mel Hertz is a Hawaii based securities broker. He has worked in the securities industry for thirty-eight years. During his career, he has been registered with six different securities firms.

His Registrations

  • S & E Investments (1980-1981)
  • R & E Investments (1982)
  • E.A. Buck Co. (1982-1988)
  • Derand/Pennington/Bass, Inc. (1988-1992)
  • IFG Network Securities (1992-2003),
  • The Strategic Financial Alliance (2003-Present)

The Allegations

  • In April 2013, a customer alleged that Mel Hertz placed them in investments that were not suitable based on their risk tolerance. They also alleged that Mel Hertz made material misrepresentations and omissions. This case was settled for $150,000.
  • In April 2018, a customer alleged that Mel Hertz made unsuitable investment recommendations and that the risks associated with the securities had not been adequately explained to them. This case is currently pending. The customer is seeking $133,000 in damages.

What Does This Mean?

Securities brokers like Mel Hertz have an obligation to their customers to only recommend investments to them that they are financially suited for. Brokers can deduce whether or not an investment is suitable for a particular customer by looking at the investor’s financial situation, investment objectives, liquidity needs, and risk tolerance. Securities brokers are expected to conduct the necessary due diligence required to determine a customer’s suitability by looking at these factors.

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 Mel Hertz, please contact Oakes & Fosher for a free and private consultation.