The law firm of Oakes & Fosher is presently investigating the alleged misconduct of securities broker Michael Greenstone. According to his publicly available FINRA BrokerCheck report, Michael Greenstone has been the subject of multiple customer disputes over the course of his career.
Michael Greenstone is a New Jersey based securities broker. He has worked in the securities industry for thirty-nine years. During his career, he has been registered with seven different securities firms.
His Registrations
- Riviere Securities Corporation (1980-1984)
- Drexel Burnham Lambert Incorporated (1984-1989)
- Smith Barney, Harris Upham & Co. (1989-1990)
- Prudential Securities Incorporated (1990-1992)
- UBS Financial Services (1992-2009)
- Morgan Stanley & Co. (200-2017)
- Merrill Lynch (2017-Present)
The Allegations
- In February 1998, a customer alleged that Michael Greenstone engaged in unsuitable trading, excessive trading, and failed to safeguard assets. This case was settled for $30,000 in damages.
- In March 1998, a customer alleged that Michael Greenstone engaged in unsuitable trading and excessive trading. This case was settled for $30,000 in damages.
- Also in March 1998, another customer alleged that Michael Greenstone excessively traded their account, recommended unsuitable investments, and failed to safeguard assets. This case was settled for $20,000 in damages.
- In April 1998, a customer alleged that Michael Greenstone misrepresented investments and unsuitably invested their funds earmarked for retirement. This case was settled for $52,000 in damages
- In July 1999, a customer alleged that Michael Greenstone excessively traded their account and recommended unsuitable investments. This case was settled for $106,000 in damages.
- In July 2009, a customer alleged that Michael Greenstone invested her portfolio in a manner that was not suitable given her risk tolerance and age.
- In October 2009, a customer alleged that Michael Greenstone failed to disclose the tax ramifications of withdrawing funds for an investment from an IRA account. This case was settled for $5,000 in damages.
- In July 2019, a customer alleged that Michael Greenstone recommended unsuitable investments. This case is currently pending. The customer is seeking $5 million in damages.
What Does This Mean?
The most important aspect of a securities broker job is having the ability to determine if a particular investment is suitable for their customer. Brokers are able to determine if an investment is suitable by looking the relevent factors. These include; the customer’s age, financial situation, net worth, investment objectives, liquidity needs, and risk tolerance. When brokers cannot adequately determine suitability by analyzing these factors, it can cause serious financial harm to investors.
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 Michael Greenstone, please contact Oakes & Fosher for a free and private consultation. We work on a contingency basis, which means there are no fees charged unless we collect for you.
