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, investors who believe that they have lost money in this fashion may be entitled to damages. The law firm of Oakes & Fosher is interested in hearing from investors who believe that this may be them.

Oakes & Fosher is currently investigating the alleged misconduct of former securities broker Paul Lebel. According to his publicly available FINRA BrokerCheck report, Paul Lebel was sanctioned by the United States Securities and Exchange Commission.

Paul Lebel operated most recently as a Massachusetts based securities broker. He worked in the securities industry for twenty years. During his career, he was registered with six different securities firms.

His Registrations

  • Montano Securities Corporation (1994)
  • Gruntal & Co. (1994-2000)
  • A.G. Edwards & Sons (2000-2006)
  • Oppenheimer & Co. (2008)
  • LPL Financial (2008-2014)
  • Wood Company (2014-2015)

The Allegations

Paul Lebel was sanctioned by the United States Securities and Exchange Commission in October 2016. The findings in this matter state that Lebel defrauded four of his customers by churning their accounts. He allegedly excessively traded mutual fund A shares which carry large front-end load fees. This trading was contrary to the customers’ best interests as mutual fund A shares are meant to be held for long periods of time and do not fit in with the frequent trading strategy that had been allegedly implemented by Paul Lebel. He allegedly acquired $50,037 in commissions alone from churning these accounts. Due to these alleged actions, he was barred by FINRA from acting as a securities broker in any fashion.

What Does This Mean?

Churning is a deceptive trading practice that many securities brokers, like Paul Lebel, engage in despite the practice’s fraudulent nature. It centers around a securities broker executing trades in a customer’s account so excessively with the express purpose of generating larger and additional commissions for themself. This fraudulent practice is so detrimental to customers due to the fees and trading losses that it causes them to incur. When investors lose significant amounts from their principal investment, it becomes almost impossible for them to see a profit under anything besides exceptional market conditions. Investors who believe they have experienced losses due to their securities broker churning their account may be entitled to damages.

Oakes & Fosher Can Help

Oakes & Fosher dedicates its entire legal practice to helping investors across the nation. If you, or someone you know, have lost money investing with Paul Lebel, please contact Oakes & Fosher for a free and private consultation.