The law firm of Oakes & Fosher is presently investigating the alleged misconduct of former securities broker Steven John Meyer. According to his publicly available FINRA BrokerCheck report, Steven John Meyer has been the subject of multiple customer disputes.
Steven John Meyer was a New Jersey based securities broker. He worked in the securities industry for twelve years. During his career, he was registered with five different securities firms. He is no longer working as a registered securities broker in any fashion.
- J.P. Turner & Company (2004-2007)
- VFinance Investments (2007-2009)
- Chelsea Financial Services (2009-2010)
- Legend Securities (2011-2016)
- Chelsea Financial Services (2016-2017)
- In April 2015, a customer alleged that Steven John Meyer made false statements of material fact, executed unauthorized transactions, failed to follow instructions, churned their account, manipulated securities, and engaged in an improper use of margin. This case went to arbitration where the customer was awarded $110,622 in damages.
- In June 2016, a customer alleged that Steven John Meyer recommended unsuitable investments, committed common law fraud, committed silent fraud, handled their account negligently, and violated the Michigan Uniform Securities Act. This case went to arbitration, where the customer was awarded $38,909 in damages.
- In December 2016, Steven John Meyer was sanctioned by the state of New Hampshire. The findings in this matter state that Steven John Meyer engaged in excessive trading, recommended unsuitable investments, provided false confirmations, and failed to follow customer instructions. Due to these alleged actions, he was fined $10,000 and forced to pay $56,124 in restitution.
- In October 2017, Steven John Meyer was officially sanctioned by FINRA. The findings in this matter state that he engaged in churning and unsuitable excessive trading in the accounts of four customers–two of which were senior citizens. Due to these allegations, he was barred by FINRA from acting as a securities broker in any fashion.
What is Churning?
There is a deceptive and fraudulent trading practice that many less than scrupulous securities brokers engage in. This practice, known as churning, exists due to the method that brokers are compensated for their services. While some brokers simply charge their customers a flat fee that is determined by the value of the account they are managing, many brokers are compensated for their services by charging the customer a percentage of their principal investment every time they execute a transaction on their behalf. This percentage serves as the broker’s commission for brokering the trade. Churning takes place when a securities broker trades their customer’s account excessively with the intent to the increase their own commissions. This is because they receive an additional commission when every transaction is executed. This is done even if the excessive trading serves no actual benefit to the investor in any way.
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 Steven John Meyer, 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.