Category Archives: Elder Financial Fraud

FINRA Submits Rule to SEC to Protect Against Elderly Financial Fraud

By | Blog, Elder Financial Fraud | No Comments

The Financial Industry Regulatory Authority (FINRA) has submitted new rule changes for the Securities Exchange Commission (SEC) to approve which is designed to help prevent elder financial fraud.  The proposed rule changes will require brokerage firms to “make reasonable efforts” to obtain contact information for “trusted” individuals who are designated by elderly account holders.  The “trusted” individuals, such as close friends and family members, would be contacted by brokerage firms in the event of suspicious activities related to an elderly person’s investment accounts.  In a recent press release, FINRA proposed changes that would allow brokerage firms to place a temporary hold on suspicious disbursements and alert “trusted” contact persons about the hold on account recent activities.  This change would allow elderly investors the benefit of inquiries from family members to investigate whether unscrupulous individuals may have defrauded them.  Currently, there are no provisions that allow brokerage firms to contact non-account holders or to place a temporary hold on fund withdrawals which have been flagged for suspicious activities.

FINRA proposed plan changes include providing space for a “trusted” individual’s contact information on new account application templates, which brokerage firms can use on a voluntary basis.  The proposed rule changes submitted to the SEC occurs roughly three months after Congress approved legislation that grants immunity to brokerage firms and financial advisors for reporting elder financial fraud.

Klayman & Toskes, P.A. represents elderly investors that are victims of financial fraud who suffer damages from violations of FINRA sales practice rules and regulations related to misappropriation of funds,  misrepresentations and omissions of material facts, conflicts of interest, unsuitable investment advice and brokerage firms’ failure to supervise its financial advisors.  Klayman & Toskes, P.A. is dedicated to the protection of the rights of elderly investors and their families.

About Klayman & Toskes, P.A.

Klayman & Toskes, P.A. is a leading national securities law firm practices areas include securities arbitration and litigation, on behalf of retail and institutional investors throughout the world in large and complex securities matters. The firm represents high net-worth, ultra-high-net-worth, and institutional investors, such as non-profit organizations, unions, public and multi-employer pension funds. Klayman & Toskes, P.A. has office locations in California, Florida, New York and Puerto Rico.

 

Elder Financial Fraud Victims: The Securities Arbitration Law Firm of Klayman & Toskes, P.A. Expands Practice to Representation of Victims of Elder Financial Fraud

By | Elder Financial Fraud, Featured Investigations | No Comments

Boca Raton, Florida (GLOBE NEWSWIRE) – September 27, 2015 – The Securities Arbitration Law Firm of Klayman & Toskes, P.A. (“K&T”), www.nasd-law.com, expands its practice to include the representation of victims of elder financial fraud.  According to the Department of Justice (“DOJ”), U.S. Attorney’s Office Elder Justice Task Force reports, “Speaking only of the financial impact of elder abuse, it is estimated that elderly Americans lose an estimated $2.6 billion or more annually due to financial abuse or exploitation.”  The DOJ’s Elder Justice Initiative website provides important information for the elderly and their families.  The Elder Justice Task Force is charged with investigating and prosecuting financial scams targeting or disproportionately impacting seniors.

According to founding partner, Lawrence L. Klayman, “Florida Statute 825.103 is designed to punish perpetrators of “elder financial fraud” and protect against the exploitation of elderly persons.”  Mr. Klayman explains his firm’s representation of elderly investors, “wills and trusts may create fiduciary duties for trustees and executors to beneficiaries and heirs for the management of assets, which may be delegated to unscrupulous agents and financial advisors.”    Mr. Klayman continues, “Many elderly investors are not aware that there is a problem or are hesitant to report a problem.  Our law firm can assist estate planning lawyers who have prepared wills and trusts to help determine whether someone is the victim of elder financial fraud.”

K&T’s representation of elderly investors may include claims for damages for violations of securities industry rules and regulations related to misrepresentations and omissions of material facts, conflicts of interest, unsuitable investment advice and financial institutions’ failure to supervise its agents and financial advisors.  K&T is dedicated to the protection of the rights of elderly investors and their families.

About Klayman & Toskes, P.A.

K&T is a leading national securities law firm practices areas include securities arbitration and litigation, on behalf of retail and institutional investors throughout the world in large and complex securities matters. The firm represents high net-worth, ultra-high-net-worth, and institutional investors, such as non-profit organizations, unions, public and multi-employer pension funds. K&T has office locations in California, Florida, New York and Puerto Rico.

Do you have a question or need more information? Get in touch with us