J.P. Morgan Securities LLC Broker Edward Turley Faces Multi-Million Dollar Customer Complaints for Unsuitable Investment Recommendations

J.P. Morgan Securities LLC

Barred Former J.P. Morgan Securities LLC vice chairman and broker Edward Turley (CRD# 1872294) faces more than $62 million in customer complaints for unsuitable investment recommendations concentrated in master limited partnerships (MLPs), junk bonds, foreign currencies, and preferred stocks. 

He was registered with J.P. Morgan Securities LLC in San Francisco, California from 2009 to 2021, when he was terminated regarding “Loss of confidence concerning adherence to firm policies and brokerage order handling requirements.”

According to public records, Edward Turley was managing more than $1.5 billion in assets, and generated close to $30 million in revenue annually from customer assets. 

In November 2022, FINRA barred him after he “consented to the sanction and to the entry of findings that he refused to provide on-the-record testimony requested by FINRA. The findings stated that the request for testimony related to, among other issues, Turley’s trading in customer accounts, including but not limited to the use of foreign currency and margin, and the purchasing and selling of high-yield bonds and preferred stock.”

Edward Turley Customer Complaints 

He has been the subject of eight additional customer complaints between 1999 and 2022, one of which was denied, according to his CRD report. The most recent complaints are regarding:

June 2022. “Claimant alleges exercise of discretion, misrepresentation, and unsuitable trading. Activity dates 2019 – 2020.” The customer is seeking $55,615,696 in damages. 

March 2022. “Claimant alleges exercise of discretion and unsuitable trading. Activity dates September 2017 – March 2022.” The customer sought $6 million in damages and the case was settled for $5 million.

December 2021. “Claimant alleges exercise of discretion and unsuitable trading. Activity dates 2016-2020.” The customer is seeking $5 million in damages.

July 2021. “Claimant alleges exercise of discretion and unsuitable trading. Activity dates 2018 – 2020.” The customer sought $18 million in damages and the case was settled for $12 million.

September 2020. “Claimants alleges exercise of discretion and unsuitable investments. Activity dates August 2016 – July 2020.” The customer sought $11.3 million in damages and the case was settled for $8,214,856. The complaint is regarding a highly speculative trading investment strategy in highly leveraged margin accounts, including “junk” bonds, foreign bonds, preferred stocks, foreign currencies, exchange traded funds (ETFs), and master limited partnerships (MLPs), as well as unsuitable investments in the energy sector including unregistered Nine Energy Senior Notes. The claimants saw substantial losses when the market collapsed due to the Covid-19 global pandemic in March 2020. Regrettably for the client, it is alleged that Edward Turley and J.P. Morgan ratcheted up the margin balances to over $7.1 million by the end of August 2017. The accounts were over-leveraged and over-concentrated.

September 2020. “Claimants allege unsuitable investment recommendations, exercise of discretion, and recommending an unapproved, outside investment. Activity dates July 2013 – July 2020.” The customer sought $5 million in damages and the case was settled for $6.1 million.

June 2020. “Claimant alleges exercise of discretion, unsuitable trading and solicitation of an unauthorized private securities transaction. Activity dates 2012-2020.” The customer sought  $23 million in damages and the case was settled for $12.1 million. The complaint was regarding common and preferred stocks, fixed income investments, master limited partnerships, foreign currencies, and alternative assets. 

May 2020. “Turley was a subject of the customer’s complaint against his member firm that asserted the following causes of action: breach of contract and warranties; promissory estoppel; violation of Consumer Protection and Deceptive Trade Practices Act; violation of state securities laws; statutory fraud; breach of fiduciary duty; negligence and gross negligence; misrepresentation/omission and negligent misrepresentation/omission; unjust enrichment; failure to supervise; common law and statutory claims; and vicarious and control person liability.” The customer sought $11,566,405 in damages and the case was settled for $4 million. The complaint was regarding common and preferred stocks, fixed income investments, master limited partnerships, foreign currencies, and alternative assets. According to public records, the customer alleged that her account was unsuitably traded in high-risk equities and funk bonds, without her authorization. 

Pursuant to FINRA Rules, member firms are responsible for supervising a broker’s activities during the time the broker is registered with the firm. Therefore, J.P. Morgan Securities LLC may be liable for investment or other losses suffered by Edward Turley’s customers.

Erez Law represents investors in the United States for claims against brokers and brokerage firms for wrongdoing. If you have experienced investment losses, please call us at 888-840-1571 or complete our contact form for a free consultation. Erez Law is a nationally recognized law firm representing individuals, trusts, corporations and institutions in claims against brokerage firms, banks and insurance companies on a contingency fee basis.