Former Worden Capital Management LLC broker Richard Reynolds (CRD# 2162706) has multiple complaints related to churning, unsuitable, and unauthorized trading, resulting in investment losses. He was registered with SW Financial in Melville, New York, from 2021 to 2022. Previously, he was registered with Worden Capital Management LLC in Garden City, New York, from 2016 to 2021, with Rockwell Global Capital LLC in Melville, New York, from 2012 to 2015, and with American Capital Partners, LLC in Huntington, New York, from 2005 to 2010, when he was terminated regarding “insubordination and violation of firm policy.”
In December 2007, the New York Stock Exchange Division of Enforcement barred Richard Reynolds for five months, after he consented to the findings that he engaged in outside business activities, engaged in conducts that was inconsistent with trade principles, solicited firm customers to invest in private securities transactions away from his member firm, and making misstatements and misrepresentations.
In October 2013, the State of Michigan denied his registration after it was found that he engaged in “dishonest or unethical practices in the securities and investment business within the previous 10 years, and he was the subject of an order issued by the NYSE, a self-regulatory organization, barring him from membership in the self-regulatory organization for five months, which supports the summary denial of his registration application under the above-cited provisions of the Michigan uniform securities act.”
In March 2016, the New York Stock Exchange censured and barred him from membership for five months for violating various rules. His Brokercheck also reported that “In October 2013, Reynolds was summarily denied registration as a salesperson in the State of Michigan because he engaged in dishonest or unethical practices in the securities and investment business in violation of the Uniform Michigan Securities Act.”
Richard Reynolds Customer Complaints
He has been the subject of 12 customer complaints between 1998 and 2022, one of which was denied, and one was closed without action, according to his CRD report. The most recent complaints were regarding:
March 2022. “Churning, excessive commissions, unauthorized trading, unsuitability, negligence, breach of contract, fraud.” The customer is seeking $376,966.61 in damages. The complaint was regarding equity OTC and common and preferred stocks.
October 2021. “Unsuitable Investments, Unauthorized Trading, Churning, Fraud, Excessive Commissions, Excessive Trading, Breach of Fiduciary duty.” The customer sought $1,606,034.39 in damages, and the case was settled for $100,000. The complaint was regarding equity OTC and common and preferred stocks.
April 2019. “Customer alleges that a commission of $8,000 in August 2018 was not authorized by him.” The customer sought $8,000 in damages and the case was settled for $4,000. The complaint was regarding common and preferred stocks. The complaint was regarding equity OTC and common and preferred stocks.
December 2018. “Negligence and negligent supervision. Alleged activity took place between April 2017 and December 2018.” The customer sought $65,000 in damages, and the case was settled for $14,500. The complaint was regarding equity OTC and common and preferred stocks.
November 2018. “Statutory and common law fraud, misrepresentation, negligence, breach of contract and breach of fiduciary duty. Dates of alleged activity May 2016 through January 2018.” The customer sought $56,000 in damages, and the case was settled for $14,999.99. The complaint was regarding equity OTC and common and preferred stocks.
May 2018. “Churning, improper use of margin, unsuitability, and high commissions.” The customer sought $503,828.39 in damages, and the case was settled for $150,000. The complaint was regarding equity OTC and common and preferred stocks.
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, Worden Capital Management LLC may be liable for investment or other losses suffered by Richard Reynolds’ 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.
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