Former Lincoln Investment Planning, LLC Broker Lester Burroughs Accused of Investment Fraud
Posted on Thursday, January 9th, 2020 at 11:45 am
Erez Law is currently investigating former Lincoln Investment Planning, LLC broker Lester Burroughs (CRD# 1413972) regarding securities fraud. Burroughs was registered with Lincoln Investment Planning, LLC in Torrington, Connecticut from 2012 to 2019, when he was terminated regarding, “On Dec 5, 2019 Lincoln became aware of charges filed on December 4, 2019 by the U.S. Securities and Exchange Commission and the U.S. Attorney’s Office wherein the representative plead guilty to one count of wire fraud in the sale of fictitious insurance contracts to four individuals.”
In December 2019, the Securities and Exchange Commission (SEC) alleged that Burroughs engaged in a scheme to defraud retail investors from at least November 2012 to at least January 2019. According to the SEC, “Burroughs misappropriated advisory client money for his own personal use, created and sold fictitious investment products to clients, and engaged in a Ponzi-like scheme by paying back some advisory clients with money stolen from other advisory clients. Burroughs defrauded at least five clients and has failed to return at least $560,000 to three of his clients.”
In December 2019, Burroughs pled guilty to fraud by wire, radio, or television.
Burroughs has been the subject of 14 customer complaints between 1994 and 2015, three of which were closed without action and three were denied, according to his CRD report.
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, Lincoln Investment Planning, LLC may be liable for investment or other losses suffered by Burroughs’s customers.
Erez Law represents investors in the United States for claims against brokers and brokerage firms for wrongdoing. If and 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.