Did You Lose Money with New Jersey Barred Financial Advisor Glenn King?
Posted on Wednesday, December 13th, 2017 at 10:30 am
Erez Law is currently investigating former Buckman, Buckman & Reid, Inc. financial advisor Glenn King (CRD# 2191091) regarding misrepresentation regarding investments and losses sustained to elderly and retired customers. King was registered with the following firms:
- Buckman, Buckman & Reid, Inc. in Shrewsbury, New Jersey (January 2012-June 2015)
- Garden State Securities, Inc. in Red Bank, New Jersey (October-November 2011)
- Saxony Securities, Inc. in Lakewood, New Jersey (June-October 2011)
- Royal Alliance Associates, Inc. in Lakewood, New Jersey (2005-2011)
King was terminated from Royal Alliance Associates, Inc. in 2011 regarding, “At time of terminateion mr. King was udner internal review regarding the sale of investment products such as UITs and mutual funds to certain customers because of possible misepresention of UITs as CDs and failure to deliver a product prospectus.”
In July 2017, King was barred from FINRA based on the finds that King fraudulently misrepresented and omitted material facts to customers, recommended and executed unsuitable transactions in customer accounts, and exercised discretion in customer accounts without authority and his member firm’s approval. FINRA found that King made fraudulent misrepresentations and omissions to customers of his member firm in connection with the sale of Unit Investment Trusts (UITs). According to the complaint, King misrepresented to his elderly and retired customers that he would use their funds to purchase safe, safe, high-yield bonds and CDs, and that he would not charge them any fees or commissions. Instead, King used customer funds to purchase UITs, which resulted in $17,000 in realized losses to the customers, $43,000 in unrealized losses, and $38,000 in commissions. According to FINRA, “King failed to inform them that UITs invest in a fixed portfolio of securities that are held until a pre-established termination date and are not actively traded, may be illiquid through the termination date, and are subject to market risk and loss of principal.” It is alleged that King engaged in a pattern of short-term trading in long-term investments products in the accounts of customers, which was excessive and unsuitable and resulted in $163,000 in losses to the customers, and $210,000 in commissions for King. Additionally, King allegedly used discretion involving UITs and CEFs in customer accounts without approval from the customers or his firm.
King has been the subject of 20 customer complaints between 2001 and 2017, eight of which were denied, according to his CRD report:
January 2016. “02/2012-05/2015.unautorized trading,unsuitability.” The customer sought $150,000 in damages and the case was settled for $125,000.
December 2015. “unsuitability, unauthorized trading.1/2015-8/2015.” The customer sought $428,000 in damages and the case was settled for $125,000.
June 2015. “Misrepresentation. 06/2013-05/2014.” The claimant asserted the following causes of action: fraud; negligent misrepresentation; breach of fiduciary duty; breach of the covenants of good faith and fair dealing; negligent supervision; breach of conduct; violations of federal securities laws and F1NRA rules; and respondeat superior. The causes of action relate to various securities. The customer sought $200,000 in damages and the case was settled for $75,000.
April 2015. “Poor performance.01/2014-4/2015.” The case was settled for $21,760.
April 2012. “Cutomer alleges misrepresentation of certain UIT’s in 2011.” The customer sought $18,012 in damages and the case was settled for $6,500.
November 2011. “Customer alleges I represented she was invested in bonds but learned she was invested in the stock market and there were unauthorized trades in the account.” The customer sought $55,000 in damages and the case was settled for $2,250.
March 2011. “Customer alleges the investments were unsuitable and high risk for his conservative risk tolerance.” The customer sought $25,000 in damages and the case was settled for $15,000.
December 2004. “Client alleged that FC did not disclose mutual fund CDSC’s February 2002. Damages unspecified.” The case was settled for $4,994.20.
December 2004. “Client alleged that FC did not disclose mutual fund CDSC’s February 2002. Damages unspecified.” The case was settled for $4,330.12.
December 2004. “Client alleged that FC did not disclose mutual fund CDSC’s February 2002. Damages unspecified.” The case was settled for $4,318.20.
July 2004. “Client alleged unauthorized and misrepresented transactions-January 2004 – April 2004.” The case was settled for $2,800.
November 2001. “Client’s daughter alleged that there were trades made in her mother’s account that were unauthorized, unsuitable and excessive. Alleged damages unspecified. 1997-2000.” The case was settled for $34,371.85.
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, his past employers may be liable for investment or other losses suffered by King’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.