The Law Firm of David Chase is reviewing allegations concerning former Toledo, Ohio-based Wells Fargo broker John B. Leonard with respect to multiple customer complaints of unsuitable investment recommendations.
In June 2016, a customer alleged that Leonard made unsuitable recommendations and requested damages in the amount of $150,000. This complaint was later settled for $25,000 in January of 2017.
A second complaint in June 2016 was also made against John B. Leonard alleging unsuitability, which sought $138,626 in damages and was later settled for $60,000.
In July 2017, FINRA permanently barred Leonard after he failed to respond to an official FINRA request for information.
Unsuitable recommendations are a serious form of stockbroker misconduct. A stockbroker’s employing firm is responsible for supervising the stockbroker to prevent such misconduct. Failure to supervise is a claim that may be made against a brokerage firm in these situations to hold it legally responsible for the investor’s losses.
Among other basic tenets, stockbrokers are required to recommend only suitable investments to their customers. This obligates the financial advisor to investigate and conduct due diligence concerning the proposed investment to ensure she understand its nature and inherent risks. The advisor is then responsible to ensure that the investment recommendation is consistent with the investor’s profile, considering: the customer’s age, investment objectives, risk tolerance, employment status and sophistication, among other relevant factors.
If you invested with John B. Leonard and Wells Fargo and have lost money doing so, you may be able to recover some or all of your losses. David Chase is experienced in recovering investor losses due to broker/brokerage firm misconduct and mismanagement through FINRA arbitration.
FINRA arbitration is a fast, efficient way to recover your lost investment funds due to unsuitable recommendations. The Law Firm of David Chase works on a contingency fee basis, meaning you pay it nothing unless it recovers money for you.
The Law Firm of David Chase represents nationwide the interests and rights of investment fraud victims. If you have questions about your ability to recover your investment losses, please contact David Chase for a free consultation at david@davidchaselaw.com or toll-free at (800) 760-0912.
