INVESTOR WARNING—Financial Advisor Thomas Kelly, Jr. Has Nineteen Customer Complaints, Including Four Pending Complaints
The Wolper Law Firm is currently investigating claims against Thomas Kelly, Jr., a former Financial Advisor at National Securities Corp. in New York, NY. Thomas Kelly, Jr. currently works at Aegis Capital. Thomas Kelly, Jr. has been in the securities industry since the 1990s and previously worked at First Republic Group, which was expelled by FINRA.
According to publicly available records released by the Financial Industry Regulatory Authority (FINRA), Thomas Kelly, Jr. has had nineteen (19) customer complaints filed against him during his career, including four pending complaints filed in 2018, in which customers alleged sales practice violations. This is an exceptionally high number of customer complaints for a single Financial Advisor.
- November 2018—”SUITABILITY, UNAUTHORIZED TRADING, BREACH OF FIDUCIARY DUTY AND NEGLIGENCE.” The alleged damages are $500,000 and the matter remains pending.
- October 2018—”TIME FRAME: UNSPECIFIED. CLAIMANT ALLEGES MISREPRESENTATION, NEGLIGENCE, BREACH OF FIDUCIARY DUTY.” The alleged damages are $230,000 and the matter remains pending.
- August 2018—”TIME FRAME: UNSPECIFIED. CLAIMANT ALLEGES UNSUITABLE RECOMMENDATIONS, MISREPRESENTATIONS, OMISSIONS, BREACH OF FIDUCIARY DUTY, NEGLIGENCE AND BREACH OF CONTRACT.” Alleged damages are $750,000 and the matter remains pending.
- July 2018—”TIME FRAME: UNSPECIFIED. EXCESSIVE TRADING.” The alleged damages are $211,844 and the matter remains pending.
- September 2012—”SUITABILITY, NEGLIGENCE AND BREACH OF FIDUCIARY DUTY.” The matter was settled for $23,000.
- June 2006—Customer alleged “SUITABILITY, EXCESSIVE TRADING AND COMMISSIONS.” The matter was settled for $88,000.
- January 2005—Customer alleged “CHURNING, UNSUITABLE TRANSACTIONS.” The matter was settled for $75,000.
For a full copy of Thomas Kelly, Jr.’s CRD, click https://brokercheck.finra.org/individual/summary/2877415#disclosuresSection
Financial advisors have a legal and regulatory obligation to recommend only suitable investments that are appropriate for their clients’ needs and objectives. Their employing brokerage firm has a legal and regulatory obligation to supervise the Financial Advisors’ sales practices and dealings with clients. To the extent any of these duties are breached, the customer may be entitled to a recovery of his or her investment losses.
Excessive trading occurs when a Financial Advisor places his or her interests in front of the client and recommends transactions for the purpose of generating commissions. FINRA rules prohibit a Financial Advisor from churning or excessively trading an account. Brokerage firms are required to conduct a quantitative suitability analysis to ensure that the number of trades placed in a customer account do not render the strategy unsuitable. For example, a Financial Advisor may recommend the sale of a security at a profit. However, if the commission generated on the buy and sale of that same security exceeds the profit, the customer has actually lost money in that security. Often times, customers are unaware that the commissions charged supersede the profit associated with a transaction or series of transactions.
The Wolper Law Firm is interested in speaking with clients of Thomas Kelly, Jr. as part of its investigation. We can be reached at 800.931.8452 or by email at firstname.lastname@example.org.
The Wolper Law Firm represents investors nationwide in securities litigation and arbitration on a contingency fee basis. Matt Wolper, the Managing Principal of the Wolper Law Firm, is a trial lawyer who has handled hundreds of securities cases during his career involving a wide range of products, strategies and securities. Prior to representing investors, he was a partner with a national law firm, where he represented some of the largest banks and brokerage firms in the world in securities matters.