openPR Logo
Press release

FINRA Award Involving Christopher Tolmacs and Triad Advisors

09-28-2017 05:09 PM CET | Business, Economy, Finances, Banking & Insurance

Press release from: The White Law Group, LLC

The White Law Group continues to investigate the liability that Tolmacs' FINRA registered employer may have for failure to properly supervise him.

According to reports, FINRA arbitrators have awarded two clients of former broker Christopher Tolmacs $1.2 million in compensatory damages and $300,000 in punitive damages based on "willful wanton misconduct, conversion of funds and securities fraud."

The Financial Industry Regulatory Authority said in the award that Tolmacs denied the allegations made by former clients Karen and David Gottschall and asserted various defenses.

According to his FINRA BrokerCheck report, Tolmacs was registered with Triad Advisors in Portage, MI from April 2008 to March 2016. He also operated Harbinger Financial Group and Harbinger Asset Management. Tolmacs has thirteen disclosures listed on his BrokerReport, including eight customer complaints.

In March 2016, State securities regulators in Michigan reportedly revoked Tolmacs investment adviser and securities registrations. He was also ordered to pay a $50,000 fine.

FINRA also reportedly barred Tolmacs in March 2016 after he failed to respond to requests for documents and failed to appear at a hearing looking into whether he entered into prohibited lending arrangements with his clients.

Failure to Supervise

Brokers have a fiduciary duty to make investment recommendations that are consistent with the clients net worth, investment experience and objectives. Risk tolerance, age, and liquidity needs also need to be considered. Furthermore, brokers are prohibited from engaging in underhanded businesses practice, like churning or unauthorized trading, that violate securities laws and regulations.

When brokers abuse client accounts and violate securities laws, the brokerage firm they are working for may be liable for investment losses. Brokerage firms that fail to monitor their employees’ business activities may be held liable for investment losses.

The White Law Group is a national securities fraud, securities arbitration, investor protection and securities regulatory/compliance law firm with offices in Chicago, Illinois and Vero Beach, Florida.

Daxton White, Managing Partner
The White Law Group, LLC
595 21st St,
Suite 200
Vero Beach, FL 32960
www.whitesecuritieslaw.com
888-637-5510

This release was published on openPR.

Permanent link to this press release:

Copy
Please set a link in the press area of your homepage to this press release on openPR. openPR disclaims liability for any content contained in this release.

You can edit or delete your press release FINRA Award Involving Christopher Tolmacs and Triad Advisors here

News-ID: 746775 • Views: 614

More Releases from The White Law Group, LLC

FINRA Arbitration Claim Filed against VSR Financial
The White Law Group has filed a Claim Alleging Over-concentration in High-risk Private Placement Investments. The White Law Group has filed and submitted a FINRA claim on behalf of a Kingston, Washington resident alleging claims for violation of common law fraud, breach of fiduciary duty, negligence, and negligent supervision. The claim further alleges that VSR Financial unsuitably invested the client in the following high risk private placement investments: Arciterra National REIT Behringer
KBS REIT Securities Investigation
The White Law Group announces a securities investigation involving KBS REIT The White Law Group, LLC is investigating the liability brokerage firms may have for recommending KBS REIT to investors. KBS Real Estate Investment Trust, Inc. is a publically non-traded REIT. The REIT went effective in January 2006 and closed its offering in May 2008 after raising $1.7 billion in investor equity. Shareholders of KBS REIT approved a plan of complete liquidation