The claim, filed by The White Law Group, was submitted to FINRA Dispute Resolution on behalf of a Missouri investor alleging claims for violation of common law fraud, breach of fiduciary duty, negligence, and negligent supervision. The claim further alleges that Signator Investors unsuitably invested the client in Colonial Tidewater Realty Income Partners, Inc., as well as certain insurance products.
Before recommending an investment, a broker-dealer has a fiduciary duty to adequately disclose the risks involved in the investment and to perform the necessary due diligence to determine whether the investment is suitable for the investor. It is alleged that Signator Investors failed to perform the necessary due diligence on these investments prior to recommending them to this particular investor.
On May 11, 2012, the financial advisor of record for this investor, James Glover, resigned from Signator during Signator’s internal investigation into allegations that Glover misappropriated funds from a customer and conducted undisclosed outside business activities through which he sold unregistered securities products.
On or about December 18, 2012, Mr. Glover signed a Letter of Acceptance, Waiver and Consent wherein he agreed to a permanent bar from the securities industry.
Mr. Glover’s FINRA Broker Report indicates that he has been named in 55 customer complaints.
When asked about the claim, D. Daxton White, the firm's managing partner, stated "This claim appears to bear striking similarities to other claims filed against Signator Investors involving Colonial Tidewater and Mr. Glover."
FINRA Dispute Resolution is an arbitration venue for investors with claims against their brokerage firm or financial professional. It provides investors with an opportunity to attempt to recoup their investment losses and is an alternative to filing such claims in court.
For more information on the claim filed by The White Law Group, please contact the firm's Chicago office at 312-238-9650.
The White Law Group is a national securities fraud, securities arbitration, and investor protection law firm with offices in Chicago, Illinois and Boca Raton, Florida. For more information on The White Law Group and its representation of investors in FINRA arbitration claims, visit http://www.whitesecuritieslaw.com.
The White Law Group
The White Law Group