A Grand Rapids stockbroker is currently under investigation by the Securities
and Exchange Commission (SEC) for investment fraud, according to several
area news reports. The former stockbroker, Martin T. Wegener, worked for
New England Financial, which is owned by insurance giant Metropolitan
Life Insurance Company (MetLife).
According to the records maintained by the Financial Industry Regulatory
Authority (FINRA), as well as a statement provided to an area news outlet
by New England Securities, Mr. Wegener's employment as a registered
representative with New England Financial was recently terminated.
Mr. Wegener is accused of defrauding his clients by misusing the investors'
money and creating fake
account statements to hide the fraud, according to the news reports. It has been reported
that clients of Mr. Wegener have allegedly suffered millions of dollars
in investment losses.
Although it has been reported that the SEC is conducting its own regulatory
investigation, investors should be aware that the role of the SEC is not
to recover investors' losses but rather to enforce its regulatory
powers. In order to recover investment losses suffered as a result of
stockbroker fraud, investors must pursue a private legal action.
Legal claims for recovery of investment losses by customers of brokerage
firms are generallyrequired to be pursued through mandatory arbitration through FINRA. Investors who are victims of the alleged stockbroker fraud carried out
by Martin Wegener are encouraged to consult with an
experienced securities arbitration law firm to evaluate their rights.