The recent allegations against stockbroker Lewis J. Hunter, formerly employed by brokerage firm H.D. Vest, bring attention to an oft-overlooked form of broker misconduct and investment fraud.
Our stockbroker misconduct lawyers would like to take this opportunity to talk more about “selling away” and offer more information about how to get help if you have become a victim of this inappropriate broker tactic.
What Is “Selling Away”?
“Selling away” means that a broker is selling or offering securities that are not offered or approved by the brokerage firm he or she is affiliated with. Brokerage firms put a lot of effort into carefully researching and approving the investment products they allow their brokers to offer to their clients, and a broker who engages in “selling away” is acting inappropriately. Brokers or financial advisers who engage in this kind of behavior are abusing their position of trust with their clients, and their brokerage firms often have no idea that the unapproved investment products are being offered.
Although the firm may be unaware that one of its brokers is offering these outside investments, brokerage firms do have a basic duty to supervise the actions of their employees. In a case of “selling away,” it may be possible to also hold the brokerage firm responsible for the losses sustained by victims of stockbroker misconduct or fraud because of a failure to supervise.
How to Get Help if You Have Sustained Investment Losses
The securities arbitration attorneys with Meyer Wilson have been hired by victims of Lewis J. Hunter and are investigating further potential claims against H.D. Vest. If you have sustained losses in connection with this case, or if you have lost investment money in a similar situation, please reach out to one of our experienced stockbroker misconduct lawyers today for a free and confidential evaluation of your potential claim.