Meyer Wilson Investigating Claims Against Former Broker Claus Foerster
The securities fraud attorneys at Meyer Wilson are currently investigating claims against former broker Claus C. Foerster (CRD# 1912949).
The Financial Industry Regulatory Authority (FINRA) has permanently barred former Raymond James & Associates, Inc. broker Claus C. Foerster “from acting as a broker or otherwise associating with firms that sell securities to the public.”
According to a FINRA Letter of Acceptance, Waiver and Consent signed by Foerster, he received around $3 million from 13 customers from investments in a fictitious entity called S.G. Investments. Beginning in 2000, he allegedly marketed S.G. Investments as an income-oriented investment in order to solicit his securities customers into investing. According to FINRA, S.G. Investments was in fact a bank account controlled by Foerster, and not an income-oriented investment as he claimed.
In order to “invest,” Foerster allegedly instructed his customers to transfer funds from their brokerage accounts into personal bank accounts via electronic funds or wire transfer. He then instructed them to write personal checks from those accounts, made payable to “S.G. Investments.” According to FINRA, Foerster provided at least two customers with false dividend payments on a monthly basis, and provided other customers with fictitious account statements.
By allegedly soliciting customers and converting their funds for personal use, Foerster violated National Association of Securities Dealers (NASD) Conduct Rule 2330(a), NASD Conduct Rule 2110, FINRA Rule 2010, and FINRA Rule 2150(a).
Foerster has one pending criminal charge of fraud and wire fraud and faces up to 100 years in prison.
If you lost money investing with former Raymond James broker Claus Foerster, contact our securities fraud attorneys at Meyer Wilson Today for your free case consultation to discuss your potential claim. We handle cases on a contingency fee basis, so you will not owe any fees unless we help you recover your losses.