Former Merrill Lynch Broker Faces Multiple Pending Disputes Alleging Unauthorized Trading
Former Merrill Lynch Broker Shaun Hayes was the subject of seven customer disputes lodged in 2017, all for unauthorized trading in his customers' accounts according to his Financial Industry Regulatory Authority (FINRA) BrokerCheck report.
One complaint has been settled with a payment to the customer of $125,000 and six others are still pending. All of the alleged misconduct took place while Hayes was registered as a broker at Merrill Lynch out of Fort Worth, Texas. The alleged unauthorized trading took place between 2013 and 2017. Hayes worked for Merrill Lynch from 2012 to 2017, but is no longer affiliated with a broker-dealer firm.
Are You a Victim of Unauthorized Trading?
All financial advisors are required to obtain a client's permission before placing trades in a client's account. In some instances, individuals provide brokers with a blanket "trading authorization" that enables him or her to conduct securities transactions without having to seek permission for each occurrence. If no written trading authorization is given for a particular account, a broker must obtain permission before any transaction is made. Unauthorized trading is a violation of securities laws, and brokers making unauthorized trades can be held liable for any financial losses.
To help identify whether unauthorized trading is taking place, investors should carefully inspect trade confirmations and monthly account statements and address any concerns or anomalies immediately. Because unauthorized trading can be difficult to prove, the sooner an investor takes steps to rectify the situation, the better.
Individuals who invested money with Shaun Hayes and suspect that he made transactions in their accounts without consent should contact an investment fraud lawyer at Meyer Wilson today for a free case evaluation.
- Former Edward Jones Broker Fired and Expelled from Industry Over Allegations He Misused Elderly Client's Funds
- Former Oppenheimer Broker Leslie Flaum Faces Allegations of Failing to Supervise the Sale of Investments to Customers
- Meyer Wilson Investigating Potential Investment Misconduct Claims Involving Financial Advisor David Howard Fagenson