Boston Broker David Manor Resigns From Wells Fargo, Faces FINRA Complaint
Financial Advisor David Manor (CRD# 6033220) is facing a FINRA complaint following allegations that he assisted a client in investing away from the brokerage firm. He voluntarily resigned from Wells Fargo Clearing Services, LLC in Boston in January 2018. On December 7, 2018, FINRA made a determination to recommend that disciplinary action be brought against Manor. FINRA filed its complaint on April 16, 2019.
FINRA Complaint Alleges “Unapproved Outside Business Activity”
Manor voluntarily resigned from Wells Fargo in February 2018. According to FINRA, Manor engaged in unapproved outside business activity with a Wells Fargo customer between February and November 2017. FINRA alleges that Manor’s client, a then 75-year-old retiree, paid him $107,000 for selling mineral rights on his property. Manor failed to disclose the transaction to Wells Fargo in violation of FINRA Rules 2010 and 3270.
Manor is also accused of having convinced the same customer to use those proceeds to open a brokerage account at Charges Schwab, allow Manor to trade on his behalf, and split the profits – none of which was disclosed to Wells Fargo.
When the account was opened, Manor engaged in risky uncovered options trading, which FINRA alleges to have been unsuitable for the customer, who had moderate risk tolerance and no options trading experience. As a result, the complaint notes, Manor’s client lost roughly $224,000 in less than three months.
Selling Away, Unsuitable Investments & Firm Failure to Supervise
Brokerage firms have an obligation to supervise their brokers and protect customers and can potentially be held liable for failures to supervise employees when clients to suffer financial losses.
If you or someone you love has lost money investing with David Manor or another broker-advisor engaged in investment fraud or misconduct, Meyer Wilson is here to help. Our investment loss attorneys have earned a national reputation for our work helping wronged investors recover financial losses, and can help you learn more about your rights and options for a potential claim.
Call (888) 390-6491 or contact us online to speak with an attorney.