Suing the Brokerage Firm

If I am the victim of a Ponzi scheme is it possible to sue the brokerage firm for the actions of an individual broker?

Yes, you may have a failure to supervise claim. According to FINRA rules, a brokerage firm has an obligation to implement policies and procedures that help monitor the activities of its brokers in order to guard against investor loss and investment fraud. It may be the brokerage firm, not the individual broker, that is at fault if there has been a failure to screen a new broker before hiring, ensure training and licensing, or if there has not been continued monitoring of the broker’s communications, account activity, and customer complaints.

If you have been the victim of investment fraud, you may be able to sue the brokerage firm for failure to supervise in order to recover your lost funds. The investment fraud attorneys with Meyer Wilson represent investors nationwide, and have recovered millions of dollars in losses for our clients. Call us or complete our online form for a free case evaluation.