Yearly Archives: 2012
Arbitrators Award Investor $1.6 Million in Damages
A three-member Financial Industry Regulatory Authority (“FINRA”) arbitration panel has issued a $1.6 million Award in favor of customer, John Sisk, against JHS Capital Advisors, Inc., Pointe Capital, Inc. and broker Enver R. Alijaj. The Award stems from a FINRA claim filed by Sisk in New York in February 2011. Sisk alleged that his… Read More »
Broker Prevails on Defamation Claims Against Morgan Keegan
Former Morgan Keegan broker Alejandro Rotundo was awarded $500,000 by a Financial Industry Regulatory Authority (“FINRA”) arbitration panel on his counterclaim for defamation against his former firm Morgan Keegan. Rotundo was a broker in Morgan Keegan’s Coral Gables branch office from December 2006 until he was terminated in September 2010. The Statement of Claim… Read More »
Free Webinar on How to Avoid Fraud in Self-Directed IRA Accounts
The North American Securities Administrators Association (“NASAA”) and Retirement Industry Trust Association (“RITA”) are jointly presenting a free webinar for the public on July 18 at 2 p.m. Eastern. The purpose of the webinar is to raise public awareness about how to identify fraud in connection with investing in self-directed IRA accounts. Founded in… Read More »
Florida Office of Financial Regulation Sues Prime Capital Services, Inc. and Asset & Financial Planning, Ltd.
The Florida Attorney General has initiated a lawsuit on behalf of the Florida Office of Financial Regulation (“FLOFR”) against brokerage firm Prime Capital Services, Inc., headquartered in Poughkeepsie, New York, and Florida-based investment adviser, Asset & Financial Planning, Ltd. Several brokers and investment advisers associated with both firms, Scott Aabel, Antonio Gomes and Richard… Read More »
Davita Agrees to Settle Whistleblower Lawsuit For $55 Million
Despite denying any wrongdoing, Denver-based Davita Inc., a kidney dialysis chain, has settled a Texas lawsuit related to its use of Epogen, an anemic drug made by Amgen. The settlement requires Davita to pay $55 million. The federal government will receive more than 70% of the settlement amount. In addition, Davita is also required… Read More »
Energy Company Pays Approximately $4 Million to Resolve Alleged False Claims Act Violations
Connecticut-based Louis Dreyfus Energy Services and the United States have agreed to settle alleged False Claims Act violations. The settlement requires Louis Dreyfus Energy Services to pay the United States $4.08 Million. The alleged False Claims Act violations stem from a natural gas contract between Louis Dreyfus Energy Services and the Department of the… Read More »
FINRA Investor Alert: Exchange-Traded Notes
The Financial Industry Regulatory Authority (“FINRA”) recently issued an investor alert regarding exchange-traded notes (“ETNs”), which are often confused with similarly-named exchange-traded funds (“ETFs”), but can be fundamentally different. ETNs are promissory notes made by an issuer that promise a return linked to the performance of an underlying index. ETNs do not make periodic… Read More »
NextCare to Pay US $10 Million to Resolve False Claims Act Allegations
Arizona-based NextCare Inc., an owner of urgent care facilities with locations in multiple states, has settled federal and state accusations that it submitted false medical claims to Medicare, TRICARE, the Federal Employees Health Benefits Program, and certain Medicaid programs in violation of the False Claims Act. The settlement requires NextCare to pay $10 million… Read More »
GlaxoSmithKline to Pay $3 Billion to Resolve Criminal and Civil Investigations
GlaxoSmithKline LLC (“Glaxo”) has agreed to settle criminal and civil charges, including 4 separate whistleblower suits, related to several different prescription medications for a total of $3 billion. According to the Department of Justice, it is the largest payment by a pharmaceutical company to settle a health care fraud case in U.S. history. The… Read More »
FINRA Dispute Resolution Launches Large Case Pilot Program
The Financial Industry Regulatory Authority (“FINRA”) announced a new voluntary pilot program for the administration of arbitration cases geared towards cases involving large monetary damages of $10 million or more (“Pilot”). Currently, the parties in any FINRA arbitration case may stipulate to deviate from the administrative procedures in the Customer and Industry Codes of… Read More »