South Florida Arbitration & Litigation Lawyer Blog
Preferred Stock Fraud and Misrepresentation FINRA Arbitration and Litigation Lawyer, Russell L. Forkey, Esq.
November, 2011:
Tom Douglas Hamsher (CRD #1708793, Registered Supervisor, Webb City, Missouri) submitted a Letter of Acceptance, Waiver and Consent in which he was barred from association with any FINRA member in any capacity. Without admitting or denying the findings, Hamsher consented to the described sanction and to the entry of findings that he made misrepresentations and omitted to disclose material facts to many of his customers in connection with the purchase or sale of preferred securities of financial institutions, in conversations and correspondence with multiple member firm customers who purchased the securities on Hamsher’s recommendation. The findings stated that after Hamsher’s resignation, the firm subsequently settled claims from many of Hamsher’s customers, including allegations of material misrepresentations and omissions involving preferred securities of financial institutions, for aggregate payments of approximately $8.9 million. (FINRA Case #2009018421001).