Baird Advisors Win Expungement of Complaint Alleging Unsuitability Claims

Posted on October 11th, 2019 at 2:10 PM
Baird Advisors Win Expungement of Complaint Alleging Unsuitability Claims

From the Desk of Jim Eccleston at Eccleston Law LLC:

Robert W. Baird ("Baird") advisors recently were successful in expunging a complaint from a former client. The allegations include unsuitably of 529 accounts, variable annuities in individual retirement accounts ("IRAs"), and risky proprietary funds. 

According to Financial Industry Regulatory Agency Inc. ("FINRA"), Rande Somma, a former president of Johnson Control's automotive system group and his wife Georgia Somma, sought $2.86 million from Baird and longtime firm advisors Mark Falci and Patrick Powell. Baird paid $220,000 in a stipulated dismissal of the underlying complaint, but neither broker contributed to the settlement document. 

Three public arbitrators unanimously ruled that Sommas were sophisticated investors who received "extensive" oral and written reports about their investments over their 14-year relationship with Baird, and "never made any complaints until they filed this case." Falci offered "special personal attention, reports, access to fund managers, investment counselors, customized periodic reporting, extensive oral and written communications and frequent face-to-face meetings" to the Sommas, the arbitrators wrote in explaining why the allegations were false. Powell "never met or had any interactions with Sommas, so the evidence does not support their allegations," according to the FINRA award. 

According to BrokerCheck, the Baird brokers have no other complaints on their records.

The attorneys of Eccleston Law LLC represent investors and advisors nationwide in securities and employment matters. The securities lawyers at Eccleston Law also practice a variety of other areas of practice for financial investors and advisors including Securities FraudCompliance ProtectionBreach of Fiduciary DutyFINRA Matters, and much more. Our attorneys draw on a combined experience of nearly 65 years in delivering the highest quality legal services. If you are in need of legal services, contact us to schedule a one-on-one consultation today.

Related Attorneys: James J. Eccleston

Tags: james eccleston, eccleston law, eccleston law llc, eccleston, expungement, unsuitability claim

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