Broker Charged with Trading Unsuitable Investments in his Customers’ Accounts

Posted on June 6th, 2017 at 2:09 PM
Broker Charged with Trading Unsuitable Investments in his Customers’ Accounts

From the Desk of Jim Eccleston at Eccleston Law LLC:

The SEC charged former broker, Demitrios Hallas, with knowingly or recklessly trading unsuitable investment products in the accounts of five customers and misappropriating more than $170,000 from one of those customers.

More specifically, Mr. Hallas allegedly traded 179 daily leveraged exchange traded funds (ETFs) and exchange traded notes (ETNs) in his customers' accounts, generating commissions and fees of approximately $128,000. Moreover, the trades resulted in a net loss of $150,000 for his five customers. In addition, Mr. Hallas also misappropriated more than $170,000 in funds from one customer and allegedly spent the funds on personal expenses.

The SEC previously issued an Investor Alert warning about excessive trading and churning that can occur in brokerage accounts.

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 advisors including Broker Litigation & Arbitration, Strategic Consulting Services, Regulatory  Matters, Transition Contract Review, 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: Eccleston, Eccleston Law, James Eccleston, Eccleston Law LLC

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