Ex-LPL Broker Pleads Guilty to Investment Fraud

Posted on November 25th, 2014 at 9:26 AM

From the Desk of Jim Eccleston at Eccleston Law Offices:

Blake Richards, a former broker for LPL Financial LLC, will pay more than $1.9 million in restitution to his clients to resolve an SEC fraud suit against him.

According to the SEC, since 2008, Richards misappropriated approximately $2 million from at least six investors, who typically handed over to him their retirement savings or life insurance proceeds from deceased spouses.

Richards instructed the investors to write out checks to one of two entities called “Blake Richards Investments” or “BMO Investment”. He told investors he would put their funds in fixed-income assets, variable annuities and other securities, but never did so. He then "siphoned off" their money for his personal use.

FINRA barred Richards from the industry in September, 2013.

The attorneys of Eccleston Law Offices represent investors and advisers nationwide in securities and employment matters. Our attorneys draw on a combined experience of nearly 50 years in delivering the highest quality legal services.

Related Attorneys: James J. Eccleston

Tags: LPL Financial, SEC, James Eccleston, Eccleston Law

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