Former Raymond James Adviser Barred For $3 million Ponzi Scheme

Posted on July 2nd, 2014 at 9:00 AM

From the Desk of Jim Eccleston at Eccleston Law Offices:

Claus Foerster, a former Raymond James broker, has been barred from the broker-dealer industry for stealing $3 million from 13 clients since 2000.

Foester began his career at J.C. Bradford in New York in 1989 and was at Citigroup Global Markets Inc. in 2000 when the alleged Ponzi scheme began. He moved to Morgan Keegan & Co. Inc. in 2008 and came to Raymond James on February 2013.

Foerster solicited investments for a purported investment fund known as S.G. Investments, which actually was a bank account Foerster controlled. He instructed the 13 customers to move funds from their brokerage accounts to their personal bank accounts and then write checks payable to S.G. Investments. Moreover, Foerster provided some of the customers with fictitious account statements and provided at least two customers with bogus dividend payments on a monthly basis.

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:

Return to Archive

TESTIMONIALS

Previous
Next

Jim, Stephany and the whole team were a God send.  We felt like we were put into a situation where we had no advocate. Jim’s team came in with a strong, well laid out strategy on how to get our story heard. Where our outside compliance company had no ability to help, our Broker Dealer was impenitent, and the regulators were aggressive pursuing vague rules, Jim came like a barricade against an assault we did not understand. Though you pay member dues to be affiliated with FINRA and a B/D, you have no voice. The only thing that is truly heard in this un-level playing field is a bulldog’s bark like Jim’s. I would encourage anyone to call Jim and his team to find a real ally in the tough and complicated world of securities regulation. They are truly the best.

Greg P.

LATEST NEWS AND ARTICLES

November 8, 2024
Former Advisor Faces Lawsuit Over Alleged Mishandling of Premium-Financed Life Insurance Plan

Joshua L. Gottlieb, barred by FINRA in 2017, faces a lawsuit alleging significant financial harm to a client following the sale of a premium-financed indexed universal life (IUL) insurance program. 

November 7, 2024
Fidelity Data Breach Exposes Sensitive Information of Over 77,000 Customers

According to InvestmentNews, Fidelity Investments recently disclosed a data breach affecting tens of thousands of customers, exposing sensitive personal data such as Social Security numbers and driver’s license information.

November 6, 2024
SEC Bars Advisor for $24 Million Ponzi Scheme Targeting Elderly Investors

The Securities and Exchange Commission (SEC) has barred Paul Horton Smith, a California-based advisor, for orchestrating a $24 million Ponzi scheme that defrauded elderly and retired investors.