SEC Files Suit Against Massachusetts LPL Financial Advisor Over Alleged Fraudulent Scheme

Posted on June 9th, 2021 at 2:37 PM
SEC Files Suit Against Massachusetts LPL Financial Advisor Over Alleged Fraudulent Scheme

From the Desk of Jim Eccleston at Eccleston Law LLC:

The Securities and Exchange Commission (SEC) filed suit against James Couture after the Massachusetts-based advisor allegedly misappropriated $2.9 million from his clients. From January 2009 to December 2019, Couture fraudulently convinced his clients to sell fractions of their securities holdings and transfer funds to an entity that Couture owned, according to the SEC’s complaint. Couture was associated with LPL Financial from 2009 through 2020. 

Couture allegedly informed clients that the funds would be reinvested to benefit the client; however, Couture utilized the transfers to fund his personal business. Further, Couture regularly provided clients with falsified account statements that reflected the reinvestment strategy. To cover client withdrawals, Couture used assets misappropriated from other advisory clients. The complaint alleges that Couture transferred client funds via a system of third-party accounts to hide the misappropriation and the replacement of funds from one client to another.

Eccleston Law LLC represents investors and financial advisors nationwide in securities, employment, regulatory and disciplinary matters.

Tags: eccleston, eccleston law, sec, lpl financial

Return to Archive



I just received this letter from the CFP Board. Thank you, Thank you, THANK YOU!

David Y


September 20, 2023
SEC Orders Legendary Capital Founder and REIT Advisors to Pay Nearly $5 Million

Corey Maple, co-founder of non-traded REIT sponsor Legendary Capital, has agreed to a $100,000 civil penalty to settle charges brought by the Securities and Exchange Commission (SEC).

September 19, 2023
Reg BI Violations Lead to FINRA's Fine on Another Broker-Dealer

The Financial Industry Regulatory Authority (FINRA) has fined and censured broker-dealer Network 1 Financial Securities and its chief compliance officer for violating Regulation Best Interest (Reg BI).

September 18, 2023
Troubles at an Arizona Park Funded by Municipal Bonds Are a Warning to Investors

The recent financial troubles at a sports arena in Mesa, Arizona, demonstrate that not all municipal bonds are equally safe.