UBS Advisor Joins U.S. Capital After Contentious Compliance Review

Posted on May 19th, 2022 at 1:48 PM
UBS Advisor Joins U.S. Capital After Contentious Compliance Review

From the Desk of Jim Eccleston at Eccleston Law:

A UBS Wealth Management advisor who generated $3 million in annual revenue has joined U.S. Capital Wealth Advisors, which is a regional Texas-based firm run by a former UBS manager. 

Stephen Tolbert, who oversaw $300 million in client assets, joined U.S. Capital in Houston, according to the firm’s CEO Patrick Mendenhall. Mendenhall departed UBS in 2009 and subsequently launched U.S. Capital not long after Mendenhall recruited Tolbert to UBS. Tolbert reportedly did not plan to leave UBS, but was prompted to join U.S. Capital after a routine compliance review became contentious, according to Mendenhall. UBS officials were allegedly concerned that Tolbert was not “forthcoming” when they requested permission to review two laptops Tolbert used to work remotely. Tolbert believed that he had not violated any rules, which prompted him to “push back”, and examiners claimed he was being “combative”, according to Mendenhall. 

UBS might have been concerned that Tolbert was planning to depart the firm or subsequently reveal confidential client information. However, U.S. Capital’s attorneys examined the issue and determined that there was no regulatory violation or customer privacy risk, according to Mendenhall. 

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

 
 

Tags: eccleston law, ubs, advisor

Return to Archive

TESTIMONIALS

Previous
Next

If you find yourself in trouble with the regulators, call Eccleston Law, you won't regret it.

Rick R.

LATEST NEWS AND ARTICLES

June 27, 2025
FINRA Sanctions Advisor for Accepting $1 Million Inheritance from Client Without Firm Approval

FINRA has fined and suspended veteran advisor Kenneth J. Malm for accepting a $1 million inheritance from a client without receiving the necessary firm approval.

June 26, 2025
SEC Charges Marine Veteran in $2.5 Million Ponzi Scheme

The Securities and Exchange Commission (“SEC”) has charged Marine Corps veteran Christopher Aubin with fraud, accusing him of running a $2.5 million Ponzi scheme that defrauded dozens of investors, including several of his former military colleagues.

June 25, 2025
FINRA Fines and Suspends Advisor for Selling Away and Receiving Client Loans

The Financial Industry Regulatory Authority (“FINRA”) has sanctioned Jose Antonio “Tony” Navarro for selling unapproved investments and borrowing funds from clients.