On behalf of Mihalek Law posted in Securities Law on Friday, February 27, 2015.
In a previous post we wrote about a case in which the funds of an elderly client were taken by her broker. According to the Financial Industry Regulatory Authority, the broker took a total of $88,850 from the woman over the course of 20 months. As a result of elder abuse activities like that, a new study recently determined that there was a significant increase in the fines imposed by FINRA in 2014.
Information used in the study was culled from reported cases, press releases and FINRA’s monthly disciplinary notices. The study found that in 2014, fines from cases involving allegations from retirees and seniors, totaled $8 million. This is a big difference from the amount of fines assessed the previous year for the same thing–$213,000.
The study uncovered other information that could be of interest to readers. While the number of individuals working in the field who were barred or suspended, increased by 12 and 5 percent, respectively, the number of firms that FINRA expelled actually declined by 25 percent.
These results should send a message to both investors and firms that FINRA is taking action against both individuals and firms that are accused of wrongdoing against retirees and seniors.
At that stage of life many seniors could be concerned about making sure they have enough money to financially cover the years they have remaining on the earth. After years of taking steps to ensure this, to have someone they trusted take anything away is particularly upsetting. Those who find themselves in this situation could benefit from speaking with a lawyer.