The Law Firm of David R. Chase, P.A., headed by a former SEC Enforcement Attorney, announces that it has filed a FINRA arbitration claim on behalf of an elderly widow against Next Financial Group, Inc. alleging that its then associated person, Steven Cohen, made unsuitable sales recommendations and material misrepresentations in connection with those recommendations. According to the claim's allegations, Cohen convinced his elderly client to obtain a reverse mortgage on her fully owned condominium so that he could invest the loaned funds in, among other investments, high-risk reverse convertible securities, almost all of which he lost. The claim further alleges the reverse convertible securities were blatantly unsuitable for the client, that they were improperly over-concentrated in the client's portfolio and that their material risks were not disclosed. Next Financial Group, Inc. is legally responsible for Cohen's actions for failing to reasonably supervise his activities and under the doctrine of respondeat superior, according to the claim.
The FINRA arbitration claim seeks compensatory and punitive damages, and other relief against Next Financial Group, Inc.
If you lost money with Steven Cohen at Next Financial Group, Inc., please contact me for a free and confidential case evaluation.
