Stoltmann Law Offices is investigating Michael Spolar, a former registered representative of LPL in Beachwood, Ohio. Spolar has been accused of making unsuitable and unauthorized investments that resulted in losses, “forged new account documentation and recommended unsuitable products based on the client’s previous goals and objectives,” participated in discretionary trading in brokerage accounts in violation of firm policy, recommended unsuitable stock, misrepresented material facts, and made unsuitable recommendations in connection to the sale of an auction rate security prior to the widespread breakdown of liquidity in the market for auction rate securities, among other transgressions. An adversary action was filed against him by Chagrin County Fireman’s association for fraud and breach of fiduciary duty. Some of his complaints against him claim that he recommended unsuitable investments in Walter Energy (now bankrupt,) Cliffs Natural Resources, and Galectin Therapeutics, which are all illiquid and risky investments, and not suitable for all investors. Many oil, gas and energy investments especially have suffered immensely, due to the fall in oil prices.
A broker must take into account his client’s investment objectives, age, net worth, and investment sophistication before recommending a security. If he does not, his brokerage firm may be responsible for losses, as it had a duty to reasonably supervise him while he was employed there. We are Chicago-based securities attorneys who sue firms like LPL in the Financial Industry Regulatory Authority (FINRA) arbitration forum on a contingency fee basis for investors who need to recover their losses. Please call today. 312-332-4200. There is no obligation with the call.
According to his online FINRA BrokerCheck report, Spolar was registered with Lehman Brothers in New York, New York from December 1991 until July 1993, Citigroup Global Markets in New York from July 1993 until September 2005, Merrill Lynch in Pepper Pike, Ohio from September 2005 until October 2008, Morgan Stanley in Beachwood, Ohio from October 2008 until March 2013 and LPL in Beachwood from February 2013 until May 2015. He is currently registered with International Assets Advisory in Orlando, Florida and has been since April 2015. He has six customer disputes against him, two of which are currently pending.