According to a recent Securities and Exchange Commission (SEC) complaint, Richard G. Cody was accused of defrauding at least three of his clients for years by concealing the fact that their retirement accounts had suffered extensive losses, and the monthly payments they were receiving were exhausting their retirement savings. Cody allegedly also made materially misleading statements, leading the clients to believe their investments were maintaining steady value and that their monthly withdrawals were being financed by investment gains. In reality, the clients account values were being rapidly depleted. Cody allegedly made wire transfers of monthly deposits to his client’s bank accounts from sources and from their own retirement accounts so they would not be aware their funds had run out. He also sent clients fabricated tax forms which purported to show retirement account distributions and tax withholding in order to disguise the fact that the accounts were empty. On one occasion, Cody told a client that he had $1.28 million in their account, when, in reality they had only $162,560. This is against securities rules and regulations.
Cody was registered with Merrill Lynch, Salomon Smith Barney, Leerink Swann & Co., Gunnallen Financial, Westminster Financial, Concorde Investment Services and IFS Securities in Spring Lake, New Jersey from August 2016 until September 2016. He has six customer disputes against him, four of which are currently pending. This is according to his online Financial Industry Regulatory Authority (FINRA) BrokerCheck report. Please call us today if you suffered losses with Mr. Cody. We may be able to help you bring a claim against him for investment losses suffered. The call is free with no obligation so please call today.