Stoltmann Law Offices is investigating Martin David Douglas Andrews, who recently entered into a Letter of Acceptance, Waiver and Consent (AWC) with the Financial Industry Regulatory Authority (FINRA). Andrews was one of three executives at FSTN responsible for the net capital requirements of the trading activity of the Executives and their employees. Allegedly, between July 1st 2009 and August 7th, 2009, Andrews’ Trading Unit established a substantial position in specific high risk internote bonds (CIT bonds) by purchasing lists of bonds. FINRA alleged that during the time period, FSTN did not maintain a sufficient capital cushion to permit the purchase, by the Trading Unit, of these CIT bonds. On August 5th, 2009, the executives agreed to move 56 bonds in equal parts into their personal accounts to avoid further net capital deficiency by FSTN. The executives did not re-calculate the prices for the bonds to reflect current market prices. The executives then agreed to sell the bonds back to FSTN to address the company’s net capital deficiency and to prevent additional ones. This is against securities rules and regulations. For this, Andrews was suspended from the industry for eight months and was fined $60,000.
According to his FINRA BrokerCheck report, Andrews ws registered with Schroder Structured Investments in New York, New York from June 1996 until September 1997, Fieldstone Services Corp in New York from November 2003 until April 2011, Further Lane Securities in New York from June 2011 until March 2014 and Lantern Investments in Melville, New York from March 2014 until September 2015. He is not currently registered with any member firm. He is not licensed within the industry. If you lost money with Andrews, you may be able to sue his former firm, FSTN, for investment losses. They may be liable for losses because of their inability to properly supervise him when he worked there. The call is free.