Articles Tagged with Security First Financial

AdobeStock_49363801-1-300x200Stoltmann Law Offices continues to investigate Jon Schmidhammer, a former broker with Stifel, Nicolaus & Company. He was permanently barred from the industry. Schmidhammer was accused of acting negligently, unsuitably managing investments, executing unauthorized trades, breaching contract, breaching fiduciary duty, converting funds and violating the Ohio Securities Act. These are all against securities rules and regulations. His former firm, Stifel Nicolaus had an obligation to reasonably supervise him while he was employed with it, and because it did not, can be held liable for investment losses. We are Chicago-based securities attorneys who bring legal claims against firms on a contingency fee basis. Please call 312-332-4200 today to find out how you can recover your investment losses. The call is free with no obligation.

Schmidhammer was registered with Security First Financial, Advest Inc., Lehman Brothers, Salomon Smith Barney, UBS, Merrill Lynch and Stifel, Nicolaus in Dublin, Ohio from May 2009 until August 2016. He has one customer dispute against him. He has been permanently barred from the industry.

Stoltmann Law Offices is investigating Jon Schmidhammer, a registered broker with Stifel, Nicolaus & Company in Dublin, Ohio. Schmidhammer was arrested yesterday in Upper Arlington, Ohio, after confessing to stealing more than $500,000 from one of his elderly clients. Upper Arlington, Ohio police revealed that PNC Bank officials met with the 81-year-old client after there was suspicious bank activity in her account and checks written from it. The woman revealed that she did not consent to money being taken out of her account. Schmidhammer was accused of the theft, and confessed to the crime after being confronted by police. He told authorities and bank officials that he transferred the $500,000 in question from another financial institution to a PNC bank and then withdrew it for himself. He has since been charged with theft.

Previously, in 2004, Schmidhammer was the subject of a regulatory action and was sanctioned $10,000 for inappropriately extending credit to a customer to satisfy margin requirements and for misleading his firm, Salomon Smith Barney, in an attempt to avoid detection. In 2001, there was a separate dispute against him, while he was employed with Salomon Smith Barney.

According to Jon Schmidhammer’s Financial Industry Regulatory Authority (FINRA) online, public BrokerCheck report, he was previously registered with Security First Financial from September 1986 until August 1987, Advest Inc. in Hartford, Connecticut from October 1987 until July 1992, Lehman Brothers in New York, New York from June 1992 until July 1993, Salomon Smith Barney in New York from July 1993 until August 2002, UBS in Weehawken, New Jersey from August 2002 until November 2004, Advest in Hartford from November 2004 until March 2006 and Merrill Lynch, Pierce, Fenner & Smith Inc. in Upper Arlington, Ohio from March 2006 until May 2009. As of today, he is still listed as being registered with Stifel, Nicolaus in Dublin, Ohio since May 2009.

Elderly investors can sue brokerage firms like UBS and Morgan Stanley for claims related to the financial abuse of the elderly. A recent case illustrates how firms like UBS and Morgan Stanley can be held liable through the FINRA arbitration process. Stoltmann Law Offices is investigating John Anthony Waszolek, a former broker with UBS Wealth Management, for allegedly attempting to make himself a beneficiary in the will of an 81-year old wealthy client with Alzheimer’s disease and dementia, who was also legally blind. Waszolek attempted to inherit more than $1.8 million from the client’s estate. Waszolek allegedly did succeed in becoming a successor trustee of the client’s trust, and he did become healthcare power of attorney over said client. Waszolek did not disclose to his current firm at the time, UBS Wealth Management, that he he became a successor trustee, or that he was healthcare power of attorney. His other former firm, Morgan Stanley Smith Barney, provided him with a questionnaire, on which he was supposed to disclose those facts, but did not. The questionnaire also specifically asked whether he had been named a beneficiary of any other non-family member account or whether he functioned as a fiduciary for any firm customer, and he answered no to both questions, which was a false statement.

The client was diagnosed with Alzheimer’s disease in 2008, and one month after her diagnosis, Waszolek met with an estate planning attorney to have himself named as her agent and power of attorney, as well as to have her trust be amended to name him as a residual beneficiary. The attorney declined because of his knowledge of the client’s dementia diagnosis and her alleged diminished capacity to have the foresight to allow Waszolek to be a beneficiary of her estate. Upon securing his beneficiary status after contacting another attorney, Waszolek immediately resigned from UBS and went to work for Morgan Stanley.

Mr. Waszolek was registered with Merill Lynch, Security First Financial, Paine, Webber, Jackson & Curtis Inc., UBS and Morgan Stanley and has been a registered representative within the industry since October 1974. He is currently registered with Raymond James & Associates in Scottsdale, Arizona, and has been since February 2012. He has two customer disputes against him, neither of which is pending.

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