New York, NY (PRWEB) May 20, 2013
Zamansky & Associates LLC announces that it is investigating VSR Financial Services and financial advisor Michael David Shaw over alleged possible wrongdoing in connection with sales of alternative investments, hedge funds, notes, REITs and private placements.
On May 15, 2013, the Financial Industry Regulatory Authority (“FINRA”) Department of Enforcement accepted a Letter of Acceptance, Waiver and Consent from brokerage firm, VSR Financial Services, in which it agreed to a censure and fine of $550,000 to settle allegations that it failed to sufficiently supervise its sales of alternative investments to its brokerage customers, particularly as it related to concentration in these investments. According to the AWC, Donald Beary, VSR’s President, also agreed to a 45-day suspension and $10,000 fine. The case is FINRA No. 2010022963602.
Additionally, Michael Daniel Shaw, a financial advisor at VSR’s branch in Baton Rouge, Louisiana, also previously submitted a Letter of Acceptance, Waiver and Consent ("AWC") in October 2011, in which he agreed to be barred from association with any FINRA member in any capacity. In his AWC, without admitting or denying the findings, Shaw consented to the entry of findings that he recommended and effected the sale of high-risk private placements to customers without having a reasonable basis to believe the transactions were suitable given the customers' financial circumstances and conditions. According to the AWC, Shaw made material misrepresentations or omissions in connection with the purchases or sales in connection with the private placements The case is FINRA No. 2010022963601.
“Private or alternative investments can take the form of hedge funds, private placements, notes, and REITs and can be highly speculative and risky,” according to Jake Zamansky. “They are simply not suitable or appropriate for conservative investors or even moderate investors in large percentages,” Zamansky states. Any investor who is in such an investment who does not understand the risks, should get his or her investment reviewed by a professional, according to Zamansky.
What Investors Can Do
If you a brokerage customer of VSR who purchased an alternative investment such as a hedge fund, private placement, a note or a REIT, and you have suffered a loss, or wish to have your investment reviewed, you may email jake(at)zamansky(dot)com or call the law firm at (212) 742-1414.
About Zamansky & Associates LLC
Zamansky & Associates LLC is one of the leading law firms specializing in securities fraud and class action litigation. Our attorneys represent both individual and institutional investors. Our practice is nationally recognized for our ability to aggressively prosecute cases and recover losses.
Zamansky & Associates, LLC
50 Broadway - 32nd Floor
New York, NY 10004
Jake Zamansky, 212-742-1414