"Stock fraud" comes in many colors and flavors, but virtually all forms of it are designed to take advantage of your trust in the broker or financial consultant's skill and expertise in something unfamiliar to you-investing in the stock market. Typically, the broker or financial consultant uses that trust to recommend or cajole the customer into trading stocks without regard for the customer's stated interests, investment objectives, and tolerance for risk. Then, as you start to lose money and call your broker to ask what is going on and why, you are re-assured that "this is normal", "it's just a market correction to ...", and "just hang in there, things will bounce back." You, the customer, listen and follow the instructions because, after all, he is the expert, right?

The size of the "fraud" can range from multi-million dollar deals down to penny stock transactions. The consistent element, however, is the intentional or negligent disregard of the customer's financial circumstances, investment objectives, and risk tolerance by the broker and/or his employer in order to enhance their own financial gain.

Stock fraud can occur at the company level, the branch office manager level, or it can be committed by a single employee or any combination thereof. Some of the more elaborate forms of stock fraud may occur at the corporate/executive level, and in some cases regulators have found that stock fraud was basically a company policy, with many employees taking part in committing or concealing illegal practices. Stock fraud at the higher levels can destroy entire companies by manipulating their stock values, and some stock fraud schemes are actually designed to keep failing businesses funded using the same tactics. Two better known examples of this type of alleged fraud are the Enron and WorldCom debacles.

As the old saw goes, "there is no time like the present." If you feel that you have lost a substantial portion of your retirement or your investment portfolio because of the intentional or negligent disregard by your broker of your financial circumstances, investment objectives, and risk tolerance, please give us a call and give us an opportunity to see if we can help you get your hard earned money back.

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