National investment loss lawyers KlaymanToskes is investigating former broker/investment advisor Austin Dutton (CRD# 2739167) after the law firm’s filing of several customer complaints (Case no. 24-01562, Case no. 24-00326) on behalf of clients who were recommended to invest in unsuitable and illiquid investments at American Trust Investment Services and Newbridge Securities.
KlaymanToskes is currently representing several customers of Austin Dutton Jr., including firefighters and law enforcement officers who suffered losses at American Trust Investment Services and Newbridge Securities in Philadelphia, PA and surrounding areas.
Dutton was previously registered as a broker/investment advisor with American Trust Investment Services from 2020 to 2022 in Whiting, IN and Doylestown, PA. He was also registered with Primex from 2019 to 2020 in New York, NY.
Investors that suffered losses with Austin Dutton and/or any other broker at American Trust Investment Services, Inc. may have potential recovery options. Contact attorney Lawrence L. Klayman, Esq., at 888-997-9956 or investigations@klaymantoskes.com for a free consultation to discuss legal options. We do not collect attorney’s fees unless we are able to obtain a financial recovery for you.
According to FINRA BrokerCheck, former American Trust Investment Services broker Austin Richard Dutton has 32 customer complaints, and is currently facing three pending customer complaints, which allege causes of action including Breach of Fiduciary Duty, Negligence, and Failure to Supervise. Dutton’s most recent complaint alleges investor damages of $100,000, while two other complaints allege damages of $500,000 and $100,000, respectively.
In a recent FINRA arbitration Award, Austin Richard Dutton was ordered to pay a customer $43,644.69 in compensatory damages. The customer previously filed a complaint against Dutton, Primex, and American Trust Investment Services Inc., which alleged securities violations related to recommendations to invest in GWG L bonds.
Nearly three years after GWG filed for bankruptcy, the GWG Wind Down Trust has confirmed that L Bondholders will receive only approximately three cents for every dollar invested after deductions. To put this into perspective, a $100,000 investment in GWG L Bonds will yield approximately $3,000 in recovery from the bankruptcy. Given this outcome, investors must act quickly to explore recovery options. Recoveries in FINRA arbitration claims against the brokerage firms that recommended these risky investments generally yield greater results than other avenues of recovery.
Broker Austin Richard Dutton Jr. (CRD# 2739167) of Mechanicsburg, Pennsylvania, has been suspended indefinitely by FINRA according to BrokerCheck records.
Dutton was first registered as a broker with FINRA in 2009 and has since worked for several firms, including Newbridge Securities Corporation, where he was most recently employed.
According to BrokerCheck, Dutton has faced regulatory action twice. In 2017, Stefanie Hamilton, Deputy Chief Counsel for the Pennsylvania Department of Banking and Services, initiated regulatory action against Dutton. She alleged that Dutton had recommended the purchase of a security to at least one customer without reasonable grounds to believe the investment’s suitability for the customer based on their investment objectives, financial situation, and needs, or other information.
As a result, Dutton was ordered to pay an administrative assessment of $200,000 to the Department and his employer, Newbridge Securities, was fined $499,000 for its failure to reasonably supervise the broker/advisor.
In 2021, FINRA initiated a formal investigation of Dutton with its recommendation that disciplinary action be brought against the broker. The agency alleged Dutton had violated FINRA Rules 2111 (requiring that brokers make suitable recommendations to customers based on reasonable diligence); 2010 (“Standards of Commercial Honor and Principles of Trade” rule broadly designed to punish unethical behavior); and 4511 (requiring the making and preserving of books and records for a minimum of six years).
The 2021 investigation is still pending, but in October 2023, FINRA initiated another formal investigation of Dutton. This investigation was triggered by the authority’s allegations that the broker had violated FINRA Rules 8210 and 2010 after failing to timely respond to requests for information and documents. This investigation is also pending.
As an investor, there are a few signs that you should look out for if you believe you may have a claim against Austin Dutton Jr. These signs could potentially indicate misconduct, negligence, or investment fraud. Investors are encourage to contact our firm immediately if you have experienced any of the following:
Dutton reportedly reached out to retired members of the Philadelphia Fraternal Order of Police and the Philadelphia Firefighters and Paramedics Union, offering them retirement consultation services. While some investors have close relationships with their brokers due to the time and trust built over the course of their investment relationship, it is crucial to remember that financial decisions should be based on careful analysis and due diligence.
Engaging the services of an experienced securities attorney to evaluate your specific circumstances is strongly advised. At KlaymanToskes, our team of experienced attorneys has a deep understanding of this complex area of law, allowing us to provide invaluable insight and tailored guidance that directly addresses your individual needs.
If you suffered losses with broker Austin Dutton Jr., or have concerns regarding your investment portfolio at American Trust Investment Services, contact KlaymanToskes at 888-997-9956 or fill out a short contact form for a free and confidential consultation.
KlaymanToskes is a leading national securities law firm which practices exclusively in the field of securities arbitration on behalf of retail and institutional investors throughout the world in large and complex securities matters. The firm has recovered over $250 million in FINRA arbitrations and over $350 million in other securities litigation matters. KlaymanToskes has office locations in California, Florida, New York, and Puerto Rico.
KlaymanToskes, P.A.
Lawrence L. Klayman, Esq.
888-997-9956
lklayman@klaymantoskes.com
www.klaymantoskes.com