National investment loss lawyers KlaymanToskes is investigating broker Richard Michalski (CRD# 4588706) of Laidlaw & Company.
Broker Richard Michalski of Laidlaw & Company is facing an investor complaint alleging $399,000 in damages. According to FINRA BrokerCheck, Richard G. Michalski is currently registered as a broker with Laidlaw & Company in New York, NY.
On November 20, 2023, Michalski settled an SEC action (without admitting or denying) over excessive, commission-driven trading recommendations to four retail customers, resulting in a censure, a six-month industry suspension, and payments totaling $137,020.10 (disgorgement, interest, and penalty).
SEC Regulation Best Interest, a/k/a “Reg BI” establishes a “best interest” standard of conduct for brokers and brokerage firms making recommendations of securities investments and investment strategies to their customers, under the Securities Exchange Act of 1934.
Under Reg BI, brokers and financial advisors must consider an investment’s risk, ensure that they do not misrepresent material facts, and/or overconcentrate the customer’s portfolio in unsuitable investments. Further, financial professionals and their firms cannot disregard a customer’s risk-tolerance when making suitable investment recommendations.
Investors that suffered losses with broker Richard Michalski are encouraged to contact attorney Lawrence L. Klayman, Esq., at 888-997-9956 or by email at investigations@klaymantoskes.com to discuss potential recovery options. We do not collect attorney’s fees unless we are able to obtain a financial recovery for you.
Broker Richard Michalski Hit with $399k Investor Complaint
According to FINRA BrokerCheck, broker Richard Michalski is currently involved in an investor dispute alleging $399,000 in investor damages. The client alleges breach of fiduciary duty from 2018 to 2023. The broker’s comment listed on the disclosure states: “The matter will be defended vigorously. I deny the allegations and I had very little involvement/interactions with the client.”
In November 2023, Michalski was suspended by the United States Securities and Exchange Commission for six months and was ordered to pay $44,253 in civil and administrative penalties and fines, $88,506 in disgorgement, and a $4,260.55 monetary fine.
Signs Investors Should Look Out For About Their Brokerage Accounts
As an investor, there are a few signs that you should look out for if you believe you may have a claim against your financial advisor. These signs could potentially indicate misconduct, negligence, or investment fraud. Investors are encouraged to contact our firm immediately if you have experienced any of the following:
- You have substantial losses in your investment accounts
- You received a call, email, or other communication from your broker’s supervisor or manager regarding your portfolio
- Your broker misrepresented investment opportunities, or failed to disclose details about investments
- You notice unauthorized transactions in your investment accounts
- Your broker is not returning your calls or emails
- You filed a complaint with your brokerage firm that has not been resolved
Some investors have close relationships with their brokers due to the time and trust built over the course of their investment relationship. However, it is crucial to remember that financial decisions should be based on careful analysis and due diligence rather than solely relying on personal relationships.
According to FINRA, brokerage firms such as Laidlaw & Company are responsible for the supervision of all of the activities of their registered brokers and investment advisors. Investors may be entitled to a financial recovery if their brokerage firm failed to supervise the representative managing their brokerage account, and/or if their broker/advisor made unsuitable investment recommendations.
Engaging the services of an experienced securities attorney to evaluate your specific circumstances is strongly advised. At KlaymanToskes, our team of experienced securities 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 Richard Michalski, or have concerns regarding your investment portfolio at Laidlaw & Company, contact KlaymanToskes at 888-997-9956 or fill out a short contact form for a free and confidential consultation.
