National investment loss lawyers KlaymanToskes is investigating Ernest Alexander Harris (CRD# 714335) of Union Capital Company, after the Tucson, Arizona-based broker/investment advisor was named in an investor complaint alleging $300,000 in damages due to unsuitable investment recommendations. Harris is also currently registered as an investment advisor in Playa Vista, CA.
Investors that suffered losses with Ernest Harris at Union Capital Company are encouraged to contact attorney Lawrence L. Klayman, Esq., for a free consultation to discuss recovery options at 888-997-9956 or lklayman@klaymantoskes.com. We do not collect attorney’s fees unless we are able to obtain a financial recovery for you.
According to FINRA BrokerCheck, Ernest Alexander Harris has seven public disclosures including five customer complaints, one regulatory action, and one employment separation after allegations. Harris was previously registered with Portsmouth Financial Services in Los Angeles and San Francisco, CA.
Harris’ most recent customer complaint is pending and the customer alleges unsuitable recommendations of “debt-asset backed” financial products and $300,000 in damages to their Union Capital Account. A second investor complaint was settled for $75,000 and alleged misrepresentation with respect to a variable annuity investment. A third complaint settled for $40,900 alleged Harris traded away from his firm through an outside investment.
Harris was discharged from Smith Barney due to allegations that he sold away from the firm. In a regulatory action initiated by the NASD, Harris was suspended for 15 days and fined $9000 in connection with “a loan of $40,000 between an individual and an outside entity for which he received compensation.” Harris allegedly failed to provide prompt written notice of the outside business activity to his firm.
One of the broker’s denied complaints alleged an unsuitable and misrepresented mutual fund investment, while his second denied complaint alleged the inappropriate purchase of an annuity in an IRA account.
In accordance with FINRA Rule 2111 brokers and brokerage firms have a duty to recommend suitable financial products and trading strategies based on their client’s financial interests and needs. Suitability requires that brokerage firms and financial advisors have a “reasonable basis” for recommending investments or investment strategies to their clients.
According to FINRA, a “reasonable basis” requires that a broker/investment advisor must perform “reasonable diligence” to understand the nature of a recommended security, along with the potential risks and rewards.
In addition, the SEC’s Regulation Best Interest (Reg BI) requires brokerage firms and their brokers/financial advisors to make recommendations with their client’s best interest in mind, based upon the client’s needs, age, and investment objectives. KlaymanToskes can help you determine if your investment loss is due to unsuitable investment advice.
If you suffered losses with Ernest Harris and/or any other financial advisor at Union Capital Company, contact attorney Lawrence L. Klayman, Esq. at (888) 997-9956 or by email at lklayman@klaymantoskes.com for a free and confidential consultation. Every case is taken on a contingency basis, meaning we do not collect attorney’s fees unless we are able to obtain a financial recovery for you.
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 more than $250 million for investors in FINRA arbitrations and over $350 million in other securities litigation matters for its clients. 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