Did you lose money investing with Ami Forte (CRD# 2457536)?
Galvin Legal, PLLC is launching an investigation on behalf of investors who may have suffered losses investing with Ami Forte. If you suffered losses investing with Ami Forte, then Galvin Legal, PLLC may be able to help you recover your losses in a Financial Industry Regulatory Authority (“FINRA“) arbitration claim.
If you suffered losses and would like a free consultation with a securities attorney, then please call Galvin Legal, PLLC at 1-800-405-5117.
As of October 14, 2020, Ami Forte’s FINRA BrokerCheck Report contains the following:
BARRED: FINRA has barred this individual from acting as a broker or otherwise associating with a broker-dealer firm.
Disclosure Events
1 Customer Dispute(s)
1 Regulatory Event(s)
See FINRA Disciplinary Proceeding No. 2016049321302 Complaint
See FINRA Disciplinary Proceeding No. 2016049321302 OHO Decision
1 Employment Separation After Allegations
UPDATE 10/13/2020: According to FINRA’s February 2019 Disciplinary Actions: “Ami Kathryn Forte (CRD #2457536, Tarpon Springs, Florida) and Charles Joseph Lawrence (CRD #3131566, New Port Richey, Florida) December 20, 2018 – Forte and Lawrence were named respondents in a FINRA complaint alleging that they exploited an elderly customer suffering from severe cognitive impairment by engaging in qualitatively and quantitatively unsuitable trading in the customer’s accounts, generating more than $9 million in commissions. The complaint alleges that Forte and Lawrence controlled the trading in the customer’s accounts, and bought and sold the same securities multiple times over a short period, which resulted in higher commissions and provided little or no economic benefit to the customer. Often, these securities were income-producing bonds, including municipal bonds, intended for customers with long-term investment time horizons, and carried substantial commissions. Lawrence received no commissions from the trading activity in the customer’s accounts; instead, he was paid an annual salary and received a bonus that he negotiated with Forte annually, which ranged from $175,000 to $350,000 in total. Forte and Lawrence also effected short-term purchases and sales of bonds without having reasonable grounds to believe that such purchases and sales were suitable for the customer in view of the nature and frequency of the transactions and the transaction costs incurred, and in light of the customer’s financial situation, investment objectives, circumstances and needs. By excessively trading and churning in the customer’s accounts, Forte and Lawrence willfully violated Section 10(b) of the Securities Exchange Act of 1934, Exchange Act Rule 10b-5, and MSRB Rules G-17 and G-19, and violated FINRA Rule 2020. The complaint also alleges that in the alternative, FINRA alleges that Forte willfully violated MSRB Rule G-17 by aiding and abetting Lawrence’s violation of Section 10(b) of the Exchange Act, Rule 10b-5 thereunder, and FINRA Rule 2020. Forte knowingly or recklessly rendered substantial assistance to Lawrence’s violations by hiring him for the purpose of executing the excessive trading in the customer’s accounts, assisting him in exercising control over the customer’s accounts by exploiting her personal and business relationships, and resulting trust and confidence with the customer, and directing and condoning the excessive trading activity that Lawrence executed. The complaint further alleges that Lawrence repeatedly exercised trading discretion in the customer’s non-discretionary accounts without obtaining written authorization from the customer, supervisory approval of the authorization, or supervisory approval of each use of discretion. In addition, the complaint alleges that Forte engaged in unethical business conduct in willful violation of MSRB Rule G-17 by using her position of trust and confidence to exploit the customer by causing his accounts to be unsuitably and excessively traded for the purpose of generating excessive commissions for herself. (FINRA Case #2016049321302 Complaint and OHO Decision)
Current and Previous Registrations
03/21/2018 – 10/17/2018 PINNACLE INVESTMENTS, LLC (CRD#:142910) SYRACUSE, NY
06/01/2009 – 04/22/2016 MORGAN STANLEY (CRD#:149777) PALM HARBOR, FL
04/02/2007 – 06/01/2009 MORGAN STANLEY & CO. INCORPORATED (CRD#:8209) PALM HARBOR, FL
01/14/2000 – 04/02/2007 MORGAN STANLEY DW INC. (CRD#:7556) PALM HARBOR, FL
04/01/1998 – 01/21/2000 BANC OF AMERICA INVESTMENT SERVICES, INC. (CRD#:16361) BOSTON, MA
04/29/1997 – 04/01/1998 BARNETT INVESTMENTS, INC. (CRD#:14897)
JACKSONVILLE, FL
05/02/1995 – 05/12/1997 SMITH BARNEY INC. (CRD#:7059) NEW YORK, NY
05/31/1994 – 05/04/1995 PRUDENTIAL SECURITIES INCORPORATED (CRD#:7471) NEW YORK, NY
If you suffered losses and would like a free consultation with a securities attorney, then please call Galvin Legal, PLLC at 1-800-405-5117.
Due Diligence Requirement
FINRA requires broker’s to conduct due diligence on investments and to conduct a suitability analysis when recommending securities to a customer that takes into account the customer’s knowledge and experience. FINRA Rule 2111(a) states that “a member or an associated person must have a reasonable basis to believe that a recommended transaction or investment strategy involving a security or securities is suitable for the customer, based on the information obtained through the reasonable diligence of the member or associated person to ascertain the customer’s investment profile. A customer’s investment profile includes, but is not limited to, the customer’s age, other investments, financial situation and needs, tax status, investment objectives, investment experience, investment time horizon, liquidity needs, risk tolerance, and any other information the customer may disclose to the member or associated person in connection with such recommendation.”
Rule 2111 is composed of three main obligations: reasonable-basis suitability, customer-specific suitability, and quantitative suitability. Brokers and the brokerage firms they work for that fail to conduct adequate due diligence on investments they recommend or that make unsuitable recommendations can be held responsible for the customer’s losses in a FINRA arbitration claim.
If you suffered losses and would like a free consultation with a securities attorney, then please call Galvin Legal, PLLC at 1-800-405-5117.
Request a Free Consultation with a Securities Attorney
If you suffered losses investing with Ami Forte and would like a free consultation with a securities attorney, then please call Galvin Legal, PLLC at 1-800-405-5117.
This information is all publicly available and is being provided to you by Galvin Legal, PLLC.
Galvin Legal, PLLC is a national securities arbitration, securities mediation, securities litigation, securities fraud, securities regulation and compliance, and investor protection law practice. For more information on Galvin Legal, PLLC and its representation of investors, please visit www.galvinlegal.com or call 1-800-405-5117.
