Arthur Meunier, Financial Advisor Arthur Meunier Suspended from Securities Industry | Goodman & Nekvasil P.A., May Recover Investor Losses
Goodman & Nekvasil P.A., May Recover Investor Losses | Arthur Meunier, Financial Advisor Arthur Meunier Suspended from Securities Industry
Arthur Meunier CRD #5726300
Arthur Meunier was previously licensed with Morgan Stanley.
According to FINRA: Arthur Meunier consented to the sanctions and to the entry of findings that he engaged in an outside business activity involving a blockchain technology. The findings stated that Meunier's member firm's written supervisory procedures (WSPs) required that all firm employees request and receive approval from the firm prior to engaging in any outside business activity. The WSPs also required firm employees to ensure that the information regarding their outside business activities remained current and accurate and to report any material changes to the firm. The findings also stated that Meunier began developing the blockchain technology and network originally intended for use in connection with certain over-the-counter securities transactions. Meunier invested approximately $80,000 of his own funds into developing the technology, launched a website and Twitter account, assembled a team of advisors, and published two position papers describing the blockchain technology and its application as a self-amending crypto-ledger. Meunier published his website, Twitter feed and position papers under the name "L.M. Goodman", and used e-mail addresses associated with L.M. Goodman for blockchain technology related correspondence.
According to FINRA: Arthur Meunier continued the blockchain technology related business activities, retaining a chief operations officer, developing a business plan and valuation (the Business Plan), and presenting the Business Plan to twelve prospective individual and institutional investors, including four clients of his firm. The Business Plan described Meunier as the blockchain technology chief executive officer and his experience in the securities industry. The Business Plan sought to raise $5 to $10 million in working capital and described how the technology would use the funds to finance its business operations, which included Meunier's proposed salary of approximately $200,000 per year. Meunier also formed Dynamic Ledger Solutions, Inc. (DLS), a Delaware corporation, serving as its sole director and owner. The findings also included that although Meunier knew he was required to disclose any outside business activity, he did not tell the firm about his blockchain technology related activities. Outside of his meetings with prospective investors, Meunier only publicly associated himself with the blockchain technology after his employment with the firm ended. As a result, his use of the L.M. Goodman pseudonym to promote the technology effectively concealed Meunier's involvement with the blockchain technology from the firm.
According to FINRA: Meunier did not notify his firm at any time that he was engaging in these outside business activities. Meunier also falsely attested on two firm questionnaires that he had disclosed all of his outside business activities to the firm. FINRA found that Meunier created and distributed the Business Plan to prospective investors on a confidential basis so they could consider an investment in the blockchain technology. The Business Plan failed to provide a balanced presentation and sound basis for evaluating an investment in the technology. Although the Business Plan described its revenue assumptions as "pessimistic," "neutral" and "optimistic," it did not discuss all of the circumstances in which the technology might not realize the projected revenues and/or future value and failed to balance its positive discussions about the company with adequate risk disclosures that explained the speculative nature of the proposed investment. The Business Plan also contained forward-looking predictions of the company's performance and potentially misleading statements. However, at that time, the blockchain technology was still developing, had no revenues, and its future performance was conditioned on, among other things, building a portfolio of users and raising working capital.
If you lost any money on investments with Arthur Meunier, you may be able to recover your losses. If you lost money on investments with Arthur Meunier and believe that the investments may have been unsuitable or otherwise improper for you, we would like to discuss the possibility of your retaining our firm to represent you in an arbitration action concerning Arthur Meunier’s conduct. There is no charge for an evaluation of your case. Further, we handle our cases on a contingency fee basis. This means that unless we recover money for you, we charge no attorney’s fee. Unless you recover any money, you pay us nothing, not even the costs and expenses which the firm will advance on your behalf.
Goodman & Nekvasil, P.A. has recovered more than $180 million on behalf of victimized investors. If you lost money on investments with Arthur Meunier and would like your case evaluated by a securities attorney (again, there is no charge for an evaluation and all cases are handled on a purely contingency fee basis), please contact us.
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