Douglas Szempruch – Financial Advisor/Broker Douglas Szempruch Suspended from Securities Industry | Goodman & Nekvasil P.A., May Recover Investor Losses
Douglas Szempruch is a previously licensed financial advisor with Aegis Capital Corp.
According to FINRA, Douglas Szempruch was suspended from the securities industry for twelve months in July 2021.
According to FINRA Allegations:
Szempruch consented to the sanctions and to the entry of findings that he engaged in quantitatively unsuitable trading in customer accounts. The findings stated that each customer had an investment objective of growth or balanced growth and a risk tolerance of moderate. Szempruch recommended the trading in the customer accounts and the customers routinely followed his recommendations. In addition, Szempruch exercised discretion when executing trades in these customers’ accounts and, as a result, exercised de facto control over their accounts. Szempruch’s trading in the accounts was excessive and unsuitable given the customers’ investment profiles. The customers paid $127,198 in commissions and suffered $157,605 in losses. The findings also stated that Szempruch exercised discretion to effect trades in customer accounts without the customers providing prior written authorization for him to exercise discretion and without his member firm accepting any of the accounts as discretionary accounts. The findings also included that Szempruch sent emails to prospective customers making misleading statements concerning investments in a company. Specifically, Szempruch inaccurately represented that he had visited the company’s production facility, met with and was in direct communication with the company’s management, was participating in weekly calls with the company’s management, and had first-hand information about the company. In fact, although Szempruch was invited to visit the company’s facilities, he did not attend and was instead briefed later by colleagues who did make the trip. Szempruch also did not directly communicate with the company’s management but instead closely followed the company. Although Szempruch understood that colleagues at the firm had begun conducting periodic status conferences with the company’s management, the company’s management ceased participating in the conferences shortly after executing an agreement with the firm. Szempruch thus did not have direct or first-hand information about the company, and misleadingly described his relationship and interactions with the company and its management.
Goodman & Nekvasil, P.A. May Recover Investor Losses:
If you lost money on investments with Douglas Szempruch and believe 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 Douglas Szempruch’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.
Kalju Nekvasil, Esq., formerly regional counsel with the NASD, now known as FINRA, has practiced in this area of the law for more than 35 years. Goodman & Nekvasil, P.A. has recovered more than $200 million on behalf of victimized investors. If you lost money on investments with Douglas Szempruch 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.