Nas Allan – Nasser Allan, Financial Advisor Suspended from Securities Industry | Goodman & Nekvasil P.A., May Recover Investor Losses
Nas Allan, Nasser Adel Allan, Sean Allan, Steven Allan CRD #4562149
Nas Allan has been licensed with Merrill Lynch since 2015. FINRA reports that Nas Allan was suspended for one month and fined $2,500 in June 2018.
ACCORDING TO FINRA: Nas Allan consented to the sanctions and to the entry of findings that while registered with his member firm, Nas Allan recommended, over an approximate two-month period, that elderly husband and wife customers engage in short-term trading of a single security that they had held for over 36 years, resulting in losses and capital gains tax liability for the customers and generating over $22,000 in commissions, markups and markdowns for Nas Allan. The findings stated that Nas Allan first recommended to the customers that their trust (the Trust) liquidate its position in the stock, worth approximately $191,000 at the time of sale. Approximately one week later, Nas Allan recommended that the Trust repurchase a large position in the stock. Nas Allan again recommended that the Trust sell all of its shares at a price lower than it had paid to repurchase those shares. Nearly two weeks after incurring this loss, Nas Allan again recommended that the Trust repurchase those shares – again at a higher price than what the Trust had recently sold those shares. Nas Allan’s recommendations were unsuitable in light of customers investment profile, lacked an economic rationale, and resulted in unwarranted losses and tax liabilities for the customers. Nas Allan charged more than $22,000 in markups and markdowns on just four transactions. The findings also stated that Allan’s recommendations also failed to take into account the tax status of the customers and the Trust. Specifically, the sale of the shares resulted in an approximate $15,000 capital gains tax liability for the customers because they held the shares at a very low basis, compared to its then-current value. There was no economic rationale for Nas Allan to engage in short-term trading of the shares, thereby exposing his customers to large capital gains tax liability, while Nas Allan charged commissions that wiped out any gains that could have resulted from the round-trip transactions. Fines paid in full on May 30, 2018.
If you lost money on investments with Nas Allan 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 Nas Allan’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 $180 million on behalf of victimized investors. If you lost money on investments with Nas Allan 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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