Steven Robert Luftschein (Steven Lerner) Financial Advisor/Broker Steven Lerner Named Respondent in FINRA Complaint | Goodman & Nekvasil, P.A. May Recover Investor Losses
Steven Lerner was a previously licensed financial advisor/broker with Joseph Stone Capital LLC and Aegis Capital Corp. According to FINRA, a complaint was filed involving Steven Lerner.
According to FINRA:
Lerner was named a respondent in a FINRA complaint alleging that he willfully violated Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder, and violated FINRA Rule 2020 by churning in customers’ accounts at his member firm. The complaint alleges that Lerner controlled the volume and frequency of trading in the customers’ accounts, deciding what securities to buy and sell, the quantities, the price, and when each transaction would occur. Lerner also frequently made unauthorized trades in these accounts. Lerner deliberately incurred unreasonably high trading costs in the customers’ accounts, which made it virtually impossible for the accounts to be profitable. Indeed, Lerner trading in the customers’ accounts caused more than $261,000 in losses, while Lerner received substantial income from trading the accounts. Lerner also masked the true costs of his trading from customers by placing a high percentage of the trades as riskless principal trades. The complaint also alleges that Lerner’s trading in the customers’ accounts was excessive and quantitatively unsuitable for the customers, as evidenced by high annualized turnover rates and cost-to-equity ratios, the size and frequency of the transactions, the transaction costs incurred and the customers’ investment objectives and needs. Lerner did not have a reasonable basis to believe that his trading was suitable. The complaint further alleges that Lerner effected trades in the customer accounts without first discussing with, and obtaining authorization from, the customers. None of the customer accounts were listed as discretionary accounts. The customers never gave Lerner discretionary trading authority.
Goodman & Nekvasil P.A. May Recover Investor Losses
If you lost money on investments with Steven Lerner 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 Steven Lerner’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 Lerner 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.
Some of the information in this blog post was obtained on 7/30/2020 directly from FINRA BrokerCheck, without any changes. If you believe this information was reported incorrectly, please contact our firm at 1-800-500-4442.