Cambridge Investment Research Sued By Investors For Fraud

Dale Edward Wright of Henrico Virginia a stockbroker currently registered with Cambridge Investment Research Inc. is referenced in a customer initiated investment related arbitration claim in which the customer requested $112,164.00 in damages supported by accusations that (1) trades executed in the customer’s account were not suitable for the customer (2) fiduciary duties were breached (3) misrepresentations had been made to the customer concerning terms and conditions of investments (4) oil & gas and insurance transactions were executed in violation of Virginia Securities Act and (5) the customer had been defrauded. FINRA Arbitration No. 18-04218 (Jan. 4, 2019).

Financial Industry Regulatory Authority (FINRA) Public Disclosure reveals that Wright has been identified in eight more customer initiated investment related disputes pertaining to allegations of his misconduct while employed with Cambridge Investment Research and National Planning Corporation. In particular, a customer initiated investment related arbitration claim concerning Wright’s activities was settled for $50,000.00 in damages founded on accusations of unsuitability in regard to the customer’s purchase of life insurance policies and stock market investments. FINRA Arbitration No. 15-01224 (Mar. 31, 2016).

Subsequently, a customer filed an investment related arbitration claim involving Wright’s activities where the customer requested $500,000.00 in damages supported by accusations that Wright inappropriately recommended that customers purchase life insurance policies and then borrow against those policies; and misrepresented the nature of the customer’s life insurance purchases being made to produce funds for the customers’ other securities investments. FINRA Arbitration No. 18-00044 (Jan. 25, 2018). Another customer initiated investment related arbitration claim regarding Wright’s conduct was resolved for $70,000.00 in damages based upon allegations of breach of contract, negligent supervision, negligence, breach of fiduciary duty, and violation of the Securities Act of the State of Virginia in regard to the life insurance policies purchased for the customer. FINRA Arbitration No. 17-00664 (Apr. 17, 2018).

Then, a customer filed an investment related arbitration claim concerning Wright’s conduct in which the customer requested $100,000.00 in damages founded on allegations that Wright poorly advised the customers concerning an investment strategy involving the leveraging of equity in customers’ homes to buy whole life insurance policies, and borrowing against those policies to make other investments. FINRA Arbitration No. 18-01749 (June 19, 2018). Subsequently, a customer filed an investment related arbitration claim regarding Wright’s activities where the customer requested $45,000.00 in damages based upon accusations that inappropriate investment strategies were utilized in the customer’s investment accounts which ultimately caused the customer to sustain losses.

Wright has been registered with Cambridge Investment Research Inc. since November 22, 2011.