Lombard Terminates Broker For Unauthorized Churning Of Customer Accounts
Eric Alan Zakarin of Cranford New Jersey a stockbroker formerly registered with Lombard Securities Incorporated has been terminated by the firm on October 10, 2018 based upon allegations that (1) Zakarin generated excessive commissions from customers and (2) Zakarin executed trades in customer accounts that customers’ possibly had not authorized.
This is not the first time that Zakarin has been terminated from a brokerage firm supported by accusations of Zakarin’s misconduct. In particular, on April 1, 2015, Zakarin had been discharged by Wells Fargo Advisors LLC founded on allegations of Zakarin’s failure to furnish appropriate documentation to the United States Bureau of Customs and Border Protection in regard to a customer’s transfer of currency from Switzerland to the United States.
Financial Industry Regulatory Authority (FINRA) Public Disclosure confirms that Zakarin is referenced in six customer initiated investment related disputes containing accusations of his violative conduct during the time that he was associated with Shearson Hutton Brothers, Shearson Lehman Brothers, Inc., UBS PaineWebber Inc. and Lombard Securities. In particular, Zakarin was subject of a customer initiated investment related arbitration claim where the customer was awarded $17,977.00 in damages based on Zakarin being found liable on the customer’s claims of making misrepresentations to the customer; churning the customer’s investment portfolio; and effecting stock trades in the customer’s investment account without the customer’s consent. NASD Arbitration No. 91-00120.
Thereafter, Zakarin was named in a customer initiated investment related arbitration claim in which the customer was awarded compensatory damages based on the Shearson Lehman brothers Inc. having been found liable on the customer’s claims of misrepresentation and fraud. Pacific Stock Exchange Arbitration No. AHL-03053. On July 15, 2002, a customer initiated investment related complaint regarding Zakarin’s conduct was resolved for $20,000.00 in damages based upon allegations that Zakarin mismarked the customer’s order tickets by claiming that Zakarin had not solicited the customer’s equity trades; and Zakarin effected purchases of high-risk mutual fund or equity investments in the customer’s account without notifying the customer and obtaining the customer’s permission.
Then, on June 26, 2016, a customer initiated investment related complaint regarding Zakarin’s activities was settled to resolve accusations that Zakarin made mutual fund purchases in the customer’s account without the customer’s consent. Moreover, a customer filed an investment related arbitration claim involving Zakarin’s conduct where the customer requested $10,000.00 in damages supported by allegations that fiduciary duties owed to the customer had been breached; transactions executed in the customer’s account were in no way suitable for the customer; the customer’s investment portfolio had been churned; the customer was defrauded; and Lombard Securities Incorporated failed to supervise Zakarin’s activities in the customer’s account concerning investments in mutual fund, stock and debt products. FINRA Arbitration No. 18-03870 (Nov. 17, 2018).