Investors Sue Allstate Financial For Failure To Supervise
Paul Joseph Godlewski of Coatesville Pennsylvania a stockbroker formerly registered with Allstate Financial Services LLC is referenced in a customer initiated investment related arbitration claim which was settled for $28,000.00 in damages supported by allegations that (1) Godlewski solicited a customer’s private placement investment outside the firm’s auspices causing a customer losses and (2) Allstate Financial Services LLC neglected to supervise Godlewski’s private placement activities. Financial Industry Regulatory Authority (FINRA) Arbitration No. 17-01499 (July 25, 2018).
FINRA Public Disclosure additionally confirms that a customer initiated investment related arbitration claim regarding Godlewski’s conduct was resolved for $2,300,000.00 in damages founded on accusations that during the time that Godlewski was associated with Allstate Financial Services, LLC, Godlewski advised customers to place their assets in private placement investments which turned out to be fraudulent entities. FINRA Arbitration No. 15-029617 (July 26, 2016).
Godlewski has already been barred from associating with any FINRA member in any capacity based upon findings that he failed to comply with FINRA’s investigation into allegations of Godlewski’s outside business activities. Letter of Acceptance Waiver and Consent No. 20150441079 (Apr. 1, 2015).
According to the AWC, FINRA commenced an investigation into Godlewski following his discharge from Allstate Financial Services. Particularly, Allstate discharged Godlewski based on allegations that he engaged in outside business activities without furnishing proper notification to the firm; and discussed investments on television in violation of the firm’s policies. The AWC stated that Godlewski corresponded with FINRA to confirm that he would at no point be furnishing information and documentation to the regulator. FINRA found Godlewski’s refusal to cooperate in this respect to be violative of FINRA Rules 2010 and 8210.