Wells Fargo Accused Of Failure To Liquidate Securities
David Michael Logsdon of Hailey Idaho a stockbroker formerly registered with Wells Fargo Advisors is referenced in a customer initiated investment related complaint on March 22, 2018 where the customer sought more than $5,000.00 in estimated damages based upon accusations that Logsdon failed to liquidate the customer’s stock holdings from the customer’s wrap account.
Financial Industry Regulatory Authority (FINRA) Public Disclosure confirms that Logsdon has been identified in three more customer initiated investment related disputes containing allegations of Logsdon’s wrongdoing while employed with Wells Fargo. In particular, on May 18, 2005, a customer initiated investment related complaint concerning Logsdon’s conduct was settled to resolve accusations that Logsdon executed mutual fund transactions in the customer’s account that were not suitable for the customer.
Then, on February 27, 2008, a customer initiated investment related complaint regarding Logsdon’s activities was resolved for $69,381.51 in damages founded on allegations that Logsdon failed to input a stop loss on the customer’s portfolio of mutual funds and index funds which caused the customer to sustain undue investment losses. On March 21, 2013, another customer filed an investment related complaint involving Logsdon’s activities in which the customer requested $15,000.00 in damages supported by accusations that Logsdon misrepresented the terms and conditions of the customer’s mutual fund investments.
FINRA Public Disclosure additionally reveals that Logsdon has been fined $5,000.00 and suspended from associating with any FINRA member in any capacity based upon consenting to findings that Logsdon effected unauthorized trades in customer accounts. Letter of Acceptance Waiver and Consent No. 20080125829-01 (Apr. 12, 2010).
According to the AWC, Logsdon was responsible for servicing the investment accounts owned by customer NL and PL. Apparently, Logsdon failed to communicate with the customers on the days in which transactions had been placed in their investment accounts. Logsdon reportedly failed to procure the customers’ written consent prior to Logsdon placing the transactions in their accounts on a discretionary basis. Additionally, those customers’ accounts were not approved by Wells Fargo as discretionary accounts. Consequently, FINRA found that Logsdon’s conduct was violative of National Association of Securities Dealers (NASD) Rules 2110 and 2510.
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