UBS Stockbroker Discharged For Unauthorized Trading
William David Hobby of Atlanta Georgia a stockbroker formerly employed by UBS Financial Services Inc. has been discharged by the firm on September 18, 2018 supported by accusations that (1) Hobby violated the firm’s customer complaint policy by neglecting to apprise the firm that he was subject of a customer initiated investment related complaint and (2) Hobby violated the firm’s order entry policy by effecting unauthorized trades in the customer’s account.
Financial Industry Regulatory Authority (FINRA) Public Disclosure reveals that Hobby has been identified in twenty-three customer initiated investment related disputes containing allegations of Hobby’s misconduct while employed with securities broker dealers including UBS Financial Services and Citigroup Global Markets Inc. In particular, a customer initiated investment related complaint concerning Hobby’s activities was resolved for $8,371.45 in damages founded on accusations that the customer’s instructions concerning over-the-counter equities had been disregarded.
Then, a customer initiated investment related arbitration claim involving Hobby’s conduct was settled for $125,000.00 in damages based upon allegations that Hobby mishandled the customers investment account while registered with Citigroup Global Markets Inc. National Association of Securities Dealers (NASD) Arbitration No. 03-08060 (Dec. 17, 2004). Another customer initiated investment related arbitration claim concerning Hobby’s activities was resolved for $700,000.00 in damages supported by accusations of the customer’s investment account being improperly handled. NASD Arbitration No. 02-02354 (Sept. 13, 2005).
Subsequently, a customer initiated investment related arbitration claim regarding Hobby’s conduct was settled for $350,000.00 in damages founded on allegations that between September of 2014 and February of 2017, discretion had been exercised in the customer’s account despite the customer not having provided approval to the stockbroker in writing; trades were placed on an excessive basis; and bad investment recommendations were made to the customer specifically concerning speculative equity products. FINRA Arbitration No. 18-00105 (June 19, 2018).
On August 21, 2018, another customer initiated investment related complaint regarding Hobby’s activities was resolved for $80,000.00 in damages based upon accusations that inappropriate trades were placed in the customer’s account; and the customer’s tolerance for risk was misrepresented. Hobby is also subject of a customer initiated investment related complaint that settled for $24,000.00 on December 12, 2018 supported by allegations that between August 23, 2016 and October 11, 2018, the customer was placed in over-the-counter equities that were not appropriate given the customer’s objective of protecting principal and the customer’s low tolerance for risk.