SW Financial Sued By Investors For Fraud

Yousuf Saljooki (also known as Joseph Saljooki and as Joe Saljooki) a stockbroker formerly registered with SW Financial (Salomon Whitney Financial) is the subject of a customer initiated investment related arbitration claim in which the customer requested $97,292.27 in compensatory damages and unspecified punitive damages based upon allegations that the customer had been defrauded by Saljooki on stock transactions effected at SW Financial. Financial Industry Regulatory Authority (FINRA) Arbitration No. 20-00470 (Apr. 2, 2020). According to the claim, Saljooki effected unsuitable trades and overconcentrated the customer’s account in aggressive equities. The claim also alleges that the customer’s account had been churned.

FINRA Public Disclosure reveals that Saljooki has been identified in eight more customer initiated investment related disputes containing allegations of his misconduct while he was employed with securities broker dealers including SW Financial. On April 3, 2018, a customer filed an investment related arbitration claim concerning Saljooki’s conduct where the customer sought $1,055,660.00 in damages supported by accusations of unauthorized and unsuitable over-the-counter equities and stock trades by Saljooki during the time that he was associated with SW Financial. FINRA Arbitration No. 18-01055. The claim alleges that Saljooki’s negligence and breach of an investment agreement resulted in the customers’ losses.

On March 7, 2019, another customer initiated investment related arbitration claim pertaining to Saljooki’s conduct was resolved for $50,000.00 in damages based upon allegations including fraud and the breach of a fiduciary duty that was owed to the customer by Saljooki as it pertained to his stock trades in the SW Financial customer’s account. FINRA Arbitration No. 18-00628. According to the claim, the customer’s account was exposed to excessive and unsuitable trading.

Saljooki is also the subject of a customer initiated investment related arbitration claim in which the customer requested $20,952.00 in damages founded on accusations that a contract was breached and that unauthorized exchange traded notes purchases were effected in the customer’s account at SW Financial. FINRA Arbitration No. 18-01055 (Oct. 1, 2019). The claim alleges negligence and unsuitability with regard to Saljooki’s transactions and that the stockbroker had been churning the customer’s portfolio.

Saljooki is identified in another customer initiated investment related arbitration claim where the customer was awarded $150,000.00 in damages based on Saljooki and Brookville Capital being found liable on the customer’s causes of action including bad advice and elder abuse relating to the customer’s investments in SolarCity, Entertainment Limited, Melco Resorts and OPKO Health Inc. FINRA Arbitration No. 19-00641 (Feb. 3, 2020). A fiduciary duty that was owed to the customer had been breached by Saljooki. Misrepresentations were made by the stockbroker regarding investments. The customer had also been defrauded.

FINRA Public Disclosure additionally reveals that Saljooki has been sanctioned three times by the regulator for misconduct. The stockbroker was fined $20,000.00 and suspended from associating with any FINRA member in any capacity based in part on findings that he falsified records and books of Worden Capital Management concerning his securities transactions and recommendations. Letter of Acceptance Waiver and Consent No. 2018057626102 (July 29, 2019). FINRA found Saljooki’s conduct to be violative of FINRA Rules 4511 and 2010.

Saljooki was discharged by SW Financial on December 15, 2017 based upon allegation of unauthorized outside business activities. On April 20, 2018, he was discharged by Worden Capital Management for failing to provide Arkansas Securities Department with information.