Haselkorn & Thibaut, a national investment fraud law firm, has opened an investigation into former Cetera Advisors broker William David Carlton following multiple customer complaints and regulatory issues throughout his career. If you invested with Bill Carlton and experienced losses or have concerns about your account management, understanding his regulatory history could be crucial for your financial recovery.
Who is William D. Carlton?
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William David Carlton, also known as Bill Carlton, is a former stockbroker who is no longer registered with FINRA as of January 2024. His most recent position was with Cetera Advisors LLC in Bellevue, Washington, where he worked from September 2022 until his departure in early 2024. Before joining Cetera, Carlton spent nearly 14 years with First Allied Securities, Inc. in Kirkland, Washington.
With over 15 years in the securities industry, Carlton’s career trajectory took a concerning turn with multiple customer complaints and regulatory actions that investors should be aware of.
Understanding Carlton’s Complaint History
Carlton’s BrokerCheck record reveals a pattern of customer disputes that raises significant red flags for investors. Here’s a comprehensive breakdown of the complaints filed against him:
| Date Filed | Amount Requested | Allegation Type | Status |
|---|---|---|---|
| March 2023 | $65,000 | Unsuitable Investments | Pending |
| October 2019 | $200,000 | Breach of Fiduciary Duty | Settled: $55,000 |
| May 2017 | $95,000 | Misrepresentation | Settled: $32,500 |
| August 2013 | $150,000 | Negligence/Suitability | Denied |
Key Red Flags Investors Should Know
When evaluating Carlton’s regulatory history, several concerning patterns emerge that every investor who worked with him should carefully consider:
1. Pattern of Unsuitable Investment Recommendations
The most recent complaint from March 2023 alleges that Carlton recommended unsuitable investments to a client, resulting in requested damages of $65,000. Unsuitable investment recommendations occur when a broker fails to match investment products with a client’s risk tolerance, financial situation, and investment objectives. This is particularly concerning for retirees or conservative investors who may have been placed in risky or inappropriate investments.
2. Breach of Fiduciary Duty Claims
The October 2019 complaint, which settled for $55,000, involved allegations of breach of fiduciary duty. This suggests Carlton may have failed to act in his client’s best interests, potentially putting his own financial gain ahead of client welfare. When a financial advisor breaches their fiduciary duty, it represents a fundamental violation of the trust relationship between advisor and client.
3. Misrepresentation Allegations
The May 2017 complaint centered on misrepresentation claims, ultimately settling for $32,500. Misrepresentation in the securities industry can involve:
- Providing false or misleading information about investments
- Omitting material facts about risks
- Making unrealistic promises about returns
- Failing to disclose conflicts of interest
4. Employment Termination Concerns
Carlton’s departure from Cetera Advisors in January 2024, shortly after a customer complaint was filed, raises additional questions. While the specific circumstances of his departure aren’t publicly detailed, the timing suggests potential firm concerns about his conduct or client management practices.
Why These Complaints Matter to Your Investment Portfolio
If you invested with Bill Carlton, these complaints represent more than just numbers on a regulatory report. Each complaint tells a story of an investor who believed they suffered financial harm due to Carlton’s actions or recommendations. The total amount requested in damages across all complaints exceeds $500,000, though the actual settled amounts were lower.
Here’s what makes this pattern particularly concerning:
- Consistency Over Time: Complaints span from 2013 to 2023, suggesting ongoing issues rather than isolated incidents
- Multiple Allegation Types: The variety of allegations indicates potential problems across different aspects of investment management
- Recent Activity: The most recent complaint remains pending, meaning additional investors may still be discovering issues
What Should Investors Do Now?
If you worked with William Carlton at either Cetera Advisors or First Allied Securities, now is the time to carefully review your investment accounts and transaction history. Look for:
- Investments that didn’t align with your stated risk tolerance
- Excessive trading or account churning
- Concentration in particular sectors or products
- Unexplained losses during favorable market conditions
- Recommendations that primarily benefited the broker through commissions
Understanding Your Legal Rights
FINRA rules require brokerage firms to supervise their brokers and ensure suitable investment recommendations. When firms fail in this duty, they may be held liable for customer losses. This means that even though Carlton is no longer registered, investors may still have viable claims against his former employers.
The statute of limitations for securities claims is typically six years from the date of purchase or three years from discovery of the wrongdoing, whichever is sooner. Don’t wait to explore your options, as time limitations could affect your ability to recover losses.
How Haselkorn & Thibaut Can Help
With over 50 years of experience and a 98% success rate, Haselkorn & Thibaut has recovered millions for investors nationwide. Our team understands the complex regulations governing the securities industry and how to hold brokers and their firms accountable for misconduct.
We work on a contingency basis, meaning no recovery, no fee. This ensures that every investor, regardless of the size of their claim, can access experienced legal representation.
Take Action Today
If you invested with William Carlton and have concerns about your account management or suffered investment losses, don’t wait to understand your rights. The team at Haselkorn & Thibaut is investigating claims against Carlton and his former employers.
Call Haselkorn & Thibaut today at 1-888-885-7162 for a free, confidential consultation. Our experienced attorneys can review your situation, explain your legal options, and help you understand the best path forward for recovering your investment losses.
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