Haselkorn & Thibaut has opened an investigation into former Alexandria, Virginia financial advisor Simon Joseph (CRD# 5602157) following recent regulatory sanctions and multiple investor complaints. If you’ve worked with Mr. Joseph during his time at LPL Financial or any of his previous firms, understanding the details of these issues could be important for protecting your investments.
Recent FINRA Sanctions Against Simon Joseph
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In August 2024, the Financial Industry Regulatory Authority (FINRA) took disciplinary action against Mr. Joseph through a Letter of Acceptance, Waiver, and Consent (No. 2024083025801). The regulatory body found that Joseph willfully failed to disclose a 2019 consent order issued by the Maryland Securities Division on multiple registration applications.
The consequences of this violation include:
- Six-month suspension from associating with any FINRA member firm
- $5,000 fine
- Formal censure
What makes this particularly concerning for investors is that the original Maryland consent order involved findings that Joseph had “engaged in dishonest and unethical practices” including executing discretionary transactions in customer accounts without proper written authorization and mismarking order tickets. These are serious violations that go directly to the heart of the trust relationship between an advisor and their clients.
Pattern of Unauthorized Trading Complaints
Beyond the regulatory sanctions, two separate investor complaints reveal a troubling pattern of alleged unauthorized trading spanning multiple firms:
| Year Filed | Firm | Allegation | Settlement Amount |
|---|---|---|---|
| 2023 | Truist Investment Services | Unauthorized trades | $90,000 |
| 2016 | Morgan Stanley | Unauthorized trades | $70,000 |
These settlements, totaling $160,000, suggest that the firms involved found enough merit in the complaints to justify significant payouts rather than fighting the allegations. For investors, this pattern across different firms and time periods raises important questions about trading practices and account management.
Red Flags for Current and Former Clients
If you’ve worked with Simon Joseph, several red flags warrant careful review of your account statements and trading history:
1. Unauthorized Trading History
With complaints at multiple firms alleging unauthorized trades, any unexplained transactions in your account deserve scrutiny. This is especially important if you noticed trades you didn’t specifically approve or discuss.
2. Failure to Disclose Regulatory Issues
Joseph’s failure to properly disclose the Maryland consent order to subsequent employers suggests a pattern of withholding important information. Transparency is fundamental in the advisor-client relationship.
3. Multiple Firm Changes
Joseph’s employment history shows movement through numerous firms including LPL Financial, Momentum Independent Network, Truist Investment Services, BB&T Securities, Morgan Stanley, AXA Advisors, and ING Financial Partners. While advisors change firms for various reasons, frequent moves combined with regulatory issues and complaints can indicate problems.
What This Means for Your Investments
Despite holding 15 years of securities industry experience and passing five qualifying exams (Series 66, 65, SIE, 31, and 7), Joseph’s regulatory record shows concerning patterns. Professional credentials alone don’t guarantee ethical behavior or appropriate investment management.
If you’ve experienced any of the following while working with Simon Joseph, it’s important to take action:
- Trades appearing in your account that you didn’t authorize
- Excessive trading or account churning
- Investments unsuitable for your risk tolerance or financial goals
- Lack of communication about important account decisions
- Discrepancies between verbal agreements and actual transactions
Current Status and Next Steps
As of August 2024, Simon Joseph is no longer registered with any firm or licensed in any state. His most recent registration with LPL Financial ended in August 2024, coinciding with the FINRA sanctions. This means he cannot currently conduct securities business, but any past misconduct could still impact your investments.
Given the regulatory sanctions, pattern of complaints, and significant settlement amounts, investors who worked with Simon Joseph should carefully review their account histories. Even if you haven’t noticed obvious problems, the documented issues suggest a closer look could be warranted.
Protecting Your Financial Future
Investment losses due to advisor misconduct can significantly impact your financial security and retirement plans. The good news is that investors have rights and potential remedies when advisors violate industry rules or breach their fiduciary duties.
Time limits apply to filing claims, so prompt action is important. Documentation like account statements, correspondence, and notes from meetings can be crucial in establishing what happened and recovering losses.
How Haselkorn & Thibaut Can Help
With over 50 years of experience and a 98% success rate, Haselkorn & Thibaut (InvestmentFraudLawyers.com) has recovered millions for investors nationwide who’ve suffered losses due to advisor misconduct. The firm operates on a “no recovery, no fee” basis, meaning you don’t pay unless they successfully recover compensation for your losses.
If you invested with Simon Joseph at LPL Financial, Truist Investment Services, or any of his previous firms, don’t wait to protect your rights. A free consultation can help you understand your options and whether you may have a claim for recovering investment losses.
Call Haselkorn & Thibaut today at 1-888-885-7162 for a free, confidential consultation about your investments with Simon Joseph. Their experienced team can review your situation, explain your rights, and help you determine the best path forward for protecting your financial future.
