Investors are often left in the dark when it comes to allegations of misconduct against their financial advisors. One such case is that of Thomas McDevitt, previously affiliated with AMERIPRISE FINANCIAL SERVICES, INC. (CRD 6363), who has recently been accused of failing to comply with an arbitration award or settlement agreement. This allegation is serious and requires an understanding of the rules and regulations put in place by the Financial Industry Regulatory Authority (FINRA).
Understanding the Allegation and FINRA Rule
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The allegation against McDevitt is based on his failure to comply with an arbitration award or settlement agreement, or to satisfactorily respond to a FINRA request to provide information concerning the status of compliance. This is a violation of the FINRA Rule 9554, according to Article VI, Section 3 of FINRA By-Laws. The rule essentially requires all financial advisors to comply with the terms of any arbitration awards or settlement agreements made in connection with their professional activities.
Why It Matters for Investors
Such allegations are of great significance to investors. Non-compliance with arbitration awards or settlement agreements can result in investors not receiving the financial compensation they are due. Furthermore, failure to respond to FINRA’s information requests can hinder the authority’s ability to protect the rights and interests of investors.
Red Flags and Recovery of Losses
Investors should be vigilant for red flags indicative of financial advisor malpractice. These can include unexplained losses, unauthorized trades, or lack of communication. If you suspect malpractice, it’s crucial to consult with an experienced investment fraud law firm. One such firm, Haselkorn & Thibaut, is currently investigating the case against McDevitt and AMERIPRISE FINANCIAL SERVICES, INC. They offer free consultations and operate on a “No Recovery, No Fee” policy.
FINRA Arbitration and Investor Protection
FINRA Arbitration is a dispute resolution process that can help investors recover losses due to financial advisor malpractice. The national investment fraud law firm Haselkorn & Thibaut, with offices in Florida, New York, North Carolina, Arizona, and Texas, is well-versed in these proceedings. Boasting over 50 years of experience and a 98% success rate, they have successfully recovered financial losses for numerous investors. They can be reached toll-free at 1-800-856-3352.
Investors should not hesitate to seek help if they suspect malpractice. The seriousness of these allegations underscores the importance of vigilance and swift action in protecting one’s financial interests.
