Haselkorn & Thibaut, a national securities fraud law firm, has launched an investigation into Donald Stephen Woods, a former financial advisor with Thurston Springer Financial and LPL Financial LLC, following a series of customer complaints and regulatory actions. If you were an investor with Donald Woods in Louisville, KY, or at any firm where he was registered, you may be entitled to recover losses. Call 1-888-885-7162 today for a free, confidential case review—no recovery, no fee.
Who is Donald Stephen Woods?
Donald Stephen Woods, CRD# 727894, is a previously registered broker and investment adviser with over 31 years of experience in the financial services industry. He has been affiliated with eight different firms throughout his career, most recently with Thurston Springer Financial and LPL Financial LLC in Louisville, Kentucky. As of August 2018, Woods is no longer registered with FINRA as a broker or investment adviser.
Recent Developments and Ongoing Investigation
With mounting disclosure events and complex customer allegations, Haselkorn & Thibaut is investigating potential claims involving unsuitable investment recommendations, alternative investments, and regulatory violations related to Woods. Our team’s goal is to assist current and former clients in evaluating their individual circumstances and exploring potential recovery options, backed by over 50 years of collective experience and a 98% success rate.
Key Red Flags in Woods’ History
- 15 disclosure events—far above industry norms.
- One significant regulatory action resulting in a suspension and financial penalties.
- 13 customer complaints, of which 10 were settled (totaling over $432,000), 2 were closed/denied, and 1 is currently pending.
- Pattern of issues concerning real estate investment trusts (REITs), business development companies (BDCs), variable annuities, and alternative investments.
Summary Table of Complaints and Disclosures
| Type of Event | Count | Status | Totals/Resolutions |
|---|---|---|---|
| Regulatory Action | 1 | Final (2020 FINRA AWC) | 6-month suspension; $10,000 fine; Disgorgement of $5,600.70 |
| Customer Disputes | 13 | 10 settled, 2 closed/denied, 1 pending | $432,928.90 settlements 0 paid personally |
| Financial Disclosure | 1 | Not Specified | Details not available |
Detailed List of Complaints and Allegations
- Regulatory Action (May 6, 2020): Woods agreed to a 6-month suspension, a $10,000 fine, and the return of $5,600.70 in commissions after FINRA found that he overstated customer liquid net worth on REIT applications while at LPL Financial LLC. The findings cited that he made unsuitable recommendations inconsistent with clients’ investment objectives.
- 10 Settled Customer Complaints: These were collectively paid out for more than $432,000 (all paid by Woods’ employing firms). The majority alleged unsuitable investment recommendations, particularly with high-risk or illiquid products like REITs and BDCs, and raised issues of inadequate risk disclosures and misrepresentations.
- 2 Denied/Closed Complaints: These cases were investigated and not pursued further by customers or closed without settlements.
- 1 Pending Customer Arbitration (Filed October 2024—Case #24-02213): This current claim alleges unsuitable investment recommendations in REITs and BDCs during 2013–2014, suggesting a pattern of similar concerns over multiple years.
Woods’ Employment Profile
- Thurston Springer Financial (Louisville, KY) – Broker & Advisor, 2016–2018
- LPL Financial LLC (Louisville, KY) – Broker & Advisor, 2010–2017
- Previous employments include time at Wells Fargo Advisors, AXA Advisors, Money Concepts Capital Corp, among others.
Potential Risk Factors for Investors
If you invested with Woods, particularly in REITs, BDCs, or variable annuities, you may have:
- Faced unsuitable investment advice not aligned with your goals or risk tolerance
- Received inadequate disclosures about product risks, liquidity, and potential fees
- Experienced losses in alternative or illiquid investments
The concentration of customer complaints during Woods’ time at LPL Financial LLC is especially notable, suggesting systemic issues with the suitability and supervision of sales practices.
Regulatory Concerns
The FINRA BrokerCheck record confirms that Woods is not currently registered and details the enforcement actions that resulted in his suspension and monetary penalties, mainly tied to the sale of alternative investments and disclosure violations. For 31 years, Woods passed standard securities industry exams, but disclosure events during the later stages of his career have greatly increased.
What Should Investors with Donald Stephen Woods Do?
If you worked with Donald Woods in Louisville, KY, or elsewhere, and you:
- Purchased alternative investments such as REITs or BDCs
- Received recommendations you did not fully understand or that carried unexpected risks
- Experienced unanticipated losses or account declines
…it’s time to take action. Haselkorn & Thibaut is reviewing claims for investors who have suffered losses, potentially due to unsuitable or improperly recommended investments. We offer free consultations, and you pay nothing unless we recover money for you.
Why Choose Haselkorn & Thibaut?
- 98% client recovery success rate
- More than $100 million recovered for investors
- 50+ years of legal experience
- National presence with local service. No recovery, no fee.
Contact Haselkorn & Thibaut Now
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