Sean Muhlstein, a registered representative with VOYA Financial Advisors, Inc. (CRD 2882), is currently facing allegations of providing misleading and false information regarding a client’s employment status and income sources on an insurance application. The complaint, filed on February 6, 2024, raises serious concerns about Muhlstein‘s professional conduct and the oversight provided by VOYA Financial Advisors, Inc.
Haselkorn & Thibaut, a national investment fraud law firm, is investigating the advisor and the company, offering free consultations to affected clients. As the investigation unfolds, it is crucial for investors who have worked with Muhlstein or VOYA Financial Advisors, Inc. to assess their investments and seek legal advice if they suspect any wrongdoing.
Understanding the Allegation and Its Implications
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Financial advisors are obligated to act in the best interests of their clients and provide accurate information when assisting with insurance applications. Misleading or false statements on such applications can have severe consequences for both the client and the advisor, as outlined in FINRA Rule 2010, which requires registered representatives to “observe high standards of commercial honor and just and equitable principles of trade” in the conduct of their business.
By allegedly advising the client to include misleading or false information on the insurance application, Sean Muhlstein may have violated this rule and breached the trust placed in him by his client and the public. This incident serves as a reminder of the importance of working with trustworthy and transparent financial advisors.
Protecting Investors’ Rights and Recovering Losses
Investors who have worked with Sean Muhlstein or VOYA Financial Advisors, Inc. should carefully review their investments and any insurance products purchased through these parties. If there are concerns about the accuracy of information provided or the suitability of the products, investors should seek legal counsel to protect their rights and explore potential avenues for recovery.
Red flags that may indicate financial advisor malpractice include:
- Providing misleading or false information on official documents
- Recommending unsuitable investments or products
- Failing to disclose material information about investments or conflicts of interest
- Engaging in unauthorized trading or excessive trading in client accounts
If investors suspect they have been the victim of financial advisor malpractice, they may be able to recover their losses through FINRA arbitration. Haselkorn & Thibaut, with over 50 years of experience and a 98% success rate, operates on a “No Recovery, No Fee” basis, meaning investors do not pay any fees unless the firm successfully recovers their losses. Investors can contact Haselkorn & Thibaut for a free consultation by calling their toll-free number at 1-888-885-7162 .
The Importance of Vigilance and Accountability
As the investigation into Sean Muhlstein and VOYA Financial Advisors, Inc. continues, it serves as a reminder of the importance of investor vigilance and holding financial advisors accountable for their actions. By working with experienced investment fraud attorneys like those at Haselkorn & Thibaut, investors can take steps to protect their rights and recover any losses stemming from malpractice.
This case also highlights the broader issue of investment fraud and bad advice from financial advisors, which can have devastating consequences for investors. According to a Bloomberg report, investment fraud cost Americans over $10 billion in 2020 alone. By staying informed, asking questions, and seeking professional legal advice when necessary, investors can help protect themselves from falling victim to such practices.
