In a recent development, a serious allegation has been made against William Hurckes, a broker and investment advisor affiliated with Ausdal Financial Partners, Inc. (CRD 7995) in Illinois. The customer dispute, filed on March 25, 2024, and currently pending resolution, involves allegations of violations of federal and state securities laws, breach of contract, common law fraud, breach of fiduciary duty, negligence, and gross negligence. The product at the center of this dispute is GWG L Bonds, and the damage amount requested is undisclosed at this time.
This allegation is particularly concerning for investors, as it raises questions about the integrity and professionalism of the advisor and the firm. Investors who have entrusted their hard-earned money with William Hurckes and Ausdal Financial Partners, Inc. may now be wondering about the safety of their investments and the potential impact on their financial future. Investment fraud and bad advice from financial advisors can have devastating consequences for individuals and families, leading to significant financial losses and emotional distress.
Understanding the Allegation and FINRA Rule
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In simpler terms, the customer dispute alleges that William Hurckes violated securities laws at both the federal and state levels, specifically in Illinois. These violations may include misrepresentation, omission of material facts, or other fraudulent practices. Additionally, the allegation suggests that the advisor breached their contract with the client, engaged in common law fraud, and failed to uphold their fiduciary duty, which requires them to act in the best interest of their clients.
FINRA, the Financial Industry Regulatory Authority, oversees the conduct of financial advisors and firms. Under FINRA Rule 2111, known as the “suitability rule,” brokers and investment advisors must have a reasonable basis to believe that their investment recommendations are suitable for their clients based on factors such as the client’s financial situation, risk tolerance, and investment objectives. Violations of this rule can lead to disciplinary action by FINRA and potential legal consequences.
The Importance for Investors
Allegations of misconduct, such as those faced by William Hurckes and Ausdal Financial Partners, Inc., can have severe implications for investors. When an advisor violates securities laws, breaches contracts, or engages in fraudulent practices, it can result in significant financial losses for their clients. Investors may find themselves in a position where their investments have been mishandled, their trust has been betrayed, and their financial goals have been jeopardized.
Moreover, these types of allegations can erode public trust in the financial industry as a whole. Investors rely on the expertise and integrity of their financial advisors to help them make informed decisions and grow their wealth. When advisors fail to live up to these expectations, it can lead to a breakdown in the client-advisor relationship and make investors hesitant to seek professional financial guidance in the future.
Red Flags and Recovering Losses
Investors should be aware of red flags that may indicate financial advisor malpractice. These can include:
- Unauthorized trades or excessive trading activity
- Inconsistencies between the advisor’s recommendations and the client’s risk tolerance or investment goals
- Lack of transparency or communication regarding investment strategies and performance
- Pressure to invest in high-risk or complex products without adequate explanation
If investors suspect that they have been victims of financial advisor misconduct, they may be able to recover their losses through FINRA arbitration. Haselkorn & Thibaut, a national investment fraud law firm with offices in Florida, New York, North Carolina, Arizona, and Texas, is currently investigating William Hurckes and Ausdal Financial Partners, Inc. They offer free consultations to clients and have over 50 years of experience in successfully recovering losses for investors, with an impressive 98% success rate.
Investors who have suffered losses due to the alleged misconduct of William Hurckes or Ausdal Financial Partners, Inc. are encouraged to contact Haselkorn & Thibaut at their toll-free number, 1-888-885-7162 , for a free consultation. The firm operates on a “No Recovery, No Fee” policy, meaning clients only pay if a recovery is made on their behalf.
For more information about William Hurckes and their disclosure history, investors can access their FINRA BrokerCheck report using CRD number 2612833.
