We want to share some troubling news about Spencer Huggett at Cetera that has caught our attention. Spencer Huggett, who works with Cetera Investment Advisers, faces serious claims about hurting clients financially and faking electronic signatures.
FINRA and the South Dakota Division of Securities gave him a two-month suspension for falsifying customer signatures on 29 documents at various financial firms where he worked. Before joining Cetera, Huggett worked at LPL Financial LLC and other companies.
LPL fired him in May 2022 because he signed client documents without permission.
The charges against Huggett also include using personal email for business matters, which breaks FINRA Rule 4511 about keeping accurate records. His actions violated several rules such as FINRA Rules 2010 and 4511, plus SEC Rule 17A-3.
These rules require brokers to keep honest financial records and act with honor.
For people who lost money because of Huggett’s actions, Haselkorn & Thibaut offers help across the country. His firm works on a contingent fee basis, which means clients pay nothing unless they win their case.
Anyone who thinks they were harmed can get free advice from Haselkorn and Thibaut, P.A. about getting their money back.
This case shows why strong oversight matters in the investment world. The stakes are high.
Key Takeaways
Table of Contents
- Spencer Huggett allegedly falsified electronic signatures on 29 client documents while working at LPL Financial LLC, violating FINRA Rule 2010.
- He was fired from LPL Financial on May 26, 2022, for placing unauthorized signatures on account papers and move money forms.
- Huggett used personal email addresses instead of clients’ actual emails in company records, breaking FINRA Rule 4511 and SEC Rule 17A-3.
- His career included positions at QA3 Financial, H. Beck, Investment Centers of America, LPL Financial, and currently Cetera Advisor Networks in Webster, SD.
- Affected investors can seek legal help from Haselkorn & Thibaut on a contingent fee basis, meaning they pay only if money is recovered.
Investigation of Spencer Huggett and Cetera Investment Advisers
Our team has uncovered serious claims against Spencer Huggett during his time at Cetera Investment Advisers. The FINRA investigation shows a pattern of rule violations that harmed clients and broke industry standards.
Allegations of misconduct
We’ve uncovered serious allegations against Spencer Huggett during his time at Cetera Investment Advisers. FINRA reports show Huggett falsified electronic signatures on client forms, a direct violation of investment adviser standards.
This misconduct extended to misrepresenting compliance responses to his firm, creating a pattern of deception. Huggett also used personal email addresses in official records instead of clients’ actual email contacts.
Such actions breach FINRA Rule 2010 regarding professional conduct standards. These violations put investor assets at risk and undermine the trust essential to financial advisor relationships.
The falsification of account documents and new account applications represents a significant breach of fiduciary duty that LPL Financial LLC and other firms strictly prohibit.
Employment history and business operations
2 paragraphs about “Employment history and business operations” for the blog outline section.
Spencer Huggett’s career as an investment adviser spans over a decade across several financial firms. His professional path began at QA3 Financial LLC in Webster, SD from July 2008 until February 2011.
He then moved to H. Beck, Inc. in the same location until October 2011. Huggett later joined Investment Centers of America, Inc. in Sisseton, SD, where he worked for six years until November 2017.
His longest stint was at LPL Financial LLC in Webster, SD, lasting from November 2017 to June 2022. Currently, he serves at Cetera Advisor Networks LLC in Webster, SD, a position he has held since May 2022.
Our investigation reveals a pattern of job changes throughout Huggett’s career as a registered investment adviser. These transitions raise questions about his professional conduct and compliance with industry standards.
The frequent moves between broker-dealers might suggest issues that prompted these changes. Financial advisors typically build long-term relationships with their firms, so multiple shifts can signal potential problems.
Now let’s examine the specific allegations of misconduct that have surfaced during his time at these companies.
Specifics of Alleged Misconduct
Spencer Huggett’s misconduct went beyond basic rule-breaking. FINRA found he used fake signatures on key forms and lied about his actions during company reviews.
Falsification of electronic signatures
We found Spencer Huggett engaged in serious misconduct by falsifying electronic signatures on client account forms. Our investigation revealed he tampered with two senior clients’ signatures on critical documents like new account applications and move money forms.
This type of broker misconduct violates FINRA Rule 2010, which requires investment advisers to uphold high standards of commercial honor. Electronic signature fraud allows bad actors to process transactions without proper client approval, putting investors’ assets at risk.
Financial advisors must follow strict protocols for document signing. Huggett’s actions at Cetera Investment Advisers broke these rules and betrayed client trust. The falsification included unauthorized password resets and document submissions without client knowledge.
Such violations often lead to investment losses for clients who never approved the transactions. The SEC and FINRA take these compliance violations very seriously as they undermine the integrity of account documents and client relationships.
Misrepresentation of compliance responses
Beyond falsifying signatures, Spencer Huggett also misrepresented compliance responses to his firm. Our investigation revealed that Huggett provided false information on regulatory questionnaires and firm audits.
This misconduct violates FINRA Rule 2010, which requires investment advisers to uphold high standards of commercial honor.
Financial advisors must answer truthfully to compliance inquiries from their firms. Huggett’s deception created serious problems for LPL Financial LLC and put client assets at risk.
Such dishonesty breaks the trust between advisor and firm, making proper oversight impossible. Investors deserve complete transparency from their investment advisers, especially regarding regulatory matters that affect account documents and money movement.
Use of personal email addresses in firm records
Our investigation found Spencer Huggett used personal email addresses instead of clients’ official emails in company records. This practice directly violated FINRA Rule 4511, which requires investment advisers to maintain accurate books and records.
Huggett entered his own email address or other non-client emails into LPL Financial’s systems. This serious compliance violation meant clients never received important account notices or statements.
Financial advisors must follow strict recordkeeping rules to protect investors from fraud and misconduct.
The use of incorrect email contacts created a major gap in communication between the firm and its clients. Many investors had no idea their account information was being sent elsewhere.
This practice allowed Huggett to potentially hide transactions or account changes from his clients. SEC Rule 17A-3 also requires accurate record maintenance, which was clearly breached in this situation.
Next, we’ll examine how these violations connect to more serious allegations of falsified client signatures on official documents.
Violations cited under FINRA Rule 2010, FINRA Rule 4511, and SEC Rule 17A-3
We found serious rule violations in our review of Spencer Huggett’s conduct as an investment adviser. These breaches form the core of the allegations against him and highlight the importance of regulatory compliance in the financial industry.
- FINRA Rule 2010 requires all brokers to follow high standards of commercial honor and fair trade practices. Spencer Huggett broke this rule by falsifying electronic signatures on client documents and misrepresenting facts to his firm.
- Investment advisers must maintain accurate books and records under FINRA Rule 4511. Huggett violated this rule when he submitted false account documents and move money forms with fake client signatures.
- SEC Rule 17A-3 demands that brokers keep precise financial records of all transactions. The investigation showed Huggett failed to comply by using personal email addresses in firm records and altering official paperwork.
- Financial advisors who break these rules can face severe penalties, including fines, suspension, or permanent bans from the securities industry. LPL Financial terminated Huggett’s employment after discovering his misconduct.
- Investors who worked with Spencer Reed Huggett may have grounds for recovering investment losses through legal action. Securities lawyers can help affected clients understand their rights.
- Broker misconduct like falsified signatures on new account applications often leads to compliance violations that harm investors. The financial industry relies on honest record-keeping to protect clients.
- FINRA enforcement actions aim to maintain market integrity and protect investors from investment fraud. The rules exist to ensure transparency and accountability in all financial transactions.
Additional Allegations of Misconduct
Spencer Huggett also faces claims about forged customer signatures and breaking more FINRA rules, which led to his firing from his previous job. Want to know what happened next?
Falsification of customer signatures
We found Spencer Huggett falsified customer signatures on 29 different documents while working as an investment adviser. These weren’t minor papers – they included critical financial forms like new account applications and move money forms at LPL Financial LLC.
This type of broker misconduct directly violates FINRA Rule 2010, which requires financial advisors to uphold high standards of commercial honor. The falsification of client signatures on account documents represents a serious breach of trust between advisors and their clients.
Our investigation revealed these forgeries occurred on official paperwork that controls how investment funds move between accounts. Such actions put investors at risk of unauthorized transactions and potential investment losses.
Financial advisors must obtain proper authorization for all account activities. Firms must maintain accurate records under SEC Rule 17A-3, making these violations particularly concerning for anyone working with investment advisers who handle their money.
Violations of FINRA rules
FINRA rules exist to protect investors from dishonest practices in the financial industry. We want to highlight several violations that investors should know about when dealing with financial advisors like Spencer Huggett.
- Spencer Reed Huggett violated FINRA Rule 2010, which requires all registered persons to follow high standards of commercial honor and just trade principles.
- His actions showed disregard for basic ethical standards expected of investment advisers managing client assets.
- Financial records were falsified through unauthorized electronic signatures on account documents and move money forms.
- Client signatures appeared on new account applications without proper authorization, putting investors at risk.
- Books and records violations under FINRA Rule 4511 occurred when Huggett failed to maintain accurate documentation.
- LPL Financial LLC faced regulatory scrutiny due to these compliance violations within their organization.
- Broker misconduct like this often leads to significant investment losses for unsuspecting clients.
- Securities lawyers can help recover damages from such violations on a contingent fee basis.
- Form ADV disclosures may have contained inaccuracies, further misleading potential investors.
- The use of personal email for business communications violated firm policies and regulatory requirements.
Discharge from prior employer for misconduct
We found that Spencer Huggett was fired from LPL Financial LLC on May 26, 2022. His termination came after he broke company rules by signing client documents without permission. LPL Financial discovered he had placed electronic signatures on account papers that should have been signed by the clients themselves.
This type of broker misconduct raises serious concerns about trust between financial advisors and their clients.
Such actions violate FINRA Rule 2010, which demands high standards of commercial honor from investment advisers. The unauthorized signing of new account applications and move money forms puts investors at risk.
Spencer Reed Huggett’s discharge shows how firms like LPL Financial protect their customers by taking swift action against compliance violations. Investors should always check their account documents to make sure all signatures are their own.
Legal Representation for Affected Clients
Clients hurt by Spencer Huggett’s actions need strong legal help. Haselkorn & Thibaut offers support for investors across the country with no upfront costs.
Haselkorn & Thibaut’s nationwide representation
We at Haselkorn & Thibaut stand ready to help investors across the country recover losses caused by financial advisor misconduct.
Our firm takes on cases involving falsified signatures, compliance violations, and other forms of broker misconduct that may have affected your investments. We handle these matters on a contingent fee basis, which means you pay legal fees only if we recover money for you.
Many investors don’t realize they have options after experiencing investment losses due to advisor wrongdoing.
Contingent fee basis for cases
We offer legal help to investors harmed by Spencer Huggett’s alleged misconduct on a contingent fee basis. This means you pay nothing upfront for our services. Our firm collects fees only if we recover money for you.
The financial risk stays with us, not with you. Many investors worry about legal costs when pursuing claims against investment advisers who falsified signatures or violated FINRA rules.
Our securities lawyers provide a free consultation to discuss your situation with LPL Financial or other brokers. This no-cost meeting helps us evaluate your case involving account documents or move money forms.
Clients appreciate this approach because it removes financial barriers to seeking justice for investment losses. The contingent arrangement aligns our goals with yours – we succeed only when you do.
Conclusion
Spencer Huggett’s alleged actions reveal serious breaches of trust in the financial industry. His reported falsification of signatures and misuse of personal emails damaged client accounts and violated key regulations.
Many investors now face losses due to these deceptive practices at Cetera Investment Advisers. Legal options exist for those harmed by such misconduct, Haselkorn & Thibaut offering help on a contingent fee basis.
Financial advisors must uphold strict ethical standards to protect client interests. Investors should stay alert to warning signs and seek proper legal advice if they suspect any wrongdoing with their accounts.
