Securities Industry Commentator by Bill Singer Esq
July 31, 2019
will switch to bulk-size bathroom amenities, with the transition to be completed during 2021. Building on its efforts to reduce plastic waste as part of a broader sustainability agenda, this pledge makes IHG the first global hotel company to commit all brands to removing bathroom miniatures in favour of bulk-size amenities.
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In August and September 2016, while registered through Morgan Stanley, Nichols recommended that customer JG make investments in the preferred stock of one issuer. JG also made additional unsolicited investments. By July 2018, the issuer had suspended its dividend payments, and JG had incurred significant unrealized losses in the security. In August 2018, JG complained to Nichols, both verbally and in writing, about the unrealized losses that he had incurred and the fact that the dividend payments had been suspended. In September and October 2018, Nichols wrote two checks to JG totaling approximately $28,000 to settle JG's complaint. Although Morgan Stanley was aware of JG's complaint, Nichols did not disclose to the Firm that he had written checks to JG to settle the complaint.
(BrokeAndBroker.com Blog)
Schwab Loses Non-Solicitation Arbitration Against JP Morgan and Former Rep. In the Matter of the Arbitration Between Charles Schwab & Co., Inc: Claimant, v. Gregory Hugh Jones and J.P. Morgan Securities, LLC, Respondents (FINRA Arbitration Decision 19-00616)
http://www.finra.org/sites/default/files/aao_documents/19-00616.pdf
In a FINRA Arbitration Statement of Claim filed in February 2019, FINRA member firm Charles Schwab & Co. asserted breaches of
contract, and the duty of loyalty; misappropriation of trade secrets under the Defend Trade Secrets Act
("DTSA") and the Texas Uniform Trade Secrets Act
("TUTSA"); tortious interference with contract and prospective business relations; unfair
competition; civil conspiracy; and aiding, abetting, and participation in breach of the duty
of loyalty and other unlawful conduct. As set forth in part in the FINRA Arbitration Decision:
Respondents generally denied the allegations and asserted various affirmative defenses. The FINRA Panel of Arbitrators denied Claimant Schwab's claims and prohibited the parties from:[T]he causes of action relate to Claimant's allegations that, as one of Claimant's registered representatives, Jones signed a confidentiality and non-solicitation agreement (the "Agreement") and the agreement was violated after Jones resigned and became J.P. Morgan's registered representative. Claimant asserted that Respondents used, and intend to continue to use, confidential trade secret information belonging to Claimant concerning Claimant's clients, in order to solicit those clients and induce them to terminate their relationship with Claimant.
seeking an extension of the Stipulated Final Judgment Granting Preliminary Injunction entered on June 4, 2019 by the United States District Court for the Northern District of Texas in the case styled Charles Schwab & Co., Inc. v. Gregory Jones (Case No. 4:19-cv-180-A).
Convicted Money Launderer Indicted for Fraudulent Scheme (DOJ Release)
https://www.justice.gov/usao-ma/pr/convicted-money-launderer-indicted-fraudulent-scheme
Yannick A. Minang pled guilty in the United States District Court for the District of Massachusetts, to a five-count Indictment involving a Business Email Compromise scheme ("BEC"). Apparently Minang was restless because he was Indicted on five counts of wire fraud, one count each of unlawful monetary transactions and money laundering conspiracy.As set forth in part in the DOJ Release:
[M]inang conspired with others to open numerous bank accounts in Massachusetts in the name of sham companies, as part of an apparent BEC scheme, which is a sophisticated scam often targeting businesses involved in wire transfer payments. The fraud is carried out by compromising and/or "spoofing" legitimate business email accounts through social engineering or computer intrusion techniques to cause employees of the victim company (or other individuals involved in legitimate business transactions) to transfer funds to accounts controlled by the scammers.
Through the use of fraudulent invoices and spoofed email accounts, Minang allegedly conspired to trick the victims of the scheme into wiring hundreds of thousands of dollars to bank accounts under his control. Minang and his co-conspirators then transferred funds from the accounts to others located overseas.