Thomas Heflin Redmond Jr. (CRD #4116004, Reg. Representative, Carmel, Indiana) recently submitted a Letter of Acceptance, Waiver and Consent in which he was barred from association with any FINRA member in any capacity.
Without admitting or denying the findings, Redmond consented to the described sanction and to the entry of findings that he made unsuitable investment recommendations to a customer. The findings stated that Redmond recommended that she invest 47.5 percent of her available funds in high risk investments, including $100,000 in an oil and gas offering by an entity (Provident Royalties, LLC); the SEC later charged the entity, its affiliates and control persons with operating a $485 million offering fraud scheme.
The findings also stated that Redmond knew the customer was an elderly widow with minimal investment experience, and was looking to preserve her assets and invest conservatively, so his recommendation was unsuitable. The findings also included that Redmond failed to follow the customer’s instructions in connection with the purchase of a variable annuity by failing to elect the minimum income benefit rider on the variable annuity.
FINRA found that Redmond forged customers’ signatures on subscription agreements to purchase interests in an entity’s offering. Redmond signed the customers’ names without their express authorization or consent. FINRA also found that Redmond made misrepresentations to a customer while soliciting him to invest in an entity’s offering; Redmond falsely claimed that he had personally invested a third of his assets in the offering when he had not invested in the offering. (FINRA Case #2009020417501).
Redmond entered in the securities industry in 2000. He has worked for Provident Capital Management, Inc (2010-2012), Velocity Capital (2009-2010), NEXT Financial (2007-2009) and Faith Financial Planners (2001-2007) in Indianapolis and Carmel, Indiana.
Attorney Scott Starr of Starr Austen & Miller, LLP has represented over 500 clients regarding their oil and gas investments since 1982. At Starr Austen & Miller LLP, we help people who have lost money because their stock brokers or advisors mismanaged their investments. As a rule, we only get paid if you do. About 75 percent of the cases we’ve taken are paid contingency. The types of securities fraud cases we handle include:
- Overconcentration (an entire portfolio concentrated in one type of investment)
- Broker theft of money
- Churning (excessive trading of a client’s account in order to increase broker commissions)
- Breach of trust claims
- Self-Directed IRA
Over the years, clients have come to Starr Austen & Miller because they know they’ve lost money but were not sure how it happened. Perhaps you, too, are in such a situation. Don’t take your advisor’s word for it. We’ll help you know your rights. If you don’t have a case, we won’t sugarcoat it. We’ll tell you the truth.
But you need to act fast. If you don’t, you may not be able to legally recover anything.
As securities fraud lawyers, most of our clients are between 60 and 80 years old, are five or more years into retirement and do not have a college education. Some worked for Eli Lilly. Many have pension funds and now have cash they don’t know what to do with, partly because they have never handled their own investments.
With money in hand and a very trusting heart, these clients went to a broker for the first time. Brokers often put their clients into investments that make money for themselves. The clients think they are getting one investment, but they are really getting another.
They don’t understand their statements, and if they do, they call their broker anyway. The broker’s advice? Don’t worry about the investments because values continuously go up and down, and over the long term, they will go up.
But the investments keep losing value.
When the investments are all but gone, panic sets in. Embarrassed investors blame themselves, thinking they can’t believe they were so stupid. Initially they do not tell their kids about their plight, but they eventually do. With no real help from searching on the Internet, they call Starr Austen & Miller LLP — when they have all but lost it all. Please contact us using the form.