Ronald G Richer – and the firm that employs him or her – is regulated by the Financial Industry Regulatory Authority (FINRA).
If you are like most people, before you go out to dinner at a new restaurant, you probably take a quick look at the reviews. This makes sense; you are going to pay for an expensive dinner, and you need to be sure that you are getting a good value.
Yet, when choosing a financial advisor, many people fail to conduct this same level of due diligence. Before turning over access to your money, you need to be sure that you have found a financial advisor that you can trust. Here, our audit report, including details of allegations, complaints, and sanctions will help you decide whether or not to invest with Ronald G Richer.
The stock market is a device for transferring money from the impatient to the patient… Warren Buffet
BrokerComplaints.com is currently investigating allegations related to Ronald G Richer. We provide a free platform for investors to help them in their claims against negligent brokers and brokerage firms.
About Ronald Richer
Ronald G Richer is an Investment Adviser. Ronald G Richer’s Central Registration Depository (CRD) number is 2988381 and the FINRA Profile can be found at – https://brokercheck.finra.org/individual/summary/2988381.
Click here to download a Detailed Audit Report for Ronald G Richer.
Ronald G Richer has previously been reprimanded and has disclosures and/or client dispute(s) listed at FINRA BrokerCheck.
Accusations and Disclosures
You can find below, a quick snapshot of Ronald G Richer’s regulatory actions, arbitrations, and complaints.
DISCLOSURE 1 –
- Event Date: 7/30/2020
- Disclosure Type: Regulatory
- Disclosure Resolution: Final
- Disclosure Detail :: DocketNumberFDA: 2019062014501
- DocketNumberAAO: 2019062014501
- Initiated By: FINRA
- Allegations: Richer was named a respondent in a FINRA complaint alleging that he borrowed $15,000 from a senior customer without providing prior notice to, and receiving written approval from, his member firm. The complaint alleges that the loan did not fall within any of the limited circumstances excusing representatives from obtaining the firm’s advance written approval. To date, Richer has not repaid a significant portion of the loan. The complaint also alleges that Richer concealed the loan from the firm by falsely stating on annual compliance questionnaires that he had not borrowed money from a customer. The complaint further alleges that Richer attempted to conceal his misconduct from FINRA. As part of its investigation into whether Richer accepted a loan from the customer, FINRA requested that Richer provide copies of his bank account statements. Richer provided the requested bank statements, but only after he altered check images to disguise the fact that he wrote those checks payable to the customer by making it appear that they were made payable to other individuals. In addition, the complaint alleges that Richer testified falsely at his FINRA on-the-record interview by denying that he altered any of the records that he produced to FINRA and denying that he accepted money from a firm customer. Only after Richer was confronted with the evidence of his misconduct later in the same on-the-record interview did he admit to altering the check images and to accepting a loan from the customer.
- Resolution: Decision & Order of Offer of Settlement
- Sanction Details :: Sanctions: Bar (Permanent)
- Sanction Details :: Registration Capacities Affected: All Capacities
- Duration: Indefinite
- Start Date: 9/1/2020
- Regulator Statement: Without admitting or denying the allegations, Richer consented to the sanction and to the entry of findings that he borrowed $15,000 from a senior customer without providing prior notice to, and receiving written approval from, his member firm. The findings stated that the firm’s WSPs in place at the time of the loan permitted loans between representatives and customers in limited circumstances. However, in all instances other than when the loan was to or from a member of the representative’s immediate family or the customer was in the business of lending money, the representative was required to notify the firm’s chief compliance officer and receive written pre-approval before entering into any loan arrangement. The customer was not part of Richer’s immediate family and was not in the business of providing loans or credit. The findings also stated that Richer provided altered and fabricated documents to FINRA in connection with its investigation into the loan. Specifically, Richer altered check images on statements for a checking account prior to providing them to FINRA in order to disguise his loan repayments to the customer. The findings also included that Richer provided false on-the-record testimony. Richer falsely testified that he did not alter his bank account statements prior to producing them to FINRA. Richer also falsely testified that he had never accepted any payments or items of value from a customer who was not a member of his family. FINRA found that Richer falsely stated on annual compliance questionnaires that he had not borrowed money from the customer. Richer knowingly provided false answers in order to hide the existence of the loan from his firm.
DISCLOSURE 2 –
- Event Date: 5/12/2020
- Disclosure Type: Employment Separation After Allegations
- Disclosure Resolution:
- Disclosure Detail :: Firm Name: GARDEN STATE SECURITIES
- Termination Type: Discharged
- Allegations: TAKING A LOAN FROM A CUSTOMER WITHOUT PRIOR FIRM APPROVAL. APPARENT ALTERATION OF BANK RECORDS PRIOR TO SUBMISSION TO THE FIRM AND FINRA.
DISCLOSURE 3 –
- Event Date: 3/31/2020
- Disclosure Type: Regulatory
- Disclosure Resolution: Final
- Disclosure Detail :: DocketNumberFDA:
- Initiated By: Michigan
- Allegations: The Administrator intends TO REVOKE, SUSPEND, CONDITION, OR LIMIT THE SECURITIES AGENT REGISTRATION OF RONALD RICHER under section 412(2) of the Securities Act, MCL 451.2412(2), because he cannot pay obligations as they mature, causing him to be insolvent, which supports the revocation, suspension, conditioning, or limitation of his securities agent registration under the above-cited provisions of the Michigan Uniform Securities Act (2002), 2008 PA 551, MCL 451.2101 et seq.
- Resolution: Order
- Sanction Details :: Sanctions: Revocation
- Broker Comment: MR. RICHER HAS VOLUNTARILY WITHDRAWN FROM THE STATE OF MICHIGAN.
DISCLOSURE 4 –
- Event Date: 12/3/2019
- Disclosure Type: Customer Dispute
- Disclosure Resolution: Denied
- Disclosure Detail :: Allegations: UNAUTHORIZED TRADE ON 11/14/2019.
- Damage Amount Requested: $21,000.00
- Arbitration Docket Number:
DISCLOSURE 5 –
- Event Date: 6/6/2019
- Disclosure Type: Judgment / Lien
- Disclosure Resolution:
- Disclosure Detail :: Judgment/Lien Amount: $12,423.83
- Judgment/Lien Type: Tax
DISCLOSURE 6 –
- Event Date: 3/28/2018
- Disclosure Type: Customer Dispute
- Disclosure Resolution: Settled
- Disclosure Detail :: Allegations: UNSUITABILITY, BREACH OF FIDUCIARY RESPONSIBILITY, 12/2014-12/2015.
- Damage Amount Requested: $26,473.00
- Settlement Amount: $16,300.00
- Arbitration Docket Number: 18-00763
DISCLOSURE 7 –
- Event Date: 6/10/2016
- Disclosure Type: Customer Dispute
- Disclosure Resolution: Settled
- Disclosure Detail :: Allegations: Unauthorized trading on 12/16/2015, negligence, failure to supervise.
- Damage Amount Requested: $150,000.00
- Settlement Amount: $30,000.00
- Broker Comment: WHILE THERE IS NO ADMISSION OF LIABILITY OR WRONGDOING, THIS CLAIM HAS BEEN SETTLED TO AVOID THE COSTS AND UNCERTAINTY ASSOCIATED WITH ARBITRATION.
DISCLOSURE 8 –
- Event Date: 7/26/2012
- Disclosure Type: Customer Dispute
- Disclosure Resolution: Settled
- Disclosure Detail :: Allegations: UNSUITABLE RECOMENDATIONS 06/25/2012 THROUGH 07/13/2012
- Damage Amount Requested: $28,000.00
- Settlement Amount: $4,900.00
- Arbitration Docket Number: 12-03890
- Broker Comment: THE CLIENT WAS PLEASED WITH THE ACCOUNT AND SERVICES UNTIL THE VALUE OF THE PORTFOLIO DECLINED. THE CLIENT HAD SIGNED ALL DOCUMENTS FOR SPECULATION INCLUDING MARGIN AND OPTIONS. HE ADDITIONALLY REQUESTED TO BUY PENNY STOCKS. THE BROKER AND THE FIRM DENY THE ALLEGATION OF UNSUITABLITY AFTER EXTENSIVE CONVERSATIONS AND COMUNICATIONS WITH THE CLIENT, AND , EXTENSIVE REVIEW OF ALL DOCUMENTAION.
DISCLOSURE 9 –
- Event Date: 6/13/2005
- Disclosure Type: Regulatory
- Disclosure Resolution: Final
- Disclosure Detail :: DocketNumberFDA:
- Initiated By: WISCONSIN
- Allegations: A SUMMARY ORDER WAS ISSUED DENYING A SECURITIES AGENT LICENSE FOR FAILURE TO COMPLETE AN APPLICATION
- Resolution: Order
- Sanction Details :: Sanctions: Denial
According to a study prepared for the FINRA Investor Education Foundation, 80 percent of American investors report that they have been solicited to participate in a fraud scheme, while 11 percent of American investors report that they personally lost money as a result of fraud.
FINRA notes that the rate of investment fraud is most likely much higher than it is reported. This is because many victims of financial advisor scams are too ashamed to come forward. Further, the study also found that a significant number of investors do not know how to spot common red flags of investment fraud. The least you should do is share your experience with other potential victims of investment scams.
Previous Associations
Under federal securities law and securities industry regulations, registered investment firms have a legal duty to supervise their financial advisors. Section 15(b)(4)(E) of the Securities and Exchange Act of 1934 makes a securities firm liable for the conduct of representatives.
- GARDEN STATE SECURITIES, INC. (CRD#: 10083) :: 12/9/2014 – 5/14/2020 :: New York, NY
- GLOBAL ARENA CAPITAL CORP (CRD#: 16871) :: 5/7/2008 – 12/8/2014 :: NEW YORK, NY
- CLARK DODGE & CO., INC. (CRD#: 23288) :: 2/3/2006 – 5/30/2008 :: NEW YORK, NY
- WESTROCK ADVISORS, INC. (CRD#: 114338) :: 8/12/2004 – 2/2/2006 :: NEW YORK, NY
- INVESTPRIVATE, INC. (CRD#: 103737) :: 11/19/2002 – 8/10/2004 :: NEW YORK, NY
- BERRY-SHINO SECURITIES, INC. (CRD#: 38098) :: 6/20/2001 – 12/20/2002 :: SCOTTSDALE, AZ
- SOLID ISG CAPITAL MARKETS, LLC (CRD#: 39375) :: 2/20/1998 – 6/15/2001 :: NEW YORK, NY
The duty to supervise securities representatives is a strong legal requirement. Registered investment firms must take many different steps to ensure that they are protecting their customers from irresponsible and criminal financial advisors.
Legit or Not?
Unfortunately, stockbroker fraud is more common than many investors would like to think. And yes, stockbrokers (including Ronald G Richer, but not limited to) can (and do) steal money from their clients. While it’s rare that a broker will literally steal his client’s money (though that does happen), typically the “theft” of investment funds comes in the form of other fraudulent violations of securities law and FINRA rules which leads to significant investment losses.
Sometimes investment losses occur because advisors, stockbrokers, and even brokerage firms, commit fraud. Massimo Vignelli
Investors generally understand that there are risks associated with buying and selling securities. The market can go up, and the market can go down. No matter how skilled of an investor you are, there are always risks. With that being said, sometimes investment losses cannot be blamed on simple back luck.
There are 10 major types of complaints we receive against Investment Brokers –
- Outright Theft (Conversion of Funds)
- Unauthorized Trading
- Misrepresentation or Omission of Material Facts
- Excessive Trading (Churning)
- Lack of Diversification
- Unsuitable Investment Recommendations
- Failure to Disclose a Personal Conflict of Interest
- Front Running of Transactions
- Breakpoint Sale Violations
- Negligent Portfolio Management
Do your due diligence before investing. Public records are available for everybody to review and decide on the safest bet.
How to Protect Yourself
We, as citizens, place a great deal of trust in the financial advisors who are tasked with helping us achieve and maintain financial security. Most of the time financial advisors and stockbrokers are honest folks who work diligently in their client’s best interests. However, on occasion financial advisors and the brokerage firms who employ them mess up and cause serious financial harm to their clients. Sometimes these losses are caused by simple negligence. Other times fraud or other serious misconduct is to blame.
Here are 5 signs that your broker needs to be reported –
- Breach of Fiduciary Duty: Under the Investment Advisers Act of 1940, certain investment professionals, known as registered investment advisors (RIAs), owe fiduciary obligations to their customers. Your investment broker must always look out for your best interests. If you lost money because of your broker’s breach of fiduciary duty, you may be entitled to compensation for the full value of your damages.
- Unsuitable Investments: Many financial advisors are not fiduciaries. Instead, they are held to the suitability standard. These stockbrokers and financial advisors can only sell and recommend financial products that are appropriate for a customer’s unique investment profile. If you lost money in unsuitable investments, you should consider reporting them.
- Material Misrepresentations or Omissions: Brokers have a duty to make fair and honest representations to their clients. If they fail to do so, and an investor loses money due to a misrepresentation or a material omission, the broker may be liable for the investor’s losses.
- Lack of Diversification: Brokers must also act with the appropriate level of professional skill. Pushing a customer into over-concentrated investments is highly risky. Brokers can be held liable for losses sustained because of an investor’s inappropriate lack of diversification.
- Excessive Trading (Churning): Stockbrokers and financial advisors must have a well-grounded, reasonable basis to execute all trades. Unfortunately, there are cases in which brokers will frequently trade on a customer’s account, simply to increase their own fees. This unlawful practice is known as churning.
- Unauthorized Trading: Brokers must have the proper legal authority to make transactions on behalf of a client. If you lost money because your broker made trades that you never approved of, you may have been the victim of unauthorized trading. You should consult with an experienced attorney.
Report Ronald Richer
In order to prevail in an investment fraud lawsuit or FINRA arbitration cases, you must be able to assert a viable ‘cause of action’.
Ronald G Richer – and the firm that employs this broker – is regulated by the Financial Industry Regulatory Authority (FINRA). FINRA provides an online form to allow investors to file a formal complaint against their financial advisor, stockbroker, or brokerage firm.
Click here to go to FINRA’s Online Complaint Form →
This form will ask you for specific information related to your complaint. Be prepared by gathering the following:
- Name and symbol for the investment product in question.
- The CRD number (2988381) for the broker – Ronald G Richer
- Your complete contact information.
Remember, it is advised to report your broker to FINRA, only after you have exhausted all of your other remedies and carefully prepared a compelling complaint. Once you file a complaint against your broker at FINRA, your case will be bound by FINRA’s rules and the arbitration panel’s eventual decision. The time clock will start, and your complaint will be served on your broker or broker-dealer.