WARNING! Investigation of RICHARD FOSTER – Tulsa, OK
Richard Foster from Tulsa, Oklahoma, Suspended Six Months from Securities Industry
Have you lost money with financial advisor Richard Foster of Tulsa, Oklahoma? We are investigating allegations made by FINRA, the Financial Industry Regulatory Authority, against Richard Charles Foster. FINRA suspended Foster from the securities industry for six months and fined him $10,000 after he allegedly commingled a customer’s funds with his own, while working with Cetera Investment Services.
FINRA alleged that Foster was working at MidFirst Bank in Tulsa in early 2013, when a customer rolled his 401K to an IRA at Cetera. Roughly a year later in early 2014, Foster recommended that the customer withdraw money from his IRA and let Foster manage his money using exchange traded funds (ETF) options. Foster allegedly represented that he would receive a higher rate of return than previous investments, and that he could generate income to pay for any tax penalties from the early withdrawal of the IRA.
FINRA alleged that Foster deposited the customer’s funds into his own account in order to trade in the ETF options. By mid-2015, the customer’s investment had lost over 65% of its value, and the customer incurred an $81,000 tax penalty for the early IRA withdrawal. FINRA alleged that this strategy was unsuitable, and that Foster inappropriately commingled customer funds.
Richard Foster was a financial advisor and registered representative of Cetera Investment Services from October 2012 to April 2014. He also worked with Money Concepts Capital from February 2011 to September 2012. He worked at a branch office in Tulsa, Oklahoma. Foster’s BrokerCheck report discloses that he has one customer complaint on his record. Foster was also affiliated with MidFirst Bank.
Brokerage firms like Cetera Investment Services have the responsibility to adequately supervise all representatives who are registered through their firm. Brokerage firms also must take steps to ensure that their financial advisors follow all securities rules and regulations, as well as internal firm policies. When brokerage firms fail to adequately supervise their registered representatives, they may be liable for investment losses sustained by customers.
Israels & Neuman PLC is a securities and investment fraud law firm with offices in Denver, Colorado and Seattle, Washington. We represent investors in FINRA arbitration proceedings in all 50 states, including investors in Oklahoma in the past, including investors from the Tulsa area, such as numerous victims who lost money in the Larry Dearman scheme. Our attorneys have represented over one thousand investors against many brokerage firms in the past, including Cetera Investment Services.
Click to view: Foster, Richard FINRA AWC
Click to view: Foster, Richard BrokerCheck 1.18.18
If you lost money with Richard Foster or Cetera Investment Services, please CONTACT US at 206-795-5798 for a free evaluation of your case.
Israels & Neuman, PLC is a private law firm and is not affiliated with any government or law enforcement agency. Any investigation referenced in this blog is independent in nature and is being conducted by our law firm privately, not in conjunction with any government or law enforcement agency. All information contained in this blog should be deemed statements of opinion derived from the author’s review of public records, not statements of fact. This blog is advertising material and does not create an attorney client relationship, nor does it constitute legal advice. Everyone’s situation is different and the question of whether or not you have a claim will vary on a case-by-case basis. In contingent representation, clients may still be liable for costs.
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