AP Press Release1
Claim Alleges That Broker Leonard Kinsman Defrauded a Widow
Meissner Associates recently filed a FINRA arbitration claim on behalf of its client, a New Jersey widow with three children, against Wells Fargo Advisors Financial Network, LLC.
The claim alleges that Wells Fargo broker Leonard Kinsman inappropriately invested the proceeds of a life insurance policy the client received upon the death of her late husband in volatile, unsuitable securities and inappropriate annuities, along with utilizing margin and speculative options, resulting in tremendous fees to the bank and broker while causing tremendous losses to the client.
The FINRA arbitration claim further alleges the client had no prior investment experience, that she retained Kinsman upon his false promise of at least a 5 percent guaranteed return, and that despite prior marks on his FINRA record, Wells Fargo allowed Kinsman complete authority over the client’s account and failed to supervise him, allowing his actions to continue unabated until the client’s accounts with the bank were completely depleted, causing losses of almost $600,000.
The claim further alleges forgery and falsification of account-opening documents.
Broker Leonard Kinsman’s FINRA Record
Kinsman has prior marks on his FINRA record arising from similar allegations. According to FINRA BrokerCheck, a client previously complained that Kinsman falsely guaranteed a 5 percent return on investment with no risk to principal. Another client made a similar FINRA suitability claim against Kinsman, which alleged a $180,000 loss. That claim settled in advance of trial at 100 percent on the dollar—the entirety of the loss.
Kinsman was previously with Merrill Lynch, Pierce, Fenner & Smith Incorporated from October 2011 to June 2014, when he joined Wells Fargo.
Call a FINRA Arbitration Attorney
If you have experienced losses due to the actions or recommendations of Wells Fargo and/or its registered representative Leonard Kinsman, or Merrill Lynch, contact Meissner Associates and speak with an experienced FINRA arbitration lawyer regarding the possible recovery of your investment losses. Give us a call at 212-764-3100 or fill out the form below.
Meissner Associates is a New York-based law firm concentrating in FINRA arbitration, FINRA investor arbitration, SEC whistleblowing, SEC regulatory issues, and employment disputes. Managing Member Stuart Meissner is a former prosecutor of over a decade and has successfully represented employees, investors, and whistleblowers for over eighteen years. Additional information about the firm can be found here.