Legend Securities Fined $300,000 by S. Carolina Securities Regulators

Legend Securities Fined $300,000 by S. Carolina Securities Regulators

Legend Securities Fined $300,000 by S. Carolina Securities Regulators 150 150 Robert Rex, Esq.

March 18, 2016-Columbia, South Carolina

Legend Securities was named in Administrative Order File Number 14108 filed  by the Securities Division of the Office of the Attorney General of South Carolina for violations of South Carolina law.

The Order finds that Legend Securities:

  • charged unreasonable fees on certain sales to residents of South Carolina
  • failed to obtain information necessary to determine if reasonable grounds existed to believe the securities transactions it recommended for a customer were suitable for the customer
  • failed to enforce their written supervisory procedures concerning the sales of GT Advanced Technologies (GTAT), a non-exchange listed, over the counter security, in at least 13 instances
  • committed securities fraud in connection with the sale of GTAT by soliciting buy orders and failing to disclose that GTAT had filed bankruptcy to the purchasers

Legend Securities was ordered to cease and desist violating the South Carolina Securities Act, censured and fined $300,000. Legend Securities has the right to request a hearing on the matter.

Legend Securities has been a FINRA member since 1998 and is headquartered in New York City. They have about 146 brokers in 14 branch offices.

According to FINRA records, Legend Securities has been named in 10 regulatory matters including a recent FINRA sanction in which Legend Securities was fined $125,000 for failing to see and respond to red flags of suspicious transactions related to penny stock sales. See this for more.

GT Advanced Technologies which traded at nearly $20 in late 2014 now trades at $.02. South Carolina residents who suffered losses on GTAT which they purchased on the recommendation of a Legend Securities broker may be able to recover damages through FINRA arbitration. Call to discuss your options.

Rex Securities Law , with offices in Boca Raton, FL,  and  Austin, TX,   provides representation to  investors  nationwide who are seeking recovery of investment losses due to the negligence or fraud of stockbrokers and broker dealers. If you have questions about how your account has been handled, call to speak with an experienced securities attorney.

Most cases handled on a contingent fee basis meaning that you do not pay legal fees unless we are successful.

Nationwide Representation

Rex Securities Law

TollFree: 877-224-3199

Florida-561 391 1900 


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