Gary Clifford Smith of Southern Pines North Carolina a stockbroker formerly employed by H. Beck Inc. has been discharged by the firm on September 8, 2016 founded on accusations that Smith altered customer account documentation in violation of H. Beck policy.
Financial Industry Regulatory Authority (FINRA) Public Disclosure reveals that Smith has been identified in five customer initiated investment related disputes containing allegations of Smith’s misconduct while employed with H. Beck. Particularly, Smith was subject of a customer initiated investment related arbitration claim where the customer was awarded $30,000.00 in damages based on Smith being found liable on the customer’s claims of Smith failing to disclose a subscription memorandum for a customer’s purchase of First Productivity Corporation promissory and convertible notes; and Smith failing to disclose the conflicts of interests in the customer’s transactions given his status as director and investor of First Productivity Corporation.
Thereafter, a customer initiated investment related arbitration claim concerning Smith’s activities was resolved for $9,950.00 in damages supported by accusations that Smith charged the customer excessive commissions in regard to a variable annuity Smith sold the customer; and assessed undisclosed solicitor fees to the customer in the purchase of the annuity. FINRA Arbitration No. 08-03989 (Feb. 18, 2009). Then, a customer initiated investment related arbitration claim involving Smith’s conduct was settled for $50,000.00 in damages based upon allegations that Smith placed the customer in inappropriate direct participation programs given the customer’s tolerance for risk and objectives for investing. FINRA Arbitration No. 10-01358 (June 9, 2011).
Moreover, on June 3, 2016, a customer filed an investment related complaint involving Smith’s conduct in which the customer requested $114,000.00 in damages founded on accusations that Smith, inter alia: effected unauthorized trades in the customer’s account; forged the customers signatures on account documentation; falsified the customer’s net worth; negligently handled the customer’s stock transactions; and exercised discretion in the customer’s account without the customer’s written consent. Then, on February 17, 2017, a customer filed an investment related complaint concerning Smith’s activities where the customer sought damages estimated to exceed $5,000.00 supported by allegations that the customer was sold direct participation program investments that were not suitable for the customer.
FINRA Public Disclosure further reveals that Smith has been subject of three additional regulatory actions concerning his violative conduct. For example, Smith was fined $5,000.00 and barred by National Association of Securities Dealers based upon allegations that Smith failed to cooperate with his obligations to pay an Arbitration Award totaling $71,274.22; conduct violative of Article III Section I of the Rules of Fair Practice. Case No. 07920019.
