Mark Kaplan of Woodbury New York a stockbroker formerly registered with Vanderbilt Securities LLC is referenced in a customer initiated investment related arbitration claim which was settled for $55,000.00 in damages based upon accusations that the customer’s common and preferred stock and over-the-counter equities holdings were inappropriate for the customer and had poorly performed. Financial Industry Regulatory Authority (FINRA) Arbitration No. 18-01098 (Oct. 10, 2018).
FINRA Public Disclosure reveals that Kaplan has been identified in seven additional customer initiated investment related disputes which pertain to allegations of his violative conduct while employed by securities broker dealers including Morgan Stanley and Vanderbilt Securities LLC. In particular, a customer initiated investment related arbitration claim concerning Kaplan’s activities was resolved for $470,000.00 in damages supported by accusations of options, stock and over-the-counter equities transactions executed in the customer’s account that were neither suitable nor authorized by the customer during the period in which Kaplan was associated with Vanderbilt Securities. FINRA Arbitration No. 15-01345 (Apr. 4, 2016).
Another customer initiated investment related arbitration claim involving Kaplan’s conduct was settled for $25,000.00 in damages based upon allegations of bad investment advice in regard to the over-the-counter equities held in the customer’s investment portfolio. FINRA Arbitration No. 15-03082 (May 17, 2016). On May 21, 2016, a customer initiated investment related arbitration claim regarding Kaplan’s activities was resolved for $240,000.00 in damages based upon accusations that when Kaplan was employed by Morgan Stanley, trades were effected in excessive amounts, and transactions executed in the customer’s account were entirely unsuitable. FINRA Arbitration No. 16-00613.
Kaplan is also the subject of a customer initiated investment related arbitration claim which was settled for $500,000.00 in damages supported by allegations of Kaplan selling bad real estate investment trust and master limited partnership products to the customer while associated with Vanderbilt. FINRA Arbitration No. 16-00193 (June 6, 2017).
Kaplan has been barred from associating with any FINRA member in any capacity based upon consenting to findings that he excessively traded and churned a Vanderbilt Securities customer’s account. Letter of Acceptance Waiver and Consent No. 2015045984001 (Mar. 7, 2018). According to the AWC, Kaplan serviced a ninety-three year old customer’s accounts beginning in 2011. Kaplan effected more than three thousand five hundred trades, causing the customer to incur losses of $723,000.00 while having to pay commissions of $735,000.00.
The AWC stated that the turnover rates in the customer’s two accounts ranged from two to more than one hundred eight; and annual cost-equity ratios ranging from sixteen percent to more than eight hundred fourteen percent. FINRA determined that Kaplan’s trades were inappropriate given the customer’s age, risk tolerance, investment profile, and needs. Kaplan’s conduct was violative of Securities Exchange Act of 1934 Section 10(b), SEC Rule 10b-5, and FINRA Rules 2010, 2111 and 2010.
Kaplan’s registration with Vanderbilt Securities LLC was terminated on February 22, 2018.
