Thomas Alan Meier of Miami Florida is a stockbroker formerly registered with Morgan Stanley who has been barred from associating with any Financial Industry Regulatory Authority (FINRA) member in any capacity by consenting to findings that he effected unauthorized and discretionary trades in customer accounts. Letter of Acceptance Waiver and Consent No. 2016049628301 (Mar. 19, 2018).
According to the AWC, between July of 2012 and March of 2016, one thousand two hundred ninety (1,290) transactions had been placed by Meier in the accounts owned by six customers even though the customers never authorized the transactions. Evidently, those accounts were not established for discretionary trading to be effected. Apparently, the transactions Meier effected on an unauthorized basis included equity purchases and sales which enabled Meier to accumulate commissions totaling $265,000.00.
The AWC reported that customers were never apprised of the trades before they had been placed in their account, and customers never consented to the transactions before they had been effected. Evidently, between 2014 and 2015, two of the customers affected by Meier’s activities had incurred $78,000.00 in realized losses. Apparently, five customers had been collectively paid $1,087,610.00 by Morgan Stanley after customers lodged complaints concerning Meier’s wrongdoing. FINRA found that Meier’s conduct was violative of FINRA Rule 2010.
The AWC additionally revealed that between July of 2012 and March of 2016, trades had been placed in four additional customers’ accounts by Meier on a discretionary basis. Apparently, customers never furnished written authorization to Meier to justify his activities; the customers never approved of Meier’s exercise of discretion in the customers’ investment accounts. Further, the written procedures set forth by the firm had disallowed stockbrokers from effecting trades on a discretionary basis absent express approval being provided by the customers beforehand.
The AWC further detailed that transactions effected in the four customers’ accounts had not been labeled as discretionary within the firm’s systems. Four customers reportedly incurred approximately $1,400,000.00 in unrealized losses as of February 29, 2016. Moreover, from 2014 to 2015, one customer realized approximately $520,000.00 in net losses while another customer realized an estimated $120,000.00 loss. Evidently, three of the customers have been collectively paid $1,078,828.00 by Morgan Stanley after customers brought complaints to its attention concerning Meier’s activities. FINRA concluded that Meier’s conduct was violative of FINRA Rule 2010 and NASD Rule 2510(b).
FINRA Public Disclosure confirms that Meier has been identified in fourteen customer initiated investment related disputes containing accusations of his violative conduct during the time that he was employed with Morgan Stanley Smith Barney. Specifically, on May 2, 2016, a customer initiated investment related written complaint that pertained to Meier’s conduct was settled for $497,245.00 in damages based upon allegations that Meier made misrepresentations to the customer concerning equity transactions placed in the customer’s account between 2013 and 2016.
On June 1, 2016, a customer initiated investment related written complaint regarding Meier’s activities was resolved for $215,000.00 in damages supported by accusations that from March of 2012 to March of 2016, misrepresentations had been made concerning twenty-six exchange traded funds and thirty-three closed end funds, in addition to common and preferred stock transactions effected in the customer’s account. On July 8, 2016, another customer initiated investment related written complaint concerning Meier’s conduct was settled for $40,580.00 in damages founded on allegations that Meier misrepresented equity transactions executed in the customer’s investment account between 2013 and 2016.
Further, on August 8, 2017, a customer initiated investment related written complaint that pertained to Meier’s conduct was settled for $50,000.00 in damages based upon accusations of unauthorized stock trading in the customer’s investment portfolio. On August 17, 2016, another customer initiated investment related written complaint involving Meier’s conduct was settled for $90,000.00 in damages supported by allegations that Meier inappropriately invested the customers’ funds in equity investments, causing the customer to sustain investment losses.
On September 1, 2016, a customer initiated investment related written complaint that pertained to Meier’s conduct was settled for $366,577.25 in damages founded on accusations that from 2012 to 2016, Meier placed equity trades in the customer’s account on an excessive and unauthorized basis. Thereafter, on October 28, 2016, a customer initiated investment related written complaint regarding Meier’s activities was resolved for $37,610.00 in damages based upon allegations that between 2015 and 2016, Meier effected speculative equities transactions despite lacking the customer’s consent.
Meier is subject of a customer initiated investment related written complaint which settled on January 4, 2017 for $450,000.00 in damages supported by accusations of breach of fiduciary duty and negligence. One day later, another customer initiated investment related written complaint involving Meier’s conduct was settled for $300,000.00 in damages founded on allegations of breach of fiduciary duty and mismanagement of the customer’s equity portfolio between November of 2012 and March of 2016. Meier is also referenced in a customer initiated investment related written complaint which settled on March 14, 2017 for $60,000.00 in damages based upon accusations that he placed unsuitable stock transactions in the customer’s account.
Subsequently, a customer initiated investment related arbitration claim involving Meier’s conduct was settled for $250,000.00 in damages supported by allegations that between 2006 and 2015, Meier made unsuitable investment recommendations to the customer concerning structured products and equities for the purpose of generating commissions from the customer. FINRA Arbitration No. 16-03498 (Mar. 24, 2017). On July 27, 2017, two additional customer initiated investment related written complaints concerning Meier’s activities were resolved for a total of $145,000.00 in damages founded on accusations that between 2014 and 2016, the customers’ accounts had been over-concentrated by Meier in energy sector equities.
Moreover, Meier is referenced in a customer initiated investment related arbitration claim which settled for $49,999.00 in damages based upon allegations of suitability concerning direct investment products and over-the-counter equities transactions placed in the customer’s investment portfolio between 2012 and 2016. FINRA Arbitration No. 17-02631 (Feb. 12, 2018).
Meier’s registration was terminated by Morgan Stanley on April 5, 2016.
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