(FINRA Case #2014041137501)
Kelly Clayton Althar (CRD #2666723, San Pablo, California) submitted an Offer of Settlement in which he was barred from association with any FINRA member in any capacity. Without admitting or denying the allegations, Althar consented to the sanction and to the entry of findings that he made unsuitable recommendations and engaged in excessive trading in accounts held by an elderly customer.
The FINRA findings stated that Althar engaged in high-volume trading to generate commissions and over- concentrated the customer’s accounts in risky securities, despite the fact that the customer was close to retirement and only wanted low-risk investments. Althar’s trading decimated the customer’s accounts, which constituted the bulk of her net worth and retirement savings.
After the customer opened her accounts with Althar at his member firm, he exercised de facto control over both her accounts and frequently placed trades without consulting with her first. Althar often purchased, sold and subsequently repurchased the same security in the customer’s accounts within a short period of time. Althar used this control to excessively trade the customer’s accounts in a manner that was inconsistent with her investment objectives, financial situation and needs, and the trading strategy resulted in costs so high the possibility of profit was remote.
If you feel you have been misled or charged excessive trade commissions on unauthorized trades by Kelly Clayton Althar or any Broker and wish to discuss legal action, please contact Darren Blum at 1-877-786-2552 (1-877-STOCK LAW), www.stockattorneys.com for a free consultation.