Bob Gonser ‘s client was awarded $3.9 million, which included 100% of the losses, as well as interest, attorney’s fees and costs. An experienced investor received fraudulent portfolio reports from his broker, which were sent from a national brokerage firm’s branch office. The fraudulent portfolio reports were used by the broker to conceal his unauthorized trading in the investor’s account. After six days of hearings, the panel of three Pacific Exchange arbitrators found that the broker had committed fraud, and that the national brokerage firm failed to adequately supervise the broker.
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