Dan Droeg Embroiled in 6-Figure Dispute

Dan Droeg (CRD# 1509210[1]), formerly a broker registered with United Planners’ Financial Services, misappropriated client funds, according to an investor dispute. MDF Law is investigating the former Mesa, Arizona-based broker, who did business as Droeg Financial Services, for similar conduct. Contact us if you have any concerns regarding your own accounts.

For more information about the allegations against Mr. Droeg, who has been barred from acting as a broker, read below. This post is based on a February 7, 2024 review of his BrokerCheck profile, a Financial Industry Regulatory Authority (FINRA) resource. 

Pending Dispute Alleges Misappropriation

On January 26, 2024, an investor lodged a dispute involving Mr. Droeg. The claim alleges that he misappropriated the client’s funds, an act that would violate FINRA Rule 2150. As this important industry standard provides, no broker may “make improper use of a customer’s securities or funds.” The claim, which remains pending, seeks $980,000 in damages.

Firms Settled Past Disputes 

The above-described investor dispute is not the only one in Mr. Droeg’s past. In November 2016, a customer filed a dispute alleging that he “recommended unsuitably over-concentrated and illiquid investments” in variable annuity products. The investor also alleged that he “incorrectly reported the values and performance” of these products, leading to “excess distributions, unnecessary fees, and poor performance.” In 2018 his former member firms settled the disputes for $75,000.

More than a decade earlier, in 2005, another investor filed a dispute alleging that Mr. Droeg made unsuitable annuity recommendations. Later that year, his former member firm settled the dispute for more than $18,000.

Dan Droeg Barred over Conversion Allegations

In March 2022, FINRA filed an enforcement action against Mr. Droeg. The regulator described findings that he converted funds from a customer’s trust and transferred more than $878,000 to his own bank accounts. He then distributed a portion of these funds to the trust’s beneficiaries, according to FINRA, “and withdrew the remainder for personal use.” The beneficiaries of the trust were a senior married couple, per FINRA, “with no familial relationship to [Mr.] Droeg.” He did not admit to or deny the findings, but he did consent to FINRA’s sanction: a permanent bar from acting as a broker or otherwise associating with any broker-dealer firm. 

FINRA: Droeg Last Based in Mesa, Arizona

Dan Droeg launched his career as a broker in 1986, when he registered with Anchor National Financial Services. He worked at a number of firms over the course of his career, including Woodbury Financial Services, H. Beck, and SagePoint Financial. He worked at his most recent member firm, United Planners’ Financial Services, in Mesa, Arizona from August through October 2021. With 35 years of experience as a broker, he has completed six industry exams, including the Series 7 and the Series 63.

Call MDF Law Today for a Free Consultation

MDF Law’s dedicated broker fraud attorneys have recovered more than $100 million in losses for the victims of broker fraud. We accept cases on a contingency basis: clients only pay a fee if they win their case. We currently offer free consultations to investors across the country. If you suffered losses working with Dan Droeg, call us at 800-767-8040 for a free consultation.