Tom Swan Allegedly Misrepresented Bond Investments
Tom Swan (CRD# 1698430), a broker registered with Western International Securities, misrepresented investments, according to multiple investor disputes. MDF Law is investigating the Westlake Village, California financial professional for similar conduct. If you have concerns about your portfolio, contact our attorneys for a free consultation.
To learn more about the allegations against Mr. Swan, continue reading this post. The information below is sourced from his BrokerCheck record, a Financial Industry Regulatory Authority profile reviewed on October 10, 2024.
Investors Allege Misrepresentation, Unsuitable Sales
Since 2020, six parties of investors have filed disputes involving Mr. Swan that his member firm settled. These disputes included allegations of misrepresentation, negligence, and unsuitable recommendations. Five of them involved corporate bond investments, while another involved annuity and insurance products. His firm settled the claims for more than $200,000 in total.
Past Dispute Alleged Unauthorized Transaction
On September 12, 2024, another investor lodged a dispute alleging that Mr. Swan made an unauthorized transaction. The dispute sought $12,000 in damages and was denied by his member firm.
What Is a Denied Complaint?
As FINRA notes, a firm’s denial of an investor dispute does not mean the claim was without merit. Rather, it signifies that the broker and/or the firm evaluated the allegations and determined that they was groundless. When a customer’s complaint is denied, the customer may still pursue a settlement from the firm or file a FINRA arbitration proceeding. (It should also be noted that just as a claim’s denial does not mean it was meritless, the filing of a claim does not necessarily mean its allegations are true.)
SEC Alleged Tom Swan Unsuitable Sold GWG L Bonds
In 2022, the Securities and Exchange Commission undertook an administrative proceeding against Mr. Swan, according to his BrokerCheck record. The SEC alleged that he and other representatives unsuitably sold GWG L Bonds to customers of their member firm. These investments, the SEC describes, were “high risk, illiquid, and only suitable for customers with substantial financial resources.” The representatives, however, sold them to customers without a reasonable basis to believe they were suitable. “Among other things,” the SEC alleged, “these customers had moderate-conservative or moderate risk tolerances, investment objectives that did not include speculation, limited investment experience, limited liquid net worth, and/or they were retired.” As a result of these findings, the regulator ordered Mr. Swan to pay disgorgement of $12,555.
FINRA: Broker Located in Westlake Village, California
Tom Swan launched his career as a broker in 1987, when he registered with First American National Securities in Duluth, Georgia. Over the following years he registered with firms including Planned Investments, IFG Network Securities, and Financial West Group. He joined Western International Securities in 2008 and has remained there since, based in Westlake Village, California. With 35 years of experience as a broker, he has completed six industry exams, including Series 66 and the Series 6.
GWG Losses? Call MDF Law for a Free Consultation
Did you lose money on GWG L Bond investments recommended by Tom Swan? You may be able to file a FINRA arbitration proceeding to recover losses. Contact MDF Law for a free consultation about your case. Our attorneys boast extensive experience advocating for the victims of broker fraud, collecting millions in recoveries. To chat with an attorney for free, call 800-767-8040 today.