Former Merrill Lynch Broker, Alec Rivera pleads guilty to stealing from clients
Have you suffered losses investing with former Merrill Lynch broker Alec Rivera? If so, The White Law Group may be able to help you recover your losses by filing a FINRA Arbitration claim against the brokerage firm that sold you the investment.
Alec Rivera pleaded guilty this week to stealing more than $1 million from two clients, according to a plea agreement filed in U.S. District Court in Illinois.
As we told you in October, Rivera was charged with wire fraud in October. He admitted to stealing $1,060,381 from the customers between October 2010 and October 2013. The customers have been reimbursed by Merrill Lynch. Rivera allegedly invaded the clients’ accounts over 100 times to transfer funds to accounts he controlled as treasurer of a Chamber of Commerce office.
Rivera faces a maximum sentence of 20 years in prison and a $250,000 fine, and has agreed to pay Merrill $1,060,381 in restitution.
According to his FINRA Broker Check, Rivera was barred from the securities industry in 2014, following the 2013 allegations of the fraud. He was registered with Merrill Lynch from 06/2008 – 10/2013 in Chicago, IL until he was discharged in light of the allegations.
Failure to Supervise
Brokers have a fiduciary duty to make investment recommendations that are consistent with the clients net worth, investment experience and objectives. Risk tolerance, age, and liquidity needs also need to be considered. Furthermore, brokers are prohibited from engaging in underhanded businesses practice, like churning or unauthorized trading, that violate securities laws and regulations.
When brokers abuse client accounts and conduct transactions that violate securities laws, the brokerage firm they are working with may be liable for investment losses. Brokerage firms that fail to monitor the business activities of their employees may be liable for investment losses due to negligent supervision for the misconduct of their employees.
If you suffered losses investing with Alec Rivera, the attorneys at The White Law Group may be able to help. For a free consultation, please call (888) 637-5510.
The White Law Group, LLC is a national securities fraud, securities arbitration, investor protection, and securities regulation/compliance law firm with offices in Chicago, Illinois and Franklin, Tennessee.
For more information on The White Law Group, visit www.WhiteSecurtiesLaw.com.
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