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Written by 5:56 pm Blog, FINRA SEC Sanctions, Securities Fraud Articles

Former Arizona Financial Advisor Bart Ellis Pleads Guilty

Bart J. Ellis

Bart Ellis Accused of Defrauding Clients for more than $1.1 Million

Have you suffered losses investing with former financial advisor, Bart Ellis? If so, the securities attorneys at The White Law Group may be able to help you recover your losses through FINRA arbitration.

Former financial adviser, Bart Ellis has pleaded guilty to transactional money laundering after being accused of defrauding clients of more than $1.1 million, according to US News & World Reports.

Federal prosecutors say Bart James Ellis entered his plea July 12 in U.S. District Court in Phoenix, AZ.

Ellis faces up to a 10-year prison term when he’s sentenced Oct. 2 and must make full restitution to all victims. In exchange for the guilty plea, 17 other counts against Ellis were dismissed including several counts of wire fraud and aggravated identity theft.

Prosecutors say he solicited investor funds from former clients which were then fraudulently used and spent by Ellis. Ellis was indicted in the case five months ago stemming from an Internal Revenue Service criminal investigation.

According to FINRA BrokerCheck, Ellis was registered with Ameriprise Financial in Chicago, IL from 10/05/2009 – 10/26/2012. He has five customer complaints listed on his Broker report. Allegations include unsuitable trades, unauthorized transactions and churning among others. Bart J. Ellis was barred from the securities industry in March 2015.

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 Bart J. Ellis, 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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