Robert William Kasten, who is a registered broker with the brokerage firm of Securities America Inc, is the subject of customer dispute disclosures involving him on the allegations of selling away and recommending unsuitable investments to the client, according to an investigation by investment loss lawyer, Alan Rosca.
Investment loss lawyer Alan Rosca of the Rosca Scarlato LLC law firm, is investigating conduct related to the customer dispute disclosures involving the Securities America Inc. broker, Robert Kasten, on the allegations of selling away and unsuitable investment recommendation.
It is alleged that the registered broker, Robert Kasten was in the employment of First Allied Securities at the time the conducts in the allegations were carried out.
First Allied Securities is a Financial Industry Regulatory Authority (FINRA) member firm, with Kasten reportedly operating out of an office based in League City, Texas.
Currently Robert William Kasten is a broker registered with Securities America in League, TX. He is also a registered investment adviser with Robertson Wealth Management in Houston, TX according to his CRD Report.
Concerned about investments with
Robert William Kasten Is the Subject of Multiple Customer Dispute Disclosures
The investment loss lawyers at Rosca Scarlato reveal in their investigation of publicly available records that the registered investment adviser, Robert Kasten is the subject of three customer dispute disclosures on the allegations of selling away and unsuitability of his investment recommendations to the clients as reported on his FINRA Brokercheck page.
The three customer dispute disclosures were initiated by different clients, two of them on the same day in March 2020 and one of them in August 2020, and all seeking damages for their loss.
The earlier investor sought to recover $400,000 in damages on the allegation of the breach of fiduciary duty by the investment adviser. According to the client, while he was registered with First Allied Securities, broker Robert Kasten solicited and recommended unapproved outside securities to them. The client further alleged that the investment adviser was negligent as he breached their contract and also made unsuitable investment recommendations.
The second client also sought to recover $900,000 in damages on similar allegations. In addition to the client alleging that Robert William Kasten solicited unapproved outside securities transaction, breach of contract and negligence, the client also alleged fraud ultimately leading to a breach of fiduciary duty.
The most recent dispute was reportedly filed August 2020 alleging that while Kasten was registered with First Allied Securities, he solicited an investment in an unapproved outside securities transaction. The customer also alleges fraud, breach of contract and negligence and is requesting unspecified damages.
Concerned about investments with
About Selling Away
Generally speaking, selling away is an unapproved transaction which tends to put investors in undue jeopardy and could be a breach of the brokers’ potential fiduciary duty.
Regulated by FINRA Rule 3280, FINRA provides rules any broker is expected to comply with before engaging in any outside transaction. This involves brokers soliciting and selling securities outside the approved list of securities certified by the brokerage firm. The broker could be carrying out such transactions to make extra commissions than required.
It is important to note that before any security is placed in the approved list of the brokerage firm, the firm is typically expected to have carried out the appropriate due diligence to determine the suitability of such security.
The due diligence involves the scrutiny of the security itself and the scrutiny of the firm offering the security. Where any broker is seeking to sell any security outside the approved list, the broker is typically expected to notify the firm and compliance department for the approval of the transaction. Where the transaction is approved by the firm, then the broker and firm may be held jointly liable for any loss occasioned by that transaction.
Furthermore, a broker is typically expected to make investment recommendations that suit the age, tax and financial status, liquidity needs and investment profile of the client. Where the investment recommendation does not suit any of the factors mentioned above, it may be deemed as unsuitable and where the client suffers a loss as a result of that, the broker can be held liable for the loss and for other damages as may be determined in the dispute.
All these are general considerations, not necessarily applicable to any one case, and do not constitute legal advice. Investors looking for legal advice for their particular situation should contact a qualified lawyer and discuss about the facts applicable to their specific case.
Finally, it is important to note that, as of the date of this article, there has not been a finding of liability as to the complaints or allegations mentioned in this article, unless otherwise indicated. Any reader should also read the original sources hyperlinked in this blog for accuracy, including any BrokerCheck report and/or record of any disciplinary or regulatory action. Those sources are incorporated by reference into the text of this blog, and are the governing materials in case of any inconsistencies or typos in this blog.
Concerned about investments with
Securities Lawyer Investigating Potential Options
The Rosca Scarlato LLC law firm represents investors who lose money as a result of investment-related fraud or misconduct and is currently investigating conduct related to broker Robert William Kasten’s customer dispute disclosures on the allegations of selling away and unsuitable investment recommendation.
The firm takes most cases of this type on a contingency fee basis and advances the case costs, and only gets paid for their fees and costs out of money recovered for clients. Attorney Alan Rosca, a securities lawyer and adjunct professor of securities regulation, has represented thousands of victimized investors across the country and around the world in cases ranging from arbitrations to class actions.
Investors who believe they lost money as a result of conducts related to broker Robert Kasten’s customer dispute disclosures on the allegations of selling away and unsuitable investment recommendation, may contact attorney Alan Rosca for a free no-obligation evaluation of their recovery options, at 888-998-0530, via email at arosca@rscounsel.law, or through the contact form on this webpage.
