Arbitration Award Against Hilliard Lyons Regarding Advisor Michael Barnett
In Benitone v. Hilliard Lyons, a couple brought claims against JJB Hilliard WL Lyons (Hilliard Lyons), regarding the conduct of financial advisor Michael Barnett from Marion, Illinois. The couple alleged violation of the Illinois Securities Law, negligent misrepresentation, breach of fiduciary duty, negligent supervision, and fraud in connection with the sale of investments in oil stocks, including Breitbart Energy Partners Limited Partnership. Unfortunately, Breitbart Energy filed for bankruptcy in 2016. This wiped out most of the couple’s portfolio.
The case proceeded in FINRA Arbitration (Financial Industry Regulatory Authority) before three arbitrators with a hearing venue in St. Louis, Missouri. The arbitrators found that Hilliard Lyons Advisors was liable and ordered them to pay the Claimant $450,000 in compensatory damages, $100,000 in punitive damages, and $18,399 in costs.
Michael B. Barnett is a financial advisor and registered representative of Hilliard Lyons from January 2012 to the present. He has worked at branch offices in Marion, Illinois. Michael Barnett has been the subject of one other customer complaint.
Brokerage firms like Hilliard Lyons Advisors have a responsibility to adequately supervise all representatives who are registered through their firm. Brokerage firms also must take steps to ensure that their financial advisors follow all securities rules and regulations, as well as internal firm policies. When brokerage firms fail to adequately supervise their registered representatives, they may be liable for investment losses sustained by customers.
Israels & Neuman PLC is a securities and investment fraud law firm with offices in Denver, Colorado and the Seattle area. We represent investors in FINRA arbitration proceedings in all 50 states, including dozens of investors in Illinois, and throughout southern Illinois (including Carbondale), and the St. Louis area. Our attorneys have represented over one thousand investors against many brokerage firms in the past, including Hilliard Lyons.
Attorney David Neuman was born and raised in Illinois and is licensed to practice law in Illinois. He attended the University of Illinois where he earned a degree in Finance, before earning his law degree at Northern Illinois University.
Click to view: Barnett, Michael BrokerCheck 10.4.17
Click to view: Benitone v. Hilliard Lyons Award
If you lost money with Michael Barnett or Hilliard Lyons, please CONTACT US at 720-599-3505 for a free evaluation of your case.
Israels & Neuman, PLC is a private law firm and is not affiliated with any government or law enforcement agency. Any investigation referenced in this blog is independent in nature and is being conducted by our law firm privately, not in conjunction with any government or law enforcement agency. All information contained in this blog should be deemed statements of opinion derived from the author’s review of public records, not statements of fact. This blog is advertising material and does not create an attorney client relationship, nor does it constitute legal advice. Everyone’s situation is different and the question of whether or not you have a claim will vary on a case-by-case basis. In contingent representation, clients may still be liable for costs.