Investigation of Joseph Andrew Paul, John D. Ellis Jr., Arjent LLC, and Kovack Securities
Have you lost money with financial advisors Joseph Andrew Paul and John D. Ellis Jr. of Philadelphia and Jeffersonville, Pennsylvania? We are investigating allegations made the Securities and Exchange Commission (SEC) against Joseph Paul and John Ellis. The SEC filed a complaint against Paul and Ellis in the Eastern District of Pennsylvania, alleging securities fraud.
The SEC alleged that Joseph Paul and John Ellis held “free dinner” investment seminars for senior investors from 2010 to 2012. At the seminars, they allegedly solicited the seniors to invest money in their investment advisory firm, Paul-Ellis Investment Associates. It was alleged that Paul and Ellis raised over $3.9 million from investors, but that this was part of a fraudulent scheme. The SEC further alleged that Paul and Ellis claimed that they managed over $164 million in client assets, but in reality, they never managed more than $4 million.
The SEC further alleged that Paul and Ellis used two others to solicit investors, including James S. Quay and Donald H. Ellison. Quay was a convicted felon and disbarred attorney.
Joseph Andrew Paul was a financial advisor and registered representative of Kovack Securities from August 2008 to April 2010. He was also affiliated with Arjent LLC from March 2010 to January 2011. Paul has been the subject of at least five customer complaints, as well as being terminated from two different firms during 2007. He worked at an office in Jeffersonville, Pennsylvania.
John D. Ellis Jr. was a financial advisor and registered representative of Kovack Securities from November 2007 to July 2009. He worked at a branch office in Philadelphia, Pennsylvania.
Brokerage firms like Kovack Securities and Arjent LLC 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 investors in Pennsylvania and New Jersey. Our attorneys have represented over one thousand investors against many brokerage firms in the past, including LPL Financial, Merrill Lynch, Morgan Stanley, Smith Barney, Stifel Nicolaus & Company, UBS Financial Services, Oppenheimer, Charles Schwab, Wells Fargo Advisors, Ameriprise Financial Services, Raymond James, ProEquities, Securities America, National Securities Corp., and many others.
Click to view: Paul-Ellis SEC Comp
Click to view: Paul BrokerCheck 4.4.16
Click to view: Ellis BrokerCheck 4.4.16
HAVE YOU LOST MONEY WITH JOSEPH ANDREW PAUL, JOHN D. ELLIS, JR., ARGENT LLC, OR KOVACK SECURITIES?
CONTACT ISRAELS & NEUMAN, PLC FOR A FREE CASE EVALUATION
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