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Broker Complaints: Coastal Equities, Inc. (The Falmouth Financial Group) (CRD# 23769)

 

Fitapelli Kurta is interesting in hearing complaints from investors who have lost money investing with Costal Equities, Inc. also known as The Falmouth Financial Group.

Costal Equities, Inc. is a registered broker-dealer firm formed in Massachusetts in 1989. Costal Equities, Inc.’s main office is located at 1201 Orange Street Suite 729 Wilmington, Delaware 19801. Costal Equities, Inc. is registered with the SEC, FINRA and the NASDAQ Stock Market. Costal Equities, Inc.is approved in 52 U.S. state and territories. Costal Equities, Inc. has 82 financial professionals nationwide and two more main offices in New York and Florida.

Costal Equities, Inc.’s brokers have a history of customer complaints. The following is a brief list of investor complaints filed against either Costal Equities, Inc. or its brokers.

Costal Equities, Inc. broker, Douglas R. Bevers has a slew of customer complaints, FINRA violations, and was terminated from another broker-dealer firm before starting work at Costal Equities, Inc. In August 2009, a complaint was filed against Douglas R. Bevers for unauthorized trading from 2006 to 2007. The investor sought $250,000 in damages and receive $170,000 in settlement. In 2003 a complaint was filed against Douglas R. Bevers for churning his customer’s account, making unsuitable investment recommendations and fraud. That customer received the full $90,000 requested in settlement.

That same year, Douglas R. Bevers was terminated from Janney Montgomery Scott, LLC for failing to obtain written approval from the client before accepting orders from a third party. In 2002 a customer complaint alleged Douglas R. Bevers committed fraud, breached his fiduciary duty, churned his client’s account and made unsuitable investment recommendations. In 1998 Douglas R. Bevers was suspended from the securities industry for 90 days and fined $10,000 for failing to supervise his agents. Specifically, Douglas R. Bevers allowed his brokers to engage in unauthorized trading, forge customer’s signatures on checks, and engage in unsuitable investment transactions. Douglas R. Bevers has been working at Coastal Equities, Inc.’s Delaware office since February 2014. Before that he worked for Boenning & Scattergood, Inc. in Berwyn, Pennsylvania, Janney Montgomery Scott, LLC in Philadelphia, Pennsylvania and Ekins & Co. He has also worked for Merrill Lynch, Fin-Plan Investments, Inc. and Penn Mutual Equity Services, Inc.

Former Costal Equities, Inc. broker, Michael E. Donnelly also has a history of complaints and FINRA violations. For example, in October 2014, Michael E. Donnelly was permanently barred from the financial industry for failing to respond to FINRA request for production of documents in relation to an investigation against Donnelly. According to Michael E. Donnelly’s BrokerCheck Report, FINRA was investigating Michael E. Donnelly for alleged conversion of customer funds. Michael E. Donnelly was terminated from Costal Equities, Inc. in September 2014 for allegations of misappropriation of client funds.

However, this is not the first time Michael E. Donnelly has been had to leave from a broker-dealer firm. In fact, in 1997, Michael E. Donnelly was “permitted to resign” from Keystone Brokerage, Inc. on allegations that he received commissions payments in violation of Keystone Brokerage’s policy in the amount of $32,285. In 2001 a customer field a complaint against Michael E. Donnelly alleging unsuitable investment recommendations. The customer sought over $250,000 in damages. Michael E. Donnelly worked for Costal Equities, Inc. from 2009 to 2014. Before that he worked for First Midwest Securities, Inc. from 2006 to 2009. From 2002 to 2005 Michael E. Donnelly worked for The Investment Center, Inc. Michael E. Donnelly also worked for Keystone brokerage, Inc., Laughlin Group Advisors, Marketing One Securities, Thomas James Associates, and New England Securities.

If you or someone you know has fallen victim to any corrupt broker practices at Costal Equities, Inc., also known as The Falmouth Financial Group.  as a result of bad investments recommended by Costal Equities, Inc. or any of its brokers, you may be entitled to full recovery of your losses.

Our firm prosecutes cases on behalf of investors, like yourself, who have been victimized by broker-dealers like Costal Equities, Inc., also known as The Falmouth Financial Group.  Time to file a claim with FINRA is limited, so do not delay. Call 212-658-1502 now for your free consultation.