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Gilbert Kuta Under Scrutiny With Three Regulatory Sanctions

Gilbert KutaPublic records published by the Financial Industry Regulatory Authority (FINRA) on September 28, 2016 indicate that Maryland-based Capitol Securities broker/adviser Gilbert Kuta has been the subject of customer complaints. The securities and investment fraud law firm Fitapelli Kurta is interested in speaking to investors who have complaints regarding Mr. Kuta (CRD# 1084075).

Gilbert Kuta has spent 33 years in the securities industry and has been registered with Capitol Securities Management in Timonium, Maryland since 2009. Previous registrations include RBC Capital Markets in Hunt Valley, Maryland; Ferris Baker Watts in Hunt Valley, Maryland; Smith Barney Shearson in New York, New York; Lehman Brothers in New York, New York; Painewebber Incorporated in Weehawken, New Jersey; A.G. Edwards & Sons in St. Louis, Missouri; Laidlaw Ansbacher Incorporated; and Merrill Lynch, Pierce, Fenner & Smith.

According to his BrokerCheck report, Gilbert Kuta has received four customer complaints and three regulatory sanctions, and resigned from his position at Smith Barney Shearson.

In 2014 a customer alleged Gilbert Kuta, while employed at RBC Capital Markets and Ferris Baker Watts, unsuitably recommended investments in mutual funds and unit investment trusts. The complaint settled for $22,500.

In 2011 a customer alleged Gilbert Kuta, while employed at RBC Capital Markets, recommended unsuitable equities. The complaint settled in 2012 for $270,000.

In 2007 a customer alleged Gilbert Kuta, while employed at Ferris Baker Watts, executed an unsuitable strategy, improperly utilized margin, and charged high commissions. The complaint settled for $60,000.

In 1994 the State of Maryland sanctioned Gilbert Kuta, while he was employed at Ferris Baker Watts, following unspecified allegations. He consented to heightened supervisory procedures.

In 1994 the State of Virginia sanctioned Gilbert Kuta, while he was employed at Ferris Baker Watts, following unspecified allegations. He consented to heightened supervisory procedures.

In 1993 the New York Stock Exchange sanctioned Gilbert Kuta following allegations, among others, he engaged in conduct inconsistent with just and equitable principles of trade by effecting unauthorized transactions. He was censured and issued a one-month suspension from the securities industry.

A mutual fund is a variety of investment that combines a collection of stocks, bonds, or other securities. The collection is referred to as a portfolio. Each share of a portfolio represents the investor’s ownership of the fund’s holdings and the income generated by these holdings. Mutual funds typically generate money for investors either by way of dividends on stocks and interests on bonds, or a capital gain on the sale of securities. Mutual funds also allow you to receive a check for the distributions or simply reinvest the earning into more shares. They are often inexpensive and easy to purchase; they also generally allocate risk well, and bring the benefit of professional management. However, they may also come with hidden fees, and trigger a capital gains tax when a fund manager sells a security. Brokers and investment advisers who engaged in misconduct related to mutual fund investments may be subject to disciplinary action from FINRA, the Securities and Exchange Commission, or state authorities.

If you have lost money investing with Gilbert Kuta, you may be entitled to recoup your losses. Call the securities and investment fraud law firm Fitapelli Kurta at 877-238-4175 for a free consultation. All cases are taken on a contingency basis, which means we only get paid if and when you collect money. Time to file your claim may be limited, so we encourage you to avoid delay. Call 877-238-4175 now to speak to an attorney for free.