Publicly available records provided by the Financial Industry Regulatory Authority (FINRA) on October 31, 2016 indicate that former Florida-based Kovack Securities broker Eduardo Diaz has been permanently barred from acting as a broker and an investment adviser, or otherwise associating with firms that sell securities to the public. The securities and investment fraud law firm Fitapelli Kurta is interested in speaking to investors who have complaints regarding Mr. Diaz (CRD# 1621873).
Eduardo Diaz has spent 25 years in the securities industry and was most recently registered with Kovack Securities in Fort Lauderdale, Florida (2012-2013). Previous registrations include Next Financial Group in Biloxi, Mississippi; AIG Financial Advisors in Biloxi, Mississippi; SunAmerica Securities in Phoenix, Arizona; and American Express Financial Advisors in Minneapolis, Minnesota. He is currently not registered with any state or firm.
According to his BrokerCheck report, Eduardo Diaz has received three regulatory sanctions, one customer complaint, and one criminal disclosure.
In September 2016 the Securities and Exchange Commission (SEC) sanctioned Eduardo Diaz after he “pled guilty to one count of mail fraud in violation of Title 18 United States Code, Section 1341 before the United States District Court for the Southern District of Mississippi” and “was sentenced to a prison term of 70 months followed by three years of supervised release and ordered to pay a fine of $15,000 and to make restitution in the amount of $641,435.88.” According to the SEC’s findings, Mr. Diaz “admitted that: From approximately February 2012 through October 2015, he devised a scheme to defraud investors to obtain money for his own personal use; As part of the scheme, he employed material false representations and promises; Diaz solicited significant sums of money from clients, several of whom were prior business relationships and friends; He also used investors’ money to pay off previous investors; and In one instance, on or about February 23, 2012, an investor wrote a check for $50,000 and mailed it to Diaz for the purpose of purchasing an annuity. None of the money was invested in an annuity.” He was permanently barred from acting as a broker and an investment adviser, or otherwise associating with firms that sell securities to the public.
In June 2016 Eduardo Diaz was charged with four felony counts of “frauds and swindles” in the US District Court for the Southern District of Mississippi. He pled guilty and was sentenced to “a prison term of 70 months followed by three years of supervised release and ordered to pay a fine of $15,000 and to make restitution in the amount of $641,435.88”
In 2014 a customer alleged Eduardo Diaz, while employed at Next Financial Group, misrepresented an investment, put “fraudulent” information on her application, and failed to disclose an investment’s true risk. The complaint settled for $250,000.
If you or someone you know has complaints regarding Eduardo Diaz, call the securities and investment fraud law firm Fitapelli Kurta at 877-238-4175 for a free consultation. You may be entitled to recover lost funds. All cases are taken on contingency: we only receive payment if and when you collect money. Time to file your claim may be limited, so we suggest you avoid delay. Call 877-238-4175 now to speak to an attorney for free.