Wedbush Securities Broker Permanently Barred by FINRA for Conversion of Elderly Customer’s Funds
Michael B. Winegar, a former General Securities Representative with Los Angeles, California-based Wedbush Securities, Inc. (Wedbush) submitted a Letter of Acceptance, Waiver and Consent (AWC) in which he was permanently barred by the Financial Industry Regulatory Authority (FINRA). According to FINRA, Michael Winegar, of Salem, Oregon, converted $100,000 from an elderly customer and used the money to repay his family and personal debts and trade securities. According to FINRA, Mr. Winegar enticed an 85-year-old elderly customer into paying him $100,000. Mr. Winegar allegedly told the customer that he intended to use the money to establish an independent investment advisory firm and would supposedly pay back the $100,000 debt by providing the customer with free investment advice for the next four years. FINRA found that soon after Mr. Winegar had received the $100,000, he did not establish an independent advisory firm but instead sold his securities business to another Wedbush registered representative and left the securities industry. Part of the sale involved Mr. Winegar entering into a non-compete agreement that prevented him from providing the elderly customer the investment advice that he had intended to provide in order to obtain the money for the business.
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