The Frankowski Firm has filed a Financial Industry Regulatory Authority (“FINRA”) arbitration claim on behalf of two elderly clients who claim they were the victims of fraud and neglect at the hands of Benjamin Soccodato, Jason Bayuk, and Barnum Financial Group.
According to the allegations, Soccodato and Bayuk, as registered agents of Barnum Financial, were financial advisers to six trusts of which the claimants were the beneficiaries. The claimants allege that the respondents engaged in fraud, willful neglect, and reckless disregard for the trust assets resulting in damages exceeding $5 million across their accounts.
The claimants are senior citizens whose trust assets comprised their entire life savings. According to their complaint, they told the respondents from the outset of their relationship that they were seeking minimal risk investments and could not invade the trusts’ principal. They claim the respondents assured them their investments would produce annual principal growth and dividend income.
Instead, the claimants allege that their trusts have lost over $5 million in value and they have been unable to obtain statements from the firm to account for where the lost money went. They also allege that Soccodato misrepresented material facts about certain of their investments: failing to disclose their illiquidity, high risk, and that two of the investments were private placements. The case is still pending before FINRA.
The Frankowski Firm is committed to protecting and asserting the rights of elderly investors who have been financially harmed by their adviser’s wrongdoing. If you or someone you know has lost money as the result of a misrepresented or unsuitable investment as a customer of Barnum Financial Group, Benjamin Soccodato, or Jason Bayuk, please call the Frankowski Firm at 888.741.7503 or fill out this contact form.