TD Ameritrade employee nets huge settlement

By Staff | September 8, 2011 | Last updated on September 8, 2011
1 min read

An employee of TD Ameritrade in the U.S. was awarded a $1 million settlement to cover unspecified damages, unpaid wages and bonuses and other complaints (In the Matter of the FINRA Arbitration Between Amir Ali Monsefi, Claimant, vs. TD Ameritrade, Inc., Respondent (FINRA Arbitration 09-06492, September 6, 2011)).

TD Ameritrade denied all allegations, but the Financial Industry Regulatory Authority arbitrators sided with the complainant. The panel also refused TD Ameritrade’s request for elaboration about reasons for its decision—something called an Explained Decision in arbitrator speak.

Noted securities lawyer and Forbes columnist Bill Singer says the behaviour of the arbitration panel is questionable, especially since it refused to provide details in a case where it gave such a large award against a publicly traded company whose shareholders are on the hook for the settlement money.

Advisor.ca staff

Staff

The staff of Advisor.ca have been covering news for financial advisors since 1998.