October 14, 2021 – Girard Bengali, APC is currently investigating former Western International Securities advisor Christopher Booth Kennedy for potentially engaging in unauthorized trading in customer accounts along with potential claims against Western International Securities for failing to appropriately supervise Mr. Kennedy’s trading activities. .
According to Mr. Kennedy’s publicly-available BrokerCheck, Western International Securities has discharged Mr. Kennedy based on customer allegations that he engaged in unauthorized trading.
Brokerage firms like Western International Securities have a duty to their clients to supervise advisors and ensure that they only trade with appropriate authorization.
If you have investments with Christopher Booth Kennedy or Western International Securities, Inc., you may be entitled to damages. Reach out today to schedule your confidential consultation with the securities litigation attorneys at Girard Bengali, APC.
Improper Margin and Options Trading, Forgery, and Denial of Access
According to Mr. Kennedy’s BrokerCheck, since the end of 2020, multiple clients have asserted claims against Mr. Kennedy. One client alleged that Mr. Kennedy forged and denied access to client account statements to hide allegedly improper trading in the client’s account. Another alleged that his account lost $300,000 due to Mr. Kennedy’s unauthorized trading in just a few months. A third claimed Mr. Kennedy used margin without approval and performed improper trading options.
As recently as January 5th, 2021, FINRA censured and fined Western International Securities for failing to implement and maintain a supervisory system “that was reasonably designed to achieve compliance with option position limits.”
Girard Bengali, APC, is aware of and currently investigating client claims that Mr. Kennedy allegedly performed unauthorized trades, placing his clients’ accounts at risk.
Trading on Margin Can Hurt Your Portfolio
Margin trading is essentially borrowing money to make investments. The margin is the difference between the money in the investor’s account and the money they have borrowed to invest. Margin trading can reap significant rewards in some cases, but it’s also significantly riskier than standard investing. If investors lose money while trading on margin, they are still responsible for paying back the borrowed funds.
“Unauthorized trading” is just that: trading performed by a financial advisor that has not been previously authorized by the account owner. Unauthorized trades are actions that the account owner did not approve, and thus are likely to exceed their risk tolerance or otherwise violate their wishes.
IF YOU LOST MONEY WITH CHRISTOPHER BOOTH KENNEDY OR WESTERN INTERNATIONAL SECURITIES, INC. PLEASE CONTACT US AT 323-302-8300 FOR A FREE AND CONFIDENTIAL EVALUATION OF YOUR CASE.