Michigan Revokes Registrations of Investment Advisor Representative, Anthony Cherniawski and The Practical Investor LLC After Mulitple Complaints of Significant Financial Losses
This September, Michigan LARA’s Corporation Securities & Commercial Licensing Bureau (CSCL) issued a Consent Order revoking the registrations of both Investment Advisor Representative Anthony Cherniawski and The Practical Investor LLC (TPI), of Lansing, Michigan.
Multiple consumer complaints against Cherniawski and TPI prompted the investigation into claims that Cherniawski suggested and held investment strategies significantly longer than was stipulated in the issuer’s prospectus, leading to considerable financial losses.
Alleged examples include a couple’s multiple IRA accounts that dropped in value from approximately $97,000 to less than $2000 in just six years. Another example of significant financial loss shows an account valued at approximately $12,000 in 2008 dropped to a mere $205 by 2016.
According to the investigation, at least 56 clients out of 58 showed similar results.
State regulators concluded that Cherniawski engaged in dishonest or unethical behaviors in violation of securities laws and that he engaged in further dishonest or unethical behavior by failing to monitor individual accounts. Considerable financial losses were a result of these fraudulent acts and broker negligence.
This act is guilty of a felony punishable by imprisonment up to 10 years or a fine of not more than $500,000 for each violation or both. The revocations will be final within 90 days after the effective date of the orders, allowing time to transfer clients to other advisors.
Michigan consumers are encouraged to do their research before investing. Be sure to check with CSCL before entering into any investment. The bureau can be reached at 517-241–6345 or online at www.Michigan.gov/securities.
TO SEE THE FULL PRESS RELEASE VISIT: http://www.michigan.gov/lara/0,4601,7-154-61343_77777-439397–,00.html
If you believe you have been a victim of securities or investment fraud, please contact our Michigan securities law firm today. We have helped countless individuals recover from investment losses. Call today for your Free case evaluation.