Investors Seek $42.2 Million in Damages in Disputes with Chuck Roberts

Chuck Roberts (CRD #: 2064602), a broker registered with Stifel, Nicolaus & Company, allegedly violated state and federal laws, according to his BrokerCheck record, accessed on January 15, 2025. If you have questions about his alleged conduct as a broker, read on.

Investor Disputes

Seventeen pending disputes, filed from 2022-2024, collectively allege that Chuck Roberts engaged in the following misconduct:

• Fraud
• Breach of contract
• Negligence
• Violations of federal securities laws, including Regulation Best Interest and Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 
• State securities laws, including the Florida Securities and Investor Protection Act and the New Jersey Uniform Securities Law

Investors seek $42.2 million in damages.

On May 10, 2023, multiple investors filed a dispute alleging Chuck Roberts breached his contract and engaged in fraud, negligence, and violations of the Florida Securities and Investor Protection Act and the Employee Retirement Income Security Act (ERISA). The dispute was settled for $2,581,200.91.

A dispute filed on May 9, 2023, named Chuck Roberts in allegations of fraud, negligence and negligent supervision, breach of contract, and violation of the Florida Securities and Investor Protection Act in connection with investments in structured notes.

Claimants received a settlement of $13,065,436 in damages, as well as additional payment for attorneys’ fees, interest, and other costs. You can read the arbitration award here.

On April 11, 2023, an investor alleged that Chuck Roberts misled him with regard to the risks and characteristics of certain investments. This dispute was denied by the firm.

On October 24, 2023, multiple investors alleged that Chuck Roberts failed to discuss the risk profile of their investments and made these investments without authorization. They sought $150,000 in damages but the dispute was denied.

However, investors should be aware that firms can deny disputes without an outside review. Investors can still pursue FINRA arbitration and potentially recoup their losses following a denial.

FINRA Rule 2010

FINRA Rule 2010 holds brokers to high standards of commercial honor and just and equitable principles of trade.

FINRA Rule 2020

FINRA Rule 2020 bans the use of manipulative, deceptive, or otherwise fraudulent means of influencing investors’ decisions. Misrepresenting or omitting material facts related to an investment’s risks or features violates this rule.

Regulation Best Interest

Regulation Best Interest (Reg-BI) is an SEC regulation that requires brokerage firms to put their clients’ best interests first. For example, firms must conduct reasonable due diligence when researching investments to ensure their recommendations are suitable for the investor.

Securities Exchange Act of 1934

Section 10(b) of the Securities Exchange Act of 1934 prohibits the use of deceptive, manipulative, and otherwise fraudulent practices relating to the purchase and sale of securities. Within this section, Rule 10b-5 prohibits fraudulent schemes, as well as untrue statements and misleading omissions of fact.

Section 20(a) states that every person controlling a person accused of violations is also liable for their violations. In other words, if a supervisor fails to detect and prevent another broker’s violations of securities regulations, they can also be considered responsible.

FINRA Rule 3110

FINRA Rule 3110 requires that firms establish supervisory systems to ensure their compliance with securities regulations. Firms must appoint supervisors and provide them with Written Supervisory Procedures (WSPs) to follow.

FINRA Rule 3260

Unauthorized trading violates FINRA Rule 3260, which limits brokers to exercising their trading discretion in pre-approved discretionary accounts.

What is Broker Negligence?

Brokers may act in many negligent ways, ranging from making unsuitable investment recommendations to engaging in excessive or unauthorized trading.

Investors who feel their losses are the result of broker negligence may be able to recover their funds by seeking out FINRA arbitration. 

What are Blue Sky Laws?

Blue sky laws are state-level regulations that provide investors with an additional layer of protection against securities fraud. They typically also define which types of investments must register with the state securities board.

Background Information

Chuck Roberts has passed the following exams:

• Series 65 – Uniform Investment Adviser Law Examination
• Series 63 – Uniform Securities Agent State Law Examination
• SIE – Securities Industry Essentials Examination
• Series 31 – Futures Managed Funds Examination
• Series 7 – General Securities Representative Examination

Chuck Roberts is a registered broker in 28 states, the District of Columbia, and Puerto Rico. He is also a registered investment adviser in Florida, New York, and Texas.

He has also worked for the following firms:

• Morgan Stanley (CRD#:149777)
• Citigroup Global Markets (CRD#:7059)
• Oppenheimer & Company (CRD#:249)
• CIBC World Markets Corporation (CRD#:630)
• M. J. Whitman (CRD#:27870)
• PaineWebber (CRD#:8174)
• Lehman Brothers (CRD#:7506)

Kurta Law Can Help

If you worked with Chuck Roberts and you have concerns about your investments, please contact us today at 877-600-0098 or info@kurtalawfirm.com for a free consultation.

For over 20 years, Kurta Law has advocated on behalf of investors who want to recover their investment losses from brokers and brokerage firms. Kurta Law is a nationally recognized law firm and exclusively represents investors against brokers and brokerage firms on a contingency basis. This means that the firm only earns a fee if our securities attorneys recover money on your behalf.