UBS Financial Services Inc. broker David Barnes (CRD# 2181896) faces customer complaints related to unsuitable investment recommendations in the high-risk energy and real estate sectors. He has been registered with UBS Financial Services Inc. in Dallas, Texas, since 2016.
David Barnes Customer Complaints
He has been the subject of two customer complaints between 2022 and 2020, according to his CRD report:
August 2022. “Time frame: 2004-2020 Allegations: Claimants’ counsel alleges that her financial advisor recommended an unsuitable portfolio concentration in energy, finance, and real estate investments and failed to reduce the leverage risk in Claimants’ accounts.” The customer sought $3,400,000 in damages. The complaint was regarding line of credit, MLPs, and preferred stocks. The complaint was settled for $380,158 in compensatory damages plus 4% interest per annum until paid in full, as well as $152,063.20 in attorney fees and a $625 filing fee. According to the FINRA award, the causes of action were “Daid Ray Barnes (“Barnes”) recommended an unsuitable investment strategy and hold recommendations in an undiversified and over-leveraged portfolio of securities in the energy, real estate, and financial sectors and other non-rated and below investment grade securities, and did not advise Claimant with respect to credit line balances to avoid margin calls and forced liquidations.”
August 2020. “Claimant alleges that her financial advisor made unsuitable investment recommendations, including loans.” The customer sought $500,000 in damages, and the cae was settled for $98,000. The complaint was regarding line of credit.
Pursuant to FINRA Rules, member firms are responsible for supervising a broker’s activities during the time the broker is registered with the firm. Therefore, UBS Financial Services Inc. may be liable for investment or other losses suffered by David Barnes’ customers.
Erez Law represents investors in the United States for claims against brokers and brokerage firms for wrongdoing. If you have experienced investment losses, please call us at 888-840-1571 or complete our contact form for a free consultation. Erez Law is a nationally recognized law firm representing individuals, trusts, corporations and institutions in claims against brokerage firms, banks and insurance companies on a contingency fee basis.
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