Were you the victim of former Raymond James Financial Services, Inc. broker Michael Shillin (CRD# 5927156)? He was registered with A.G.P. / Alliance Global Partners in Altoona, Wisconsin from 2018 to 2020, when he was terminated regarding, “Mr. Shillin resigned while under investigation for (a) creation and alteration of documents and e-mails designed to show the existence of a long term care (LTC) insurance policy in favor of a “beneficiary” who was not a client of the Firm, when in fact, that policy did not exist, and (b) for directly making a series of payments to the “beneficiary” of the non-existent LTC policy. In addition, Mr. Shillin made material misstatements and provided falsified/altered documents to Firm personnel during the investigation in an apparent effort to explain the situation. The investigation to date has not uncovered any evidence of diversion of funds.” Previously, he was registered with Raymond James Financial Services, Inc. in Chippewa Falls, Wisconsin from 2014 to 2018, when he was terminated regarding “failure to follow firm directive regarding the payment of client CPA fees.”
In November 2020, the FINRA Department of Enforcement opened an investigation into Michael Shillin to determine whether violations of the federal securities laws or FINRA, NASD, or MSRB rules have occurred.
In December 2020, FINRA barred him after he, “consented to the sanction and to the entry of findings that he refused to produce information or documents or give on-the-record testimony requested by FINRA. The findings stated that Shillin’s member firm filed a Form U5 stating that he had resigned while under investigation for creating and altering documents and e-mails designed to show the existence of a long term care insurance policy that did not exist, for directly making a series of payments to the beneficiary of the non-existent long term care insurance policy, and for making material misstatements and providing falsified/altered documents to firm personnel during the investigation in an apparent effort to explain the situation. The firm filed an amended Form U5 stating that a client had complained that Shillin made misrepresentations relating to the amount and source of expected dividends in his account.”
In January 2021, the state of Wisconsin barred Michael Shillin.
In September 2021, the Securities and Exchange Commission (SEC) alleged that he “regularly told his clients he was their fiduciary. They, in turn, entrusted him with their hard-earned savings. Shillin systematically betrayed their trust, plying them with lies. Too often, the results were devastating. Shillin, in the course of selling a life insurance policy, told his client it contained a long-term care benefit. The client, now suffering from an illness, learned there was no such policy or benefit only after his diagnosis. Another client decided to retire early upon learning from Shillin that he was $450,000 richer. Shillin had explained the money was the profits from Shillin’s purchase of Space Exploration Technologies Corp. or “SpaceX” stock for the client. Only later did the investor learn the truth: The SpaceX stock and the resulting nest egg were figments of Shillin’s deception. These are only two examples of Shillin’s myriad lies and the resulting suffering they have caused so many of his clients. Shillin went to great lengths to deceive his clients. He even set up an online portal for his clients to monitor their portfolio of securities and profits – much of which, as we now know, were pretend.”
In January 2022, the Securities and Exchange Commission (SEC) barred Michael Shillin for his participation in the offering of a penny stock. The SEC found that he “made numerous material misrepresentations to at least 100 advisory clients to entice them to place or keep their funds under his advisory management. Shillin’s misrepresentations were wide-ranging, and included misstatements and omissions of material fact regarding the nature of his clients’ investments; false claims that he had invested clients’ funds in initial public offerings (“IPOs”) or pre-IPO stocks; false claims about the value of clients’ portfolios; and misstatements regarding Shillin’s termination from a previous employer.”
Michael Shillin Customer Complaints
He has been the subject of 38 customer complaints between 2020 and 2021, four of which were closed without action and one was withdrawn, according to his CRD report:
December 2021. “Each claimant alleges one or more of the following: that former FA misrepresented they bought securities in claimants’ accounts when he did not actually buy them and presented claimants with documents that led them to believe the securities had been bought; bought securities for Claimants that he was not authorized to buy; misrepresented the premiums owed for life insurance; incorrectly advised claimants on how much they could withdraw from their accounts to live on; improperly advised claimants to obtain margin; and/or incorrectly advised claimants they could retire based on the purported performance of their investments.” The customer is seeking $1 million in damages.
May 2021. “Each claimant alleges one or more of the following: that former FA misrepresented that he bought securities in claimants’ accounts when he did not actually buy them and presented claimants with documents that led them to believe the securities had been bought; misrepresented that he had purchased long-term care riders for claimants; appeared to use transfers from claimants’ investment accounts or payments from claimants’ own capital invested in annuity to create illusion of benefit payments from long-term care product; misrepresented the premiums that would be owed by claimants on long-term care policies; misrepresented how long long-term care benefits would last; misrepresented that after a specified time, the cash value of two insurance policies would be sufficient to fund future premiums; failed to make ongoing payments from claimants’ accounts for insurance product’s long-term care rider, causing policy to be canceled; misrepresented that withdrawals from claimants’ accounts were non-taxable when they were actually taxable; incorrectly advised claimants they could retire based on the purported performance of their portfolios; failed to follow instructions not to buy bonds that were not FDIC insured; and/or made unauthorized disbursements from two trusts.” The customer is seeking $1,000,000 in damages and the case is currently pending. The complaint took place while he was registered with Raymond James Financial Services, Inc. and was regarding corporate debt, life insurance, private securities, and defalcation.
May 2021. “Each claimant alleges one or more of the following: that former FA misrepresented that he bought securities in claimants’ accounts when he did not actually buy them and presented claimants with documents that led them to believe the securities had been bought; represented that a claimant could obtain long-term care benefits under a rider to the claimant-spouse’s long-term care policy but never submitted the paperwork; failed to inform claimants that there were limits on penalty-free withdrawals from 401k accounts that had been rolled into an IRA; incorrectly represented to claimants they could withdraw from their IRAs when the withdrawals were prohibited transactions, and he prepared falsified accounting documents; improperly advised claimants they were eligible for a benefit under the Affordable Care Act and prepared a falsified Form 1099 reflecting a lower income; incorrectly advised claimants that investments in pre-IPO stocks would provide certain tax benefits, provided figures to include in tax returns, and represented that he would file the tax returns and forward payment to the IRS for claimants but failed to do so; incorrectly advised claimants on how much they could withdraw from their accounts to live on; and/or incorrectly advised claimants they could retire based on the purported performance of their portfolios.” The customer is seeking $1,000,000 in damages and the case is currently pending. The complaint took place while he was registered with Raymond James Financial Services, Inc. and was regarding insurance defalcation.
April 2021. “Client indicated Mr. Shillin did nor properly manage their account, and misrepresented the insurance coverage held by the client as it relates to long-term care.” The case was settled for $5,000. The complaint took place while he was registered with A.G.P. / Alliance Global Partners.
April 2021. “Former client alleges that former FA may have fabricated statements to falsely reflect syndicate transactions in former client’s account that were not actually executed.” The case is currently pending. The complaint took place while he was registered with Raymond James Financial Services, Inc. and was regarding common and preferred stocks.
April 2021. “Former clients allege that FA gave them false information and misrepresented their investments and portfolio.” The case is currently pending. The complaint took place while he was registered with Raymond James Financial Services, Inc. and was regarding insurance and life insurance losses.
April 2021. “Client alleges the advisor used fake statements for IPOs to hide the misappropriation of funds. Allegation Activity Dates: 6/17/2015 – 05/21/2018.” The case is currently pending. The complaint took place while he was registered with Raymond James Financial Services, Inc.
March 2021. “Clients allege that FA misrepresented that structured CD they purchased would pay periodic interest. The structured CD, however, only paid interest at maturity, but clients still received periodic interest payments which FA funded from his bank account.” The case is currently pending. The complaint took place while he was registered with Raymond James Financial Services, Inc. and was regarding structured products.
March 2021. “Client alleges that Mr. Shillin (a) misrepresented the nature, amount and value of certain securities, including telling the client that he owned certain securities that were never actually purchased; and (b) engaged in the improper use of margin. The client alleges he has incurred tax liabilities and has made other financial decisions in reliance on Mr. Shillin’s misrepresentations that have caused him damages. Client also alleges that the Firm failed to supervise Mr. Shillin.” The customer is seeking $5,000 in damages and the case is currently pending. The complaint took place while he was registered with A.G.P. / Alliance Global Partners and was regarding common and preferred stocks and pre-IPO shares of a private company.
February 2021. “Clients stated that starting in or around October 2019 (or possibly earlier), Michael Shillin misrepresented the amount and source of expected dividends and funds in their accounts. Clients also stated that Mr. Shillin told them that they owned SpaceX stock and had significant profits in that stock, when in fact, the clients did not buy or own SpaceX stock. Clients also stated that they told Mr. Shillin that they had a tax liability of approximately $13k based on reporting of supposed profits and income. Client stated that Shillin said there was no tax liability and that he would resolve the issue and submit the clients’ tax returns to the IRS for them. Clients indicated the issue was not resolved and tax returns were never filed.” The customer is seeking $13,000 in damages and the case is currently pending.
February 2021. “Client stated that Mr. Shillin told him that he owned pre-IPO shares of SpaceX, even though the client did not pay for those securities and does not own them.” The customer is seeking $7,500 in damages and the case is currently pending. The complaint took place while he was registered with A.G.P. / Alliance Global Partners and was regarding pre-IPO shares of a private company.
February 2021. “Clients stated that Mr. Shillin made misstatements about the taxability of withdrawals from IRA accounts, resulting in tax issues for the clients. Clients also stated that Mr. Shillin told them that they owned pre-IPO shares of SpaceX, even though the clients did not pay for those securities and does not own them.” The customer is seeking $145,000 in damages and the case is currently pending. The complaint took place while he was registered with A.G.P. / Alliance Global Partners and was regarding pre-IPO shares of a private company.
February 2021. “Clients stated that Mr. Shillin made misstatements about the taxability of withdrawals from an annuity and accounts at AGP, resulting in tax issues for the clients.” The customer is seeking $5,000 in damages and the case is currently pending. The complaint took place while he was registered with A.G.P. / Alliance Global Partners.
February 2021. “Clients stated that Mr. Shillin misrepresented the features of insurance policies which appear to have been purchased before Mr. Shillin’s employment with AGP. Clients also stated that Mr. Shillin mismanaged their retirement funds resulting in poor investment performance.” The customer is seeking $5,000 in damages and the case is currently pending. The complaint took place while he was registered with A.G.P. / Alliance Global Partners and was regarding pre-IPO shares of a private company.
February 2021. “Clients indicated Mr. Shillin misrepresented the value of one of their accounts. Clients further indicated that they had a verbal agreement with Mr. Shillin that he would not use discretion on their managed accounts (Note: Signed paperwork indicates discretion was properly granted). Clients also indicated they did not receive confirms or statements on their accounts. (Note: Both accounts were set up for e-Delivery. The e-Delivery email address matches the address provided by the client.).” The customer is seeking $51,588 in damages and the case is currently pending. The complaint took place while he was registered with A.G.P. / Alliance Global Partners and was regarding government debt.
February 2021. “Client stated that Mr. Shillin recommended an IRA rollover that caused a taxable event, and that Mr. Shillin charged management fees that were higher than the amount that had been agreed upon. Client also stated that Mr. Shillin told him that he owned pre-IPO shares of SpaceX and Palantir, although it does not appear that the client ever purchased those shares. Further, client stated that Mr. Shillin lied about creating a living trust for him.” The customer is seeking $5,000 in damages and the case is currently pending. The complaint took place while he was registered with A.G.P. / Alliance Global Partners and was regarding pre-IPO shares of a private company.
January 2021. “Client stated that Mr. Shillin provided them with an inaccurate, falsely inflated value of pre-IPO shares of SpaceX that had been purchased by the client.” The customer is seeking $5,000 in damages and the case is currently pending.
January 2021. “Client was told by Mr. Shillin he had purchased pre-IPO shares of SpaceX and Palantir. The client did not pay for these securities, and does not own them. The client further stated that Mr. Shillin gave him poor advice about the amount of money he could remove from his account per month.” The customer is seeking $5,000 in damages and the case is currently pending. The complaint took place while he was registered with A.G.P. / Alliance Global Partners and was regarding pre-IPO shares of a private company.
January 2021. “Clients indicated they are having tax and insurance issues based on Mr. Shillin’s advice. Clients indicated Mr. Shillin provided a falsified 1099 for 2019 in an attempt to coverup his bad advice.” The customer is seeking $30,000 in damages and the case is currently pending.
January 2021. “Clients stated that (a) they retired in 2015 and 2016, and made other financial decisions, based on misrepresentations made by Mr. Shillin about their financial situation and account balances; (b) Mr. Shillin recommended that they cash in a paid insurance product to fund a different policy, and that this policy has lapsed due to Mr. Shillin’s misrepresentations, and (c) Mr. Shillin told them they owned pre-IPO shares of SpaceX and Palantir, even though the clients did not pay for those securities and do not own them.” The customer is seeking $5,000 in damages and the case is currently pending. The complaint took place while he was registered with A.G.P. / Alliance Global Partners and was regarding pre-IPO shares of a private company.
January 2021. “Client stated that he was supplied with a falsified 1099 by Mr. Shillin which caused tax and other issues, including with the receipt of a federal stimulus check. Client also stated that Mr. Shillin misrepresented Enterprise Zone formation and associated taxation. Client also stated that Mr. Shillin told him he owned pre-IPO shares of SpaceX and Palantir, even though the client did not pay for those securities and does not own them.” The customer is seeking $5,000 in damages and the case is currently pending.
January 2021. “Client stated that he was supplied with a falsified 1099 from Mr. Shillin which caused tax issues. Client further stated he based retirement decisions on Mr. Shillin’s misrepresentations about his financial status. Client also stated that Mr. Shillin told him that he had purchased pre-IPO shares of SpaceX and Zoom.” The customer is seeking $300,000 in damages and the case is currently pending. The customer is seeking $5,000 in damages and the case is currently pending. The complaint took place while he was registered with A.G.P. / Alliance Global Partners and was regarding pre-IPO shares of a private company.
January 2021. “Clients stated that they retired based on false information that Mr. Shillin provided to them as to the value of their accounts in 2014. Clients also stated that Mr. Shillin misled them about the source of their monthly distributions by stating that they represented income on their investments, when they appear to have been disbursements of the principal in their accounts.” The customer is seeking $5,000 in damages and the case is currently pending.
January 2021. “Clients stated that Mr. Shillin misrepresented the features of an insurance policy they purchased in 2015 (while at a different firm). The clients indicated they were misled about the source of distributions from their accounts at AGP. The clients further indicated that they had tax issues based on bad advice from Mr. Shillin, and that Mr. Shillin reimbursed them for those amounts. Clients also stated that Mr. Shillin told them they owned pre-IPO shares of Spacex. It does not appear that the clients ever paid for the shares of SpaceX.” The customer is seeking $5,000 in damages and the case is currently pending. The complaint took place while he was registered with A.G.P. / Alliance Global Partners and was regarding pre-IPO shares of a private company.
January 2021. “Clients stated that Mr. Shillin guaranteed them they would not lose any principal in their account, but they lost $17,336 in an IRA based on his bad advice. The clients also stated that Mr. Shillin advised him not to speak to AGP employees in late September 2020 (shortly before Mr. Shillin resigned). Clients also expressed concerns about statements made at a “town hall” meeting held by Mr. Schillin’s successor (Jake Jansen) in December 2020.” The customer sought $17,336 in damages and the case was settled for $10,000. The complaint took place while he was registered with A.G.P. / Alliance Global Partners.
December 2020. “Clients stated that Michael Shillin provided them with falsified 1099 forms for 2019, causing the clients to complete an inaccurate tax return for 2019. Clients also stated that they took more money out of husband’s IRA in 2019 than they otherwise would have based on Mr. Shillin’s advice and misrepresentation that the interest on the bonds that they held in their individual accounts was tax-free.” The customer is seeking $5,000 in damages and the case is currently pending.
December 2020. “Client complained that in 2020, Mr. Shillin made misrepresentations and provided bad advice in connection with the viability of a life insurance policy purchased in 1988, and the resolution of a claim by one of the beneficiaries of that policy. The client stated that Mr. Shillin advised them to pay the complaining beneficiary approximately $18,000 from a separate account and then reimburse that account when the money was received from the insurance company. To date, it appears that no insurance proceeds have ever been received by the client or any of the beneficiaries. Instead, it appears that the subject insurance policy lapsed in 2006, and that no such proceeds will ever be forthcoming.” The customer is seeking $18,466 in damages and the case is currently pending.
December 2020. “Client indicated that Mike Shillin attempted to switch his (and separately his wife’s) life insurance from State Farm to John Hancock in July 2018. His wife’s policy was switched, but the documentation Client received regarding his policy switch appears to be falsified as John Hancock indicated to him that he had no policy with John Hancock, and the policy number was not for Client (He discovered this fact recently). A check drawn from State Farm for $29,658.78 was deposited into Client’s joint brokerage account in April 2019. The money stayed in the account; and was not used to pay for any insurance policy. A review of Firm emails indicates Client was rejected for the policy in underwriting, but Mr. Shillin did not relay this information to Client. Client provided copies of multiple texts from Mr. Shillin which stated Client had a valid policy with John Hancock. He also provided copies of John Hancock documents he received directly from Mr. Shillin.” The customer is seeking $30,000 in damages and the case is currently pending.
December 2020. “The client advised that Michael Shillin provided a written account summary that reflected the ownership of certain securities (including SpaceX pre-IPO shares) that, in fact, were not purchased for the client. Client believes he has been “misled” by Mr. Shillin. It does not appear that the client ever paid for the shares he claims Mr. Shillin told him that he owned, and it further appears that no funds are missing from the client’s account.” The customer is seeking $5,000 in damages and the case is currently pending.
November 2020. “Complaint alleges that Mr. Shillin told [REDACTED] that he had purchased shares of SpaceX Series G Founders Shares in October 2019 or December 2019. Client further alleges the investment was for $20,000 (although he alleges that $25,000 was withdrawn from the account); and that Mr. Shillin promised the SpaceX shares would be delivered into client’s account.” The customer is seeking $5,000 in damages and the case is currently pending.
October 2020. “The client alleged that Mr. Shillin made misrepresentations relating to the amount and source of expected dividends in his account.” The customer sought $20,000 in damages and the case was settled for $22,991.67. The complaint took place while he was registered with A.G.P. / Alliance Global Partners and it was regarding common and preferred stocks.
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, Raymond James Financial Services, Inc. may be liable for investment or other losses suffered by Michael Shillin’s 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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