Janney Montgomery Scott LLC Securities Lawyers
The securities lawyers at Gana LLP represent investors who have been mistreated and suffered losses. Our firm is experienced in bringing claims against brokerage firms, such as Janney Montgomery Scott LLC (Janney), to hold Wall Street responsible for their misconduct. Among the claims that our firm has brought include causes of action such as securities fraud, churning, and unauthorized trading and individual investment products like leveraged exchange traded funds, non-traded REITs, and private placements. When a client contacts our firm they can expect that our attorneys will have the knowledge and ability to evaluate the potential claims and analyze their trading activity for red flags of misconduct. Our consultations are designed to help provide clients with all available options.
Janney dates back to 1832 and is full-service financial services firm that says it provides comprehensive financial advice and superior service to individual, corporate, and institutional investors. Janney’s self-stated mission is to be the highest standard of success in financial relationships. The firm focuses on the delivery of strategic financial plans that utilize a variety of financial products and services best suited to help individual investors and families meet their financial goals.
Janney serves clients through professionals in branch offices mostly located along the East Coast. The firm is an independently operated subsidiary of The Penn Mutual Life Insurance Company, a members of the New York Stock Exchange. Janney is a wholly owned subsidiary of Independence Square Properties LLC.
Janney Montgomery Scott – By the Numbers:
- CRD# 463
- SEC# 8-462
- 39 Regulatory Events
- 62 Customer Complaints
- Assets: $50 billion
- Offices: 107
- Employees: 2,000
Janney Montgomery Scott – In the News:
NASD v. Janney Montgomery Scott – The NASD fined Janney Montgomery Scott LLC, of Philadelphia $1.2 million concerning allegations that the firm permitted improper market timing and related violations. In addition, NASD ordered the firm to pay nearly $1 million in restitution to the affected mutual funds. The NASD also suspended Kenneth Rosato, the former branch manager of Janney's Brooklyn office, for one year and fined him $370,000, including disgorgement of $185,000 in commissions he received in connection with the allegations of improper market timing. The NASD also barred two individuals Linda Rosato and Kenneth Rosato's for refusing to testify in NASD's investigation of this misconduct. The NASD found that from May 2000 through September 2003, Janney permitted two hedge fund customers to evade attempts by mutual fund companies to block certain market timing transactions. The hedge fund accounts allegedly opened 19 different accounts and the firm allowed them to engage in approximately 1,600 exchange transactions with mutual funds after receiving nearly 200 block notices prohibiting further trading.
NYSE v. Janney Montgomery Scott – The NYSE censured and fined Janney Montgomery Scott LLC $2.5 million for allegedly engaging in away-from-market stock loan transactions, making payments to finders who performed no legitimate business function, and supervisory deficiencies.
In a typical stock loan transaction, one institution communicates with another and establishes the form and amount of the collateral and a fee. Finders are third parties to stock loan transactions who assist a borrower to locate a counterparty. However, email has eliminated in most cases the need for finders and the insertion of a finder in a transaction unjustifiably increases the cost of the transaction to the borrower. From January through December 2004, the NYSE found that certain former employees of Janney’s stock loan department caused the firm to engage in certain stock loan transactions at away-from-market rebate rates that were disadvantageous to the counterparties and made payments to finders who performed no legitimate business function.
Our attorneys has successfully represented hundreds of investors in their broker disputes with their advisor firms. Our consultations are free and we welcome all inquiries.