Former Morgan Stanley broker Cornelius Peterson of Newton Massachusetts was recently barred from acting as a broker after allegedly participating in various fraud schemes that resulted in client losses totaling $500,000.
Cornelius Peterson worked with Morgan Stanley as a broker until June 2017 when he was discharged for his role in allegedly defrauding clients and misappropriating client funds.
According to a press release recently issued by the U.S. Attorney's Office for the District of Massachusetts, Peterson allegedly collaborated with a fellow broker, James Polese, to misappropriate $500,000 of their clients' money. They used a large portion of the money as security to invest in an unauthorized wind farm project. In addition, Peterson made numerous unauthorized withdrawals from a client's account totaling nearly $100,000 and used those funds to pay off personal debts and expenses including credit card bills and college tuition fees. An estimated $450,000 was misappropriated from a single elderly client.
Peterson is no longer registered, and FINRA has barred him from acting as a broker or associating with any member firm.
Did You Suffer Financial Losses While Working with Cornelius Peterson?
Unfortunately, investment fraud happens far more often than it should. If you or someone you know lost money while working with Cornelius Peterson, Meyer Wilson would like to hear from you. Give our office a call at (888) 390-6491 today to talk to one of our experienced investment fraud attorneys.