Meyer Wilson’s securities fraud attorneys are investigating allegations of stockbroker misconduct by Hilary Joseph Zimmerman, who is currently not associated with any brokerage firm.
On Feb. 27, the Financial Industry Regulatory Authority (FINRA) stated in its recent BrokerCheck report that Hilary Zimmerman faces six customer complaints and has received one regulatory sanction.
Hilary Zimmerman was most recently with Morgan Stanley’s Ridgeland, Mississippi office, where he was registered from June 2009 to February 2017.
He was registered with Morgan Stanley & Co. Incorporated, also in Ridgeland, from December 2007 to June 2009. Zimmerman previously was registered with Citigroup Global Markets Inc. in Jackson, Mississippi from July 1993 to December 2007.
Lehman Brothers Inc. shows Hilary Zimmerman was registered with them in New York, New York from December 1991 to July 1993.
He also passed two State Securities Law Exams. In December 1991, Hilary Zimmerman passed the Uniform Securities Agent State Law Examination. He followed that by passing the Uniform Investment Adviser Law Examination in November 1993.
A look at Hilary Zimmerman’s BrokerCheck report reveals he has been sanctioned for alleged stockbroker misconduct by the Mississippi Secretary of State’s Office, Securities Division, which ordered him to surrender his Mississippi registration and refrain from reapplying. The sanction was a result of an investigation that was looking into possible violations of the Mississippi Securities Act.
Hilary Zimmerman consented to the resignation in 2016, which was a permanent retirement from the financial industry.
The first formal complaint against Hilary Zimmerman was filed in 2011 by a customer who alleged Zimmerman acted with negligence, gross negligence, engaged in fraud, breached his fiduciary duty, and excessive trading in unsuitable transactions. At the time, Zimmerman was employed by Morgan Stanley. The client was awarded $387,856 in compensation because of Zimmerman’s alleged stockbroker misconduct.
Two customer complaints came to light when Zimmerman was still with Morgan Stanley in 2013. One customer settled for $385,000 after alleging that Zimmerman failed to disclose material facts, committed fraud, breached his fiduciary duty, made risky and speculative trades, failed to detect and stop conflicts of interest, and failed to detect and stop outside business activities. Another customer settled for $440,000 after accusing Zimmerman of alleged fraud, omission of facts, negligence, misrepresentation, and manipulation of trading errors.
The most recent customer complaint alleges Zimmerman engaged in unauthorized trading, purchasing unsuitable securities on behalf of a client, and misrepresenting investment strategies while Zimmerman was with Morgan Stanley. That customer alleges $1 million in damages.
What is Stockbroker Misconduct?
The foundation of any stockbroker/investor relationship is trust. Brokers have a duty to deal in good faith with their investors. Depending on the circumstances, many advisors owe their clients a fiduciary duty.
A broker’s fiduciary duty can include placing the client’s interests ahead of the broker’s own interests, monitoring the markets for changes that can affect the client’s investments, and advising the client of the benefits and risks that accompany the broker’s recommendations or actions.
Stockbroker misconduct can also occur if a broker fails to disclose all the relevant information regarding an investment so that you can make an informed and astute decision. A lack of disclosure or misrepresentation can cause you to lose money.
Brokers and their firms can be held responsible if the investor’s trust has been betrayed.
If you feel you have been wronged by stockbroker misconduct by Hilary Joseph Zimmerman or any other broker, don’t wait to contact the securities fraud attorneys at Meyer Wilson. We have recovered more than $350 million for our clients over the past two decades. Providing you with sound, effective, legal representation that gets results is why we are here.