Michael Ecker, a stockbroker in Concorde Investment Services’ Wellington, FL branch office, has been named in two customer disputes filed with the Financial Industry Regulatory Authority (“FINRA”), according to his updated his BrokerCheck report.
The customers allege that Mr. Ecker overconcentrated a client’s portfolio in unsuitable illiquid Real Estate Investment Trusts (“REITs”) and private placements. According to one claimant’s allegations, Mr. Ecker had previously stated that the investments were meant to supplement diversified securities holdings of very wealthy individuals and should not be used as the foundation of a portfolio. The client sought $200,000 in damages, and it settled in November 2020 for $23,000. The claimant is a 75-year-old widow residing in Wellington, Florida.
Several of the underlying private placements Ecker sold to the claimant were later alleged to be fraudulent themselves. The potential frauds were not disclosed to the claimants by Ecker or his employer broker-dealers.
- GPB Auto – alleged Ponzi scheme and subject of class action litigation,
- GPB Waste – alleged Ponzi scheme and subject of class action litigation,
- Hospitality Investors Trust – settled class-action lawsuit alleging fraud and misconduct by management, and
- Benefit Street – Suspended distributions in 2020 and subject to several lawsuits and investigations.
In addition to the possible fraudulent private placements, Ecker sold the claimant a Lincoln Money Guard Insurance in which she suffered approximately $40,000 of loss.
If you lost money as the result of an unsuitable or fraudulent investment recommendation in GPB, Hospitality Investors Trust, Benefit Street Trust, or other investment recommended by Michael Ecker, please contact the Frankowski Firm for a no-cost case evaluation.