Peter schiff of http://www.europac.net/ claims to be a guru of finance, my question is if he was a Guru of finance why would be sued by an elderly client for fraud?
Below i have attach a FINRA report on Peter David schiffs fraud..
This section provides information regarding a final, regulatory action that was reported to CRD by the induividual broker, a member firm, and/or a securities regulator. The event may include a final, formal proceeding initiated by a regulatory authority(e.g. a state securities agency, self-regulatory organization, a federal regulator such as SEC or the commodities Futures Trading Commission (CFTC), or a foreign regulatory body) for a violation of investment related rules or regulations.this section may also include a suspension of a broker authority to act as an attorney, accountant or a federal contractor.
Disclosure 1 of 1
Reporting Source : Regulator
Regulatory Action Initiated: National Futures Association
Sanctions Sought : other
Date Initiated : 03/07/1990
Docket/Case Number: NFA CASE NO: 90bcc00004
Employing firm when activity
occurred which led to the regulatory action: INTERNATIONAL FUTURES STRATEGISTS INC
PRODUCT TYPE; UNKNOWN
Allegations: +03/21/2001+NATIONAL FUTURES ASSOCIATION, CASE NO. 90BCC00004 DATED MAY 15 1990, DISCLOSES: ON MARCH 7 1990 THE CANTRAL REGIONAL BUSINESS CONDUCT COMMITTEE(CENTRAL COMMITTEE") ISSUED A COMPLAINT TO PETER DAVID SCHIFF ("SCHIFF") THE COMPLAINT ALLEGES THAT SCHIFF VIOLATED NFA COMPLIANCE RULES 2-2A [ CHEAT,FRAUD,DECEIVE CUSTOMERS] 2-29(A)(1) FRAUDULENT COMM. TO PUBLIC PROHIB.] 2-29(b)(1) USE OF DECEPTIVE PROMO MATERIAL.]AND 2-29 (B)(2) MISSTATEMENT/OMISION OF FACT PROMP.]BY USING DECEPTIVE AND MISLEADING SALES SOLICITATIONS. THAT SCHIFF VIOLATED NFA COMPLIANCE RULE 2-29(B)(3) [BALANCED DISCUSSION RE PROFIT/RISK] BY USING PROMOTIONAL MATERIAL WHICH MENTIONED THE POSSIBILITY OF PROFIT WITHOUT BEING ACCOMPANIED BY AN EQUALLY PROMINENT STATEMENT OF RISK OF LOSS.
Current Status: Final
Resolution date: 05/15/1990
On May 15 1990, THE CENTRAL COMMITTEE ISSUED A DECISION IN WHICH IT ACCEPTED SCHIFF'S SETTLEMENT OFFER. THE DECISION REQUIRED THAT IF SCHIFF APPLIES FOR NFA MEMBERSHIP OR REGISTRATION AS AN NFA ASSOCIATE AT ANY TIME WITHIN NINE MONTHS AFTER ISSUANCE OF THE DECISION,THE COMPLAINT IN THIS CASE MAY BE INCLUDED AS PART OF THE RECORD IN ANY NFA MEMBERSHIP PROCEEDING INSTITUTED AGAINST HIM AND, IN SUCH EVENT,HE SHALL NEITHER DISPUTE NOR SUBMIT EVIDENCE TO REFUTE OR OTHERWISE REBUT THE INFORMATION, ALLEGATIONS,OR CONCLUSIONS CONTAINED IN THE COMPLAINT.DURING THE AFOREMENTIONED NINE MONTHS PERIOD, IF IT DEEMS IT APPROPRIATE,DENY SCHIFF'S APPLICATION FOR NFA MEMBERSHIP OR ASSOCIATE MEMBERSHIP SOLELY ON THE BASIS OF THE MATTERS RAISED IN THE COMPLAINT.
Product Type: Futures - commodity
Allegations: DECEPTIVE SALES PRESENTATION
CURRENT STATUS : FINAL
RESOLUTION: DECISION & ORDER OF OFFER OF SETTLEMENT
RESOLUTION DATE: 05/15/1990
NEW COMPLAINT FILED 06/17/2010
REPORTING SOURCE: BROKER
EMPLOYING FIRM when activities occured which led
to complaint: EURO PACIFIC CAPITAL INC.
Allegations: Poor Performance/POOR ADVICE
Product type: Money Fund
other EQUITIES: FOREIGN
ALLEGED DAMAGES AMOUNT EXPLANATION: A SPECIFIC DOLLAR AMOUNT WAS NOT ALLEGED. THE CUSTOMER ALLEGED THAT HER ACCOUNT WAS DOWN BETWEEN 40% AND 50%. THE FIRM BELIEVES THE ACCOUNT DOWN TO TO MARKET CONDITION.
WRITTEN COMPLAINT: YES
SETTLEMENT AMOUNT : $25,000
PETER DAVID SCHIFF AND EURO PACIFIC HAVE COMMITTED FRAUD..