Broker Investigation: Samuel Frederik Lek

Samuel Frederik Lek (CDR#: 1642936) has been a broker with Lek Securities Corp. since 1993. According to a November 26, 2018 FINRA regulatory decision, Lek and Lek Securities Corp. did not develop Anti-Money Laundering (AML) programs for a line of low-priced penny stocks.

As a result, Lek Securities customers were able to liquidate more than 56 billion shares of penny stocks and claim $100 million in proceeds. This generated more than $1.6 million in commissions for Lek Securities.

By design, AML programs catch possible money laundering activities. But because proper programs were not implemented, Lek Securities could not detect the penny stock trades. The failure allowed account owners to make millions of dollars in microcap stock deposits and trades.

Other allegations against Lek and his firm include:

These failures amount to many violations of not only FINRA rules, but the Securities Act of 1993. The FINRA decision asks for monetary sanctions and costs to be paid by Lek and Lek Securities Corp.

Contact our Expert Securities Lawyers Today

Our team at Sonn Law Group, is made up of experienced securities attorneys who are dedicated advocates for protecting your rights and interests as an investor. Contact our law office today to learn more about your legal options.

Disclaimer: This article contains opinions and NOT statements of fact in any way whatsoever. The information here is general information that should not be taken as legal advice. NO attorney-client relationship is established between you and our attorneys by reading this article. This article is attorney advertising and should not be used as a substitute for legal advice from a qualified securities lawyer.

Rate this post:

1 Star2 Stars3 Stars4 Stars5 Stars
(No Ratings Yet)
Loading...