ES Financial—Charging Transaction Fee and Custody Fee in Addition to Commission on Fixed Income Transactions

investment fraud attorneysES Financial Allegedly Charged Transaction Fee and Custody Fee in Addition to Commission on Fixed Income Transactions

ES Financial (ESF) allegedly charged a transaction fee and a custody fee in addition to a commission on fixed income transactions, according to recent FINRA Letter of Acceptance, Waiver and Consent (AWC) currently under review by attorneys Joe Peiffer and Alan Rosca.

The aforementioned and foregoing charges were allegedly not reasonably related to any direct handling-related services performed by the firm, or handling-related expenses incurred by the firm, in processing transactions, but instead, were actually additional commissions for the firm, the AWC notes.

The Peiffer Rosca Wolf investor rights lawyers are currently investigating ES Financial’s alleged charging of an alleged transaction fee and a custody fee in addition to a commission on fixed income transactions.

ES Financial Censured and Fined $275k for Charging its customers a Transaction Fee and a Custody Fee

ES Financial allegedly failed to deliver prospectuses to 10 out of 40 customers who had purchased commercial paper of ESF’s affiliate and failed to establish, maintain and enforce a supervisory system and written supervisory programs (WSPs) to ensure prospectus delivery, according to recent FINRA Letter of Acceptance, Waiver and Consent (AWC) currently under review by attorneys Joe Peiffer and Alan Rosca.

In addition, ESF allegedly maintained inaccurate books and records reflecting that transactions were solicited, when in fact, the transactions were unsolicited, and it also allegedly inaccurately calculated its customer reserve formula which led to deficiencies and inaccuracies in filed FOCUS reports, the AWC notes.

One should also note that, according to the AWC, ES Financial neither admitted nor denied the FINRA findings.

Securities Lawyers Investigating

The Peiffer Rosca Wolf securities lawyers often represent investors who lose money as a result of alleged unsuitable investments. They are currently investigating ES Financial, and are preparing to assist investors. They take most cases of this type on a contingency fee basis and advance the case costs, and only get paid for their fees and costs out of money they recover for their clients.

Investors who believe they lost money as a result of ES Financial‘s alleged wrongdoings may contact the securities lawyers at Peiffer Rosca Wolf, Alan Rosca or Joe Peiffer, for a free no-obligation evaluation of their recovery options, at 888-998-0520.

Alan Rosca (1157 Posts)

Alan is a securities lawyer. He also teaches Securities Regulation at the Cleveland-Marshall College of Law. He focuses his legal practice on complex commercial and financial litigation and arbitration, particularly in the areas of securities and investment fraud. His office is in Cleveland, Ohio.


In our legal system, every person is innocent until and unless found guilty by a court of law or a tribunal. Whenever we reference “allegations” or charges that are “alleged,” such allegations or charges have not been proven, and are merely accusations, not findings of fault, as of the date of the blog. We do not have, nor do we undertake, a duty to continue to monitor or follow cases about which we report, and/or to publish subsequent blogs regarding various developments that may occur in such cases. Readers are encouraged to conduct their own research regarding any such cases and any developments that may or may not have occurred in such cases.