Jack Weinstock Sanctioned for Referring “White Elephants” to Steve Corzan
Jack Brain Weinstock, of Redondo Beach, California, sought to sell high-premium insurance to wealthy “white elephants,” a FINRA complaint alleges. Starting in 2008 Weinstock, who worked as an insurance agent with Northwestern Mutual Insurance Company (NML) from January 2000 until September 30,2010, started working with friend, Steve Corzan, who was soliciting investments in expensive insurance policies. From March to June 2008, Weinstock introduced 22 of his “white elephants” to Corzan with the aspiration that the introductions would lead to private placement investments, which could then be used to purchase high-end insurance instruments, a FINRA complaint purports.
When Steve Met Jack: Weinstock Attempted to Contact 128 “White Elephants”
Jack Weinstock attempted to contact 128 of his valued business contacts, 49 of whom did not respond. 30, however, expressed interest, FINRA reports. From this pool, Corzan attempted to peddle DLG (Diversified Lending Group), which later was alleged by the SEC to “constitute a Ponzi Scheme.” Weinstock introduced three other people to Corzan, two of whom invested in DLG, and lost money, FINRA alleges. Corzan reportedly marketed DLG as a non-traditional approach to premium financing.
Steve Corzan paid Jack Weinstock $15,500 For Arranging Introductions
Steve Corzan ponied up $15,500 to Jack Weinstock for making introductions to the “white elephants,” but Weinstock did not inform his employer firm, NML, of said action, FINRA alleges. After learning of the introductions, NML discharged Weinstock, who was charged with engaging in outside business activity, FINRA alleges. Weinstock, who describes himself as an “insurance professional who held a Series 6 license,” allegedly denies the charges, claiming that there was no requirement to notify NML of the aforementioned activity, and that it was garden variety marketing, FINRA notes.
Investment Fraud Lawyers Investigating
The Peiffer Rosca securities attorneys often represent investors who lose money as a result of Ponzi schemes, investment fraud, or stockbroker misconduct. They are currently investigating the possibility of assisting victims with the recovery of their losses. 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 investment fraud or misconduct may contact the securities lawyers at Peiffer Rosca, Alan Rosca or Joe Peiffer, for a free, no-obligation evaluation of their recovery options, at 888-998-0520.
Broker: Jack Brain Weinstock
Status: INVESTIGATED by Peiffer Rosca.
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