James E. Scott Aided and Abetted the Recommendation and Sale of Unregistered Securities in Texas, Allegedly

New Orleans investment fraud attorneyFrom April 5, 2012 to August 9, 2012, James E. Scott, of Texas, while at FSC Securities, knowingly and considerably aided and abetted his former manager, known only as RO, in recommending and executing securities transactions in Texas when RO was not registered with the State of Texas, a Complaint from FINRA’s Department of Enforcement alleges. Precisely, Scott repeatedly expedited RO’s efforts to continue acting as a securities broker in spite of RO’s unregistered status, FINRA alleges. The Complaint details how Scott facilitated investment seminars for RO in order to solicit investment business from current and potential clients, that he made arrangements to allow RO to meet with current and potential clients to solicit investment business, and the method Scott used to manage to execute trades brokered by RO, who was not registered with the State of Texas from April 5, 2012 to August 9, 2012, for clients.

Scott Shared Commissions

By aiding and abetting RO, Scott reportedly violated the Sections of the Securities Exchange Act, and thereby FINRA Rules as well. Furthermore, between June 14, 2012 and August 9, 2012, Scott shared at least $45,700 of his transaction-based commission income with RO, FINRA alleges. In addition, Scott knowingly provided false information to FINRA staff regarding the nature of his relationship with RO, falsely testifying that RO played no role in seminar presentations to customers and potential clients, the FINRA complaint reports.

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: James E. Scott

Status: INVESTIGATED by Peiffer Rosca.

For brokercheck report and additional info click here!

Alan Rosca (1225 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.