Virginia

The Virginia-based Securities Fraud Lawyers at Greco & Greco, P.C. have been representing Virginia residents in disputes with their financial advisors, stock brokers, and securities salespersons for over twenty five years, involving claims of suitability, violations of FINRA Rules, negligence, fraud, misrepresentation, ponzi schemes, breach of fiduciary duty, professional malpractice, violation of Regulation Best Interest, and other claims.

Greco & Greco, P.C. is the only law firm in Virginia whose practice is exclusively dedicated to the representation of wronged securities customer investors, and W. Scott Greco is one of only two Virginia members of the Public Investors Advocate Bar Association, a nationwide bar association of investor attorneys. Mr. Greco has taught local and statewide Virginia continuing education classes to other Virginia attorneys on investor claims, and regularly works with referring attorneys and co-counsel.

Please contact Scott Greco for a free attorney consultation about your case. We serve clients from all areas of Virginia, including Northern Virginia, Virginia Beach, Chesapeake, Norfolk, Fairfax, Abington, Arlington, Richmond, Newport News, Hampton Roads, Alexandria, Roanoke, Suffolk, Lynchburg, Centreville, Dale City, Reston, Loudoun/Leesburg, Harrisonburg, Ashburn, McLean, Henrico, Chesterfield, Staunton, Williamsburg and Charlottesville.

We understand that many of our clients cannot afford to hire an attorney because they have lost a large portion of their life savings. Our attorneys regularly represent harmed Virginia investors charging only a contingency fee. This means that our clients do not have to pay any attorneys fees up front, and only pay us out of monies recovered in your case.

If an individual investor has a dispute with a FINRA brokerage firm stock broker, he/she most likely will have to arbitrate through FINRA's Dispute Resolution system. FINRA Arbitration holds arbitration hearings in two Virginia cities: Richmond, Virginia and Norfolk, Virginia. Northern Virginia residents may also request a hearing in Washington, D.C. W. Scott Greco has over 25 years of experience trying NASD/FINRA arbitrations.

The Virginia State Corporation Commission, Division of Securities, in Richmond, Virginia, regulates the sales of securities in the state of Virginia. Its website provides information on state securities Statutes and Rules, and information on how to file a complaint.

Virginia's Securities Act is similar to many states' Acts with regard to providing for civil liability for the commission of securities fraud in the sale of securities (including untrue statements of material fact or omissions of material fact). The statute provides for rescission (or damages if the investor no longer owns the security), reasonable attorney"s fees, and interest.

1. Suitability / Regulation Best Interest. Prior to recommending the purchase of specific investments or a specific investment strategy to a customer, a stock broker is required to determine that the investments are suitable to that particular investor. A suitability determination is based upon many different factors such as age, investment objectives, risk tolerance, employment situation, needs, income, assets, and investment experience. If an advisor’s recommendations of unsuitable investments result in the investor incurring significant losses, that investor may have a suitability claim against the broker and his/her firm. The Suitability requirement has been superseded by the SEC's Regulation Best Interest (Reg BI) which requires that FINRA advisors only make recommendations of securities or investment strategies that are in the customer's best interest.
2. Churning. Churning occurs when a broker exercises control over an account and allows the broker's interest in making commissions to override the investor's interests in the account. When a broker makes a buy or sell recommendation for an account, that broker should have the investor's best interests based on their investment objectives in mind. If the broker makes excessive buy and sell recommendations for the purposes of generating commissions for the broker by each buy and sell, that broker is engaged in churning the account. Excessive turnover in the assets of the account and/or a high cost to equity percentage are often a sign of churning.
3. Unauthorized Trading. Generally, an investor can have two kinds of an account, non-discretionary and discretionary. In a typical non-discretionary account, the broker must consult with and obtain the consent of the customer prior to making a trade in the account. Unauthorized trading occurs when a broker makes trades in a non-discretionary account without the consent of the customer.
4. Securities Fraud. Most of the claims in this list are subsets of securities fraud which is employing a device, scheme, or artifice to defraud, or obtaining money by means of untrue statements of material facts and failure to state material facts in violation of state blue sky / securities laws or federal law (Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5). If a broker makes false statements to an investor or fails to advise the investor of certain important facts, the investor may be able to recover losses incurred resulting from this fraud.
5. Margin Disputes. Margin trading involves borrowing money from the brokerage firm to purchase securities greater in value than the equity in an investor's account. Due to the risky nature of trading on the margin, disputes with brokers often arise as a result of significant losses. If a broker trades on the margin without the knowledge or consent of the investor, the investor may be able to recover the losses resulting from the fraud.
6. Ponzi Scheme Investment Scams. Ponzi schemes generally involve promises of high returns by salespersons over short periods of time, but in reality result in stealing from Peter to pay Paul. Because returns to investors in ponzi schemes are often paid out of new investment monies from new investors, the scheme will ultimately fall apart when the new investors dry up, leaving all investors often holding a worthless investment. Financial Advisors and their brokerage firms who sell ponzi scheme fraudulent investments may be found liable for selling unsuitable investments, securities fraud, sale of unregistered securities, failure to supervise, and other legal violations.
7. Failure to Supervise Broker. FINRA firms have a duty to supervise their registered brokers, and their failure to do so may form the basis of various legal claims against them. FINRA Rule 3110 states: Each member shall establish and maintain a system to supervise the activities of each registered representative, registered principal, and other associated person that is reasonably designed to achieve compliance with applicable securities laws and regulations, and with applicable FINRA Rules. Final responsibility for proper supervision shall rest with the member.

Examples of legal grounds for liability of Broker-Dealers in these situations include:

• Under tort and agency law, principals can be found liable for the acts of their agents even if they are entirely innocent and have received no benefit from the transaction;
• A broker's Broker-Dealer can also be found liable as a control person of that broker under state and federal securities laws; and
• Claims can be pursued in arbitration based on violations of FINRA rules including Rules related to supervision, suitability, and outside business activities.

Obviously, this list is by no means comprehensive and all of the legal requirements of the above claims stated are not completely set out. This web site is not intended to give legal advice or create an attorney-client relationship. Please contact our securities lawyers for a free consultation if you believe your financial advisor broker may be liable under one of the above claims, or for other wrongful conduct.

The Civil Liability Section of the Virginia Securities Act is as follows:

13. Any person who: (i) sells a security in violation of 13.1-502, 13.1-504 A, 13.1-507 (i) or (ii), 13.1-510 (e) or (f), or (ii) sells a security by means of an untrue statement of a material fact or any omission to state a material fact necessary in order to make the statement made, in the light of the circumstances under which they were made, not misleading (the purchaser not knowing of such untruth or omission), and who shall not sustain the burden of proof that he did not know, and in the exercise of reasonable care could not have known, of such untruth or omission, shall be liable to the person purchasing such security from him who may sue either at law or in equity to recover the consideration paid for such security, together with interest thereon at the annual rate of six percent, costs, and reasonable attorneys' fees, less the amount of any income received on the security, upon the tender of such security, or for the substantial equivalent in damages if he no longer owns the security.
14. Any person who (i) engages in the business of advising others, for compensation, either directly or through publications or writings, as to the value of securities or as to the advisability of investing in, purchasing, or selling securities, or who, for compensation and as a part of a regular business, issues or promulgates analyses or reports concerning securities in willful and material violation of 13.1-503, subsection A of 13.1-504, or of any rule or order under 13.1-505.1, or (ii) receives, directly or indirectly, any consideration from another person for advice as to the value of securities or their purchase or sale, whether through the issuance of analyses, reports or otherwise and employs any device, scheme, or artifice to defraud such other person or engages in any act, practice or course of business which operates or would operate as a fraud or deceit on such other person, shall be liable to that person who may sue either at law or in equity to recover the consideration paid for such advice and any loss due to such advice, together with interest thereon at the annual rate of six percent from the date of payment of the consideration plus costs and reasonable attorney's fees, less the amount of any income received from such advice and any other economic advantage.
15. Every person who directly or indirectly controls a person liable under subsection A or B of this section, including every partner, officer, or director of such a person, every person occupying a similar status or performing similar functions, every employee of such a person who materially aids in the conduct giving rise to the liability, and every broker-dealer, investment advisor, investment advisor representative or agent who materially aids in such conduct shall be liable jointly and severally with and to the same extent as such person, unless able to sustain the burden of proof that he did not know, and in the exercise of reasonable care could not have known, of the existence of the facts by reason of which the liability is alleged to exist. There shall be contribution as in cases of contract among the several persons so liable.
16. No suit shall be maintained to enforce any liability created under this section unless brought within two years after the transaction upon which it is based; provided, that, if any person liable by reason of subsection A, B or C of this section makes a written offer, before suit is brought, to refund the consideration paid and any loss due to any investment advice provided by such person, together with interest thereon at the annual rate of six percent, less the amount of any income received on the security or resulting from such advice, or to pay damages if the purchaser no longer owns the security, no purchaser or user of the investment advisory service shall maintain a suit under this section who has refused or failed to accept such offer within thirty days of its receipt.
17. Any tender specified in this section may be made at any time before entry of judgment.
18. Any condition, stipulation or provision binding any person acquiring any security or receiving any investment advice to waive compliance with any provision of this chapter or of any rule or order thereunder shall be void.
19. The rights and remedies provided by this chapter shall be in addition to any and all other rights and remedies that may exist at law or in equity.

• AGECROFT PARTNERS, LLC
  103 CANTERBURY ROAD, RICHMOND, VA 23221-3211
• ALL FUNDS, INC.
  1444 ORANGE TURNPIKE, MONROE, NY 10950-3716
  Mailing Address: PO DRAWER H, VALLEY COTTAGE, NY 10989
• ALLIED BEACON PARTNERS, INC.
  7501 BOULDERS VIEW DR, SUITE 601, RICHMOND, VA 23225
• ALPHA OMEGA CAPITAL SECURITIES, LLC
  7400 BEAUFONT SPRINGS DR., SUITE 105, RICHMOND, VA 23225
• ANDERSON & STRUDWICK, INCORPORATED
  707 E. MAIN STREET 20TH FLOOR, RICHMOND, VA 23219
  Mailing Address: P.O. BOX 1459, RICHMOND, VA 23218-1459
• BGB SECURITIES, INC.
  1100 NORTH GLEBE RD-STE 1040, ARLINGTON, VA 22201-4798
• BIA CAPITAL STRATEGIES, LLC
  15120 ENTERPRISE COURT, SUITE 100, CHANTILLY, VA 20151
  Mailing Address: 15120 ENTERPRISE COURT, SUITE 100, CHANTILLY, VA 20151
• BLUESTONE CAPITAL PARTNERS, LLC
  1650 TYSONS BOULEVARD, SUITE 1530, MCLEAN, VA 22102
• BUTLER CAPITAL INVESTMENTS, LLC
  222 COURT SQUARE, CHARLOTTESVILLE, VA 22902
• CAPITAL BROKERAGE CORPORATION
  6620 WEST BROAD STREET, BUILDING 2, RICHMOND, VA 23230
• CAPITOL SECURITIES & ASSOCIATES, INC.
  100 CONCOURSE BLVD., SUITE 101, GLEN ALLEN, VA 23059
• CAPITOL SECURITIES MANAGEMENT, INC.
  100 CONCOURSE BLVD, SUITE 101, GLEN ALLEN, VA 23059
• CARY STREET PARTNERS LLC
  1210 EAST CARY STREET, SUITE 300, RICHMOND, VA 23219
• CHEVAL CAPITAL, INC.
  901 N. PITT STREET-110, ALEXANDRIA, VA 22314
• CLEARVIEW CORRESPONDENT SERVICES, LLC
  8006 DISCOVERY DRIVE, SUITE 200, RICHMOND, VA 23229
• CORTVIEW CAPITAL SECURITIES LLC
  1021 EAST CARY ST, 11TH FLOOR, RICHMOND, VA 23219
• DAVENPORT & COMPANY LLC
  ONE JAMES CENTER, 901 E. CARY STREET, RICHMOND, VA 23219
  Mailing Address: P.O. BOX 85678, RICHMOND, VA 23285-5678
• DMG SECURITIES, INC.
  GREAT FALLS PROFESSIONAL CENTER 737 WALKER ROAD, SUITE3, GREAT FALLS, VA 22066
  Mailing Address: GREAT FALLS PROFESSIONAL CENTER 737 WALKER ROAD, SUITE 3, GREAT FALLS, VA 22066
• DOMINION PARTNERS, L.C.
  4801COX ROAD, STE 104, GLEN ALLEN, VA 23060
• EWING BEMISS & CO.
  901 EAST BYRD STREET SUITE 1500, RICHMOND, VA 23219-4033
• FBR CAPITAL MARKETS & CO.
  1001 19TH STREET NORTH, ARLINGTON, VA 22209
• FBR INVESTMENT SERVICES, INC.
  1001 NINETEENTH STREET NORTH, ARLINGTON, VA 22209
• FINANCIAL SECURITY MANAGEMENT, INCORPORATED
  575 LYNNHAVEN PARKWAY, SUITE 310, VIRGINIA BEACH, VA 23452
• FIRST DOMINION CAPITAL CORP.
  8730 STONY POINT PARKWAY, BUILDING III, SUITE 205, RICHMOND, VA 23235
  Mailing Address: 8730 STONY POINT PARKWAY, SUITE 205, RICHMOND, VA 23235
• FIRST GEORGETOWN SECURITIES, INC.
  1700 DIAGONAL RD., # 200, ALEXANDRIA, VA 22314
• FOLIOFN INVESTMENTS, INC.
  8180 GREENSBORO DR, 8TH FLOOR, MCLEAN, VA 22102
• GIT INVESTMENT SERVICES, INC.
  1700 NORTH MOORE STREET, SUITE M1E, ARLINGTON, VA 22209-1903
• GOULD CAPITAL, LLC
  5245 CATTERTON ROAD, FREE UNION, VA 22940
• GUIDANCE SECURITIES, LLC
  11107 SUNSET HILLS ROAD, SECOND FL, RESTON, VA 20190
  Mailing Address: 11107 SUNSET HILLS ROAD, RESTON, VA 20190
• GUIDANCE SECURITIES, LLC
  11107 SUNSET HILLS ROAD, SECOND FL, RESTON, VA 20190
  Mailing Address: 11107 SUNSET HILLS ROAD, RESTON, VA 20190
• HAMPTON HEDGE FUND MARKETING, LLC
  2605 GENEVA HILL COURT, OAKTON, VA 22124
• HARRIS WILLIAMS & CO.
  1001 HAXALL POINT, 9TH FLOOR, RICHMOND, VA 23219
• INVESTORS SECURITY COMPANY, INC.
  127 E. WASHINGTON STREET, SUITE 101, SUFFOLK, VA 23434
• JAMES RIVER SECURITIES CORP.
  58 BROAD STREET ROAD, MANAKIN-SABOT, VA 23103-2213
• KINGSBRIDGE CAPITAL CORP.
  12407 RIDGE RD, KING GEORGE, VA 22485
• KIPPSDESANTO & COMPANY
  1600 TYSONS BOULEVARD, SUITE 375, MCLEAN, VA 22102
• LARA, SHULL & MAY, LLC
  7600 LEESBURG PIKE, SUITE 120 EAST, FALLS CHURCH, VA 22043
• MANNA CAPITAL MANAGEMENT
  6521 ARLINGTON BLVD., SUITE 502, FALLS CHURCH, VA 22042
• MARRIOTT SECURITIES, LLC
  THREE JAMES CENTER, 1051 EAST CARY STREET, SUITE 1430, RICHMOND, VA 23219
• MARTIN VENTURES LLC
  351 RIVER BEND RD, GREAT FALLS, VA 22066
• MASON SECURITIES, INC.
  11130 SUNRISE VALLEY DRIVE, SUITE 200, RESTON, VA 20191-5321
• MATRIX PRIVATE EQUITIES, INC.
  11 SOUTH 12TH STREET, 3RD FLOOR, RICHMOND, VA 23219
• MAYMONT PARTNERS, INC.
  1801 LIBBIE AVE, SUITE 104, RICHMOND, VA 23226
• MCKINNON & COMPANY, INC.
  999 WATERSIDE DRIVE, SUITE 1200, NORFOLK, VA 23510
  Mailing Address: 999 WATERSIDE DRIVE, SUITE 1200, NORFOLK, VA 23510
• MCLAUGHLIN RYDER INVESTMENTS, INC.
  1421 PRINCE STREET, SUITE 400, ALEXANDRIA, VA 22314
• MCLEAN SECURITIES, LLC
  7900 WESTPARK DRIVE, SUITE A320, MCLEAN, VA 22102
• MEDALIST SECURITIES INC.
  100 SHOCKOE SLIP, 2ND FL, RICHMOND, VA 23219
• MONETA SECURITIES CORPORATION
  15413 CHAMPIONSHIP DRIVE, HAYMARKET, VA 20169
  Mailing Address: PO BOX 909, HAYMARKET, VA 20168
• MUTUAL FUNDS INVESTMENT COMPANY
  16176 POINT BEVERLY COURT, MONTPELIER, VA 23192
  Mailing Address: PO BOX 364, MONTPELIER, VA 23192
• NAVY FEDERAL BROKERAGE SERVICES, LLC
  1007 ELECTRIC AVENUE, VIENNA, VA 22180
• NORTHWEST FINANCIAL GROUP
  200 SPRING STREET, SUITE 120, HERNDON, VA 20170
• PACE FINANCIAL SERVICES, LLC
  4401 FAIR LAKES COURT, FAIRFAX, VA 22033-3848
  Mailing Address: 4401 FAIR LAKES COURT, FAIFAX, VA 22033-3848
• PARCHMAN, VAUGHAN & COMPANY, L.L.C.
  1040 PARK AVENUE, SUITE 120, BALTIMORE, MD 21201
• POTOMAC SECURITIES, LLC
  44081 PIPELINE PLAZA, #320, ASHBURN, VA 20147
• PRESIDIO SECURITIES, INC.
  3 RIVER PLACE, LEXINGTON, VA 24450
• RE INVESTMENT CORPORATION
  4301 WILSON BOULEVARD, ARLINGTON, VA 22203
• ROBINSON & LUKENS, INC.
  1319 VINCENT PL, MCLEAN, VA 22101
  Mailing Address: P.O. BOX 956, MCLEAN, VA 22101-0956
• SAUNDERS RETIREMENT ADVISORS, INC.
  7400 BEAUFONT SPRINGS DR SUITE 300, RICHMOND, VA 23225
  Mailing Address: 7400 BEAUFONT SPRINGS DRIVE, SUITE 300, RICHMOND, VA 23225
• SCOTT & STRINGFELLOW, LLC
  901 E. BYRD STREET, RIVERFRONT PLAZA, WEST TOWER, RICHMOND, VA 23219-3310
  Mailing Address: P.O. BOX 1575, RICHMOND, VA 23213
• SCOTT JAMES GROUP, INC.
  6700 ARLINGTON BOULEVARD, FALLS CHURCH, VA 22042
• SEALE CAPITAL, INC.
  950 N. GLEBE ROAD, SUITE 950, ARLINGTON, VA 22203
• SMITHER & COMPANY CAPITAL MARKETS, LLC
  4337 COX ROAD, GLEN ALLEN, VA 23060
• SPIRE SECURITIES, LLC
  12355 SUNRISE VALLEY DRIVE, SUITE 305, RESTON, VA 20191
• STERLING BENEFITS BROKERAGE, LLC
  4356 BONNEY ROAD, BUILDING 2, SUITE 101, VIRGINIA BEACH, VA 23452
• STONECROFT SECURITIES LLC
  23253 MEADOWVALE GLEN CT., DULLES, VA 20166
• TBC SECURITIES, LLC
  2690 CLARENDON BLVD., SUITE 200, ARLINGTON, VA 22201
• THOMPSON DAVIS & CO., INC.
  15 SOUTH 5TH STREET, RICHMOND, VA 23219
  Mailing Address: PO BOX 1854, RICHMOND, VA 23218
• TIER ONE PARTNERS, INC.
  2500 LANDER CT, MIDLOTHIAN, VA 23113
• TRANS AMERICAN EQUITIES CORPORATION
  4141 N. HENDERSON RD STE 8, ARLINGTON, VA 22203
• U.S. INVESTORS, INC.
  515 KING STREET, SUITE 310, ALEXANDRIA, VA 22314
• WEALTHFORGE, LLC
  501 EAST FRANKLIN STREET, SUITE 118, RICHMOND, VA 23219
• WOODVILLE HALL CAPITAL, LLC
  SUITE 201, 2 WEST WASHINGTON STREET, MIDDLEBURG, VA 20117
  Mailing Address: PO BOX 113, MIDDLEBURG, VA 20118
• WWC SECURITIES, LLC
  11911 FREEDOM DRIVE STE 1010, RESTON, VA 20190