Shawn Kristi Dicken – and the firm that employs him or her – is regulated by the Financial Industry Regulatory Authority (FINRA).
If you are like most people, before you go out to dinner at a new restaurant, you probably take a quick look at the reviews. This makes sense; you are going to pay for an expensive dinner, and you need to be sure that you are getting a good value.
Yet, when choosing a financial advisor, many people fail to conduct this same level of due diligence. Before turning over access to your money, you need to be sure that you have found a financial advisor that you can trust. Here, our audit report, including details of allegations, complaints, and sanctions will help you decide whether or not to invest with Shawn Kristi Dicken.
BrokerComplaints.com is currently investigating allegations related to Shawn Kristi Dicken. We provide a free platform for investors to help them in their claims against negligent brokers and brokerage firms.
About Shawn Dicken
Shawn Kristi Dicken is an Investment Adviser. Shawn Kristi Dicken’s Central Registration Depository (CRD) number is 4590563 and the FINRA Profile can be found at – https://brokercheck.finra.org/individual/summary/4590563.
Click here to download a Detailed Audit Report for Shawn Kristi Dicken.
Shawn Kristi Dicken has previously been reprimanded and has disclosures and/or client dispute(s) listed at FINRA BrokerCheck.
Accusations and Disclosures
You can find below, a quick snapshot of Shawn Kristi Dicken’s regulatory actions, arbitrations, and complaints.
DISCLOSURE 1 –
- Event Date: 9/24/2018
- Disclosure Type: Regulatory
- Disclosure Resolution: Pending
- Disclosure Detail :: DocketNumberFDA:
- Initiated By: UNITED STATES SECURITIES AND EXCHANGE COMMISSION
- Allegations: SEC Admin Release 34-84272 / September 24, 2018: The Securities and Exchange Commission (Commission) deems it appropriate and in the public interest that public administrative proceedings be, and hereby are, instituted pursuant to Section 15(b) of the Securities Exchange Act of 1934 (Exchange Act) against Shawn K. Dicken ( espondent or Dicken). The Division of Enforcement alleges that on March 13, 2014, a jury found Dicken guilty of seven counts of making or using false pretenses to obtain money from a person with the intent to defraud or cheat, a felony, in violation of Michigan Compiled Laws (MCL) 750.218(4)(a), one count of felony embezzlement in violation of MCL 750.174a(6)(a), and one count of conducting a criminal enterprise by obtaining money by false pretenses, a felony, in violation of MCL 750.159i(1), in People v. Shawn Kristi Dicken, Case No. 2013-005531-FH (Cir. Ct., Midland County, Michigan). On July 31, 2014, a judgment in the criminal case was entered against Dicken. She was sentenced to 140 months to 20 years in prison. The counts of the criminal Information as to which Dicken was convicted alleged, among other things, that between January 2011 and November 2012: a. Dicken was employed as a salesperson for an issuer of securities. b. She solicited investors, mostly senior citizens to invest in Diversified Group. c. She made material misrepresentations about the investment stating that the investment was without risk, was completely liquid, and featured a guaranteed rate of return of between 9.5% and 10.44%. She failed to disclose the risks that this was a highly leveraged real estate investment that could result in the loss of all of their money. d. Based on these representations Dicken obtained over $2 million of investor funds. Many investors risked their life savings. e. What they really invested in was a Ponzi Scheme operated by an associate of Dicken.
- Sanction Details ::
DISCLOSURE 2 –
- Event Date: 9/25/2013
- Disclosure Type: Regulatory
- Disclosure Resolution: Final
- Disclosure Detail :: DocketNumberFDA: 2012034090301
- DocketNumberAAO: 2012034090301
- Initiated By: FINRA
- Allegations: FINRA RULE 2010, NASD RULE 2310: DICKEN RECOMMENDED AND EFFECTED PURCHASES OF MEMBERSHIP INTERESTS IN LIMITED PARTNERSHIPS IN THE ACCOUNTS OF HER MEMBER FIRM’S CUSTOMERS WHO WERE RETIRED, ELDERLY AND OF LIMITED FINANCIAL MEANS. THE OFFERING MEMORANDA FOR THE LIMITED PARTNERSHIPS STATED THAT THE INVESTMENT IS SPECULATIVE IN NATURE AND POSSESSED UNIQUE RISKS, INCLUDING ILLIQUIDITY, NON-TRANSFERABILITY, DEFAULT RISK, AND ADVERSE MARKET CONDITIONS. BY FOLLOWING DICKEN’S RECOMMENDATIONS, THE CUSTOMERS INVESTED IN THE LIMITED PARTNERSHIPS AND THEIR CONCENTRATED POSITIONS IN THE LIMITED PARTNERSHIPS WERE UNSUITABLE FOR THE CUSTOMERS. THESE INVESTMENTS WERE UNSUITABLE INSOFAR AS IT EXPOSED DICKEN’S CUSTOMERS TO AN UNREASONABLE LEVEL OF RISK OF LOSS AND SPECULATION, AND RESULTED IN AN UNSUITABLE LEVEL OF CONCENTRATION IN THE LIMITED PARTNERSHIPS IN THEIR ACCOUNTS.
- Resolution: Acceptance, Waiver & Consent(AWC)
- Sanction Details :: Sanctions: Civil and Administrative Penalty(ies)/Fine(s)
- Sanction Details :: Amount: $5,000.00 Sanctions: Suspension
- Sanction Details :: Registration Capacities Affected: ANY CAPACITY
- Duration: THREE MONTHS
- Start Date: 10/7/2013
- End Date: 1/6/2014
- Regulator Statement: WITHOUT ADMITTING OR DENYING THE FINDINGS, DICKEN CONSENTED TO THE DESCRIBED SANCTIONS AND TO THE ENTRY OF FINDINGS; THEREFORE, SHE IS FINED $5,000 AND SUSPENDED FROM ASSOCIATION WITH ANY FINRA MEMBER IN ANY CAPACITY FOR THREE MONTHS. THE FINE IS DUE AND PAYABLE EITHER IMMEDIATELY UPON RE-ASSOCIATION WITH A MEMBER FIRM FOLLOWING HER SUSPENSION OR PRIOR TO ANY APPLICATION OR REQUEST FOR RELIEF FROM ANY STATUTORY DISQUALIFICATION RESULTING FROM THIS OR ANY OTHER EVENT OR PROCEEDING, WHICHEVER IS EARLIER. THE SUSPENSION IS IN EFFECT FROM OCTOBER 7, 2013, THROUGH JANUARY 6, 2014.
DISCLOSURE 3 –
- Event Date: 11/16/2012
- Disclosure Type: Regulatory
- Disclosure Resolution: Final
- Disclosure Detail :: DocketNumberFDA:
- Initiated By: STATE OF MICHIGAN, CS&CL BUREAU
- Allegations: Respondent is permanently barred from registration in Michigan under the Act, which the Bureau will record in the Central Registration Depository with the designation BAR effective on the entry date of this Order.
- Resolution: Order
- Sanction Details :: Sanctions: Bar (Permanent)
- Sanction Details :: Registration Capacities Affected: All Capacities Sanctions: Cease and Desist Sanctions: Civil and Administrative Penalty(ies)/Fine(s)
- Sanction Details :: Amount: $5,000.00
DISCLOSURE 4 –
- Event Date: 11/24/2009
- Disclosure Type: Customer Dispute
- Disclosure Resolution: Closed-No Action
- Disclosure Detail :: Allegations: THE CLIENT ALLEGES THAT HE WAS MISLED AND THE PRODUCTS HE PURCHASED WERE MISREPRESENTED TO HIM.
- Damage Amount Requested: $5,000.00
- Arbitration Docket Number:
- Broker Comment: [CUSTOMER WAS NOT MISLED AS TO THE NATURE OF THE FINANCIAL PRODUCTS WHICH HE PURCHASED. HE UNDERSTANDS THEM COMPLETELY. HE IS MERELY CONCERNED THAT HE WILL NOT BE ABLE TO ACHEIVE HIS RETIREMENT INCOME GOAL DUE TO THE MARKET PERFORMANCE OF HIS INVESTMENTS. AFTER MY TERMINATION HE WAS NOT ABLE TO CONTACT ANYONE AT PRIMEVEST (MY REPLACEMENT DID NOT RETURN ANY OF HIS PHONE CALLS.) UPSET AT THIS LACK OF SERVICE, [CUSTOMER SENT A LETTER/EMAIL TO PRIMEVEST. UPON SPEAKING WITH [CUSTOMER, HE IS ALSO NOT AWARE THAT THIS ACTION HAS LED TO A FORMAL COMPLAINT.
DISCLOSURE 5 –
- Event Date: 8/9/1991
- Disclosure Type: Criminal
- Disclosure Resolution: Final Disposition
- Disclosure Detail :: Criminal Charges :: Charges: 1) 1 COUNT 2) MISDEMEANOR 3) GUILTY
- Charge Type: MISDEMEANOR
- Disposition: BECAUSE COURT RECORDS HAVE BEEN DESTROYED WE DO NOT HAVE AN EXACT DATE
- Broker Comment: THE INCIDENT OCCURED N AUGUST 1991. I WAS CHARGED WITH TAKING A $2 BAG OF CHIPS FROM A GROCERY STORE. I WAS WITH A GROUP OF FRIENDS AND WAS UNDER THE ASSUMPTION THAT A FRIEND HAD PAID FOR THE CHIPS. I WAS ACCUSED OF TAKING THE CHIPS, RIGHT OR WRONG, I PLEAD GUILTY TO TAKING THE CHIPS. I WAS EMBARRASSED AND DIDN’T KNOW WHAT TO DO AND WAS AFRAID THAT MY PARENTS WOULD FIND OUT. I COMPLETELY REGRET THE ENTIRE SITUATION. THIS IS THE ONLY INCIDENT THAT HAS EVER OCCURRED.
According to a study prepared for the FINRA Investor Education Foundation, 80 percent of American investors report that they have been solicited to participate in a fraud scheme, while 11 percent of American investors report that they personally lost money as a result of fraud.
FINRA notes that the rate of investment fraud is most likely much higher than it is reported. This is because many victims of financial advisor scams are too ashamed to come forward. Further, the study also found that a significant number of investors do not know how to spot common red flags of investment fraud. The least you should do is share your experience with other potential victims of investment scams.
Under federal securities law and securities industry regulations, registered investment firms have a legal duty to supervise their financial advisors. Section 15(b)(4)(E) of the Securities and Exchange Act of 1934 makes a securities firm liable for the conduct of representatives.
- G – W BROKERAGE GROUP, INC. (CRD#: 22691) :: 9/5/2012 – 5/31/2013 :: BEVERLY, NJ
- W R RICE FINANCIAL SERVICES, INC. (CRD#: 36700) :: 12/2/2010 – 7/3/2012 :: BAY CITY, MI
- CHELSEA FINANCIAL SERVICES (CRD#: 47770) :: 11/25/2009 – 1/15/2010 :: BAY CITY, MI
- PRIMEVEST FINANCIAL SERVICES, INC. (CRD#: 15340) :: 5/13/2005 – 9/10/2009 :: MIDLAND, MI
- PRUCO SECURITIES, LLC. (CRD#: 5685) :: 1/19/2005 – 5/17/2005 :: NEWARK, NJ
- HANTZ FINANCIAL SERVICES, INC. (CRD#: 46047) :: 10/14/2002 – 8/26/2004 :: SOUTHFIELD, MI
The duty to supervise securities representatives is a strong legal requirement. Registered investment firms must take many different steps to ensure that they are protecting their customers from irresponsible and criminal financial advisors.
Legit or Not?
Unfortunately, stockbroker fraud is more common than many investors would like to think. And yes, stockbrokers (including Shawn Kristi Dicken, but not limited to) can (and do) steal money from their clients. While it’s rare that a broker will literally steal his client’s money (though that does happen), typically the “theft” of investment funds comes in the form of other fraudulent violations of securities law and FINRA rules which leads to significant investment losses.
Investors generally understand that there are risks associated with buying and selling securities. The market can go up, and the market can go down. No matter how skilled of an investor you are, there are always risks. With that being said, sometimes investment losses cannot be blamed on simple back luck.
There are 10 major types of complaints we receive against Investment Brokers –
- Outright Theft (Conversion of Funds)
- Unauthorized Trading
- Misrepresentation or Omission of Material Facts
- Excessive Trading (Churning)
- Lack of Diversification
- Unsuitable Investment Recommendations
- Failure to Disclose a Personal Conflict of Interest
- Front Running of Transactions
- Breakpoint Sale Violations
- Negligent Portfolio Management
Do your due diligence before investing. Public records are available for everybody to review and decide on the safest bet.
How to Protect Yourself
We, as citizens, place a great deal of trust in the financial advisors who are tasked with helping us achieve and maintain financial security. Most of the time financial advisors and stockbrokers are honest folks who work diligently in their client’s best interests. However, on occasion financial advisors and the brokerage firms who employ them mess up and cause serious financial harm to their clients. Sometimes these losses are caused by simple negligence. Other times fraud or other serious misconduct is to blame.
Here are 5 signs that your broker needs to be reported –
- Breach of Fiduciary Duty: Under the Investment Advisers Act of 1940, certain investment professionals, known as registered investment advisors (RIAs), owe fiduciary obligations to their customers. Your investment broker must always look out for your best interests. If you lost money because of your broker’s breach of fiduciary duty, you may be entitled to compensation for the full value of your damages.
- Unsuitable Investments: Many financial advisors are not fiduciaries. Instead, they are held to the suitability standard. These stockbrokers and financial advisors can only sell and recommend financial products that are appropriate for a customer’s unique investment profile. If you lost money in unsuitable investments, you should consider reporting them.
- Material Misrepresentations or Omissions: Brokers have a duty to make fair and honest representations to their clients. If they fail to do so, and an investor loses money due to a misrepresentation or a material omission, the broker may be liable for the investor’s losses.
- Lack of Diversification: Brokers must also act with the appropriate level of professional skill. Pushing a customer into over-concentrated investments is highly risky. Brokers can be held liable for losses sustained because of an investor’s inappropriate lack of diversification.
- Excessive Trading (Churning): Stockbrokers and financial advisors must have a well-grounded, reasonable basis to execute all trades. Unfortunately, there are cases in which brokers will frequently trade on a customer’s account, simply to increase their own fees. This unlawful practice is known as churning.
- Unauthorized Trading: Brokers must have the proper legal authority to make transactions on behalf of a client. If you lost money because your broker made trades that you never approved of, you may have been the victim of unauthorized trading. You should consult with an experienced attorney.
Report Shawn Dicken
In order to prevail in an investment fraud lawsuit or FINRA arbitration cases, you must be able to assert a viable ‘cause of action’.
Shawn Kristi Dicken – and the firm that employs this broker – is regulated by the Financial Industry Regulatory Authority (FINRA). FINRA provides an online form to allow investors to file a formal complaint against their financial advisor, stockbroker, or brokerage firm.
Click here to go to FINRA’s Online Complaint Form →
This form will ask you for specific information related to your complaint. Be prepared by gathering the following:
- Name and symbol for the investment product in question.
- The CRD number (4590563) for the broker – Shawn Kristi Dicken
- Your complete contact information.
Remember, it is advised to report your broker to FINRA, only after you have exhausted all of your other remedies and carefully prepared a compelling complaint. Once you file a complaint against your broker at FINRA, your case will be bound by FINRA’s rules and the arbitration panel’s eventual decision. The time clock will start, and your complaint will be served on your broker or broker-dealer.
The views and opinions expressed in these articles are those of the source BROKERCOMPLAINTS.COM and do not necessarily reflect the official position of ‘Complaints Bureau,’ which shall not be held liable for any inaccuracies presented. The information provided within this article is for general informational purposes only. While we try to keep the information up-to-date and correct, there are no representations or warranties, express or implied, about the completeness, accuracy, reliability, suitability or availability of the information in this article for any purpose.
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