Last Updated: February 2025 (Watertown, SD)
National securities fraud lawyers at Patil Law, P.C are investigating former WestPark Capital broker Alfred Sietze Vanderlaan (CRD #1172406) regarding multiple customer complaints alleging unsuitable investment recommendations and breach of fiduciary duty. The investigation stems from several pending FINRA arbitration claims filed in 2023 concerning the sale of GWG L-Bonds and other alternative investments.
Critical Insights About Watertown Financial Advisor Alfred Vanderlaan
- Advisor Name: Alfred S. Vanderlaan
- CRD: 1172406
- Location: Watertown, SD
- Current Status: Not Currently Registered
- Previous Employers: WestPark Capital (2019-2022), Sandlapper Securities (2011-2019)
- Classification: Former Registered Representative
- Customer Disputes: 13 Total (5 Pending, 8 Prior)
- Regulatory Events: 2 Final Regulatory Actions
- Years of Experience: Since 1983
- Professional Qualifications: Series 99, 62, 63 licenses
Details Of Current Investigation
Multiple pending customer complaints filed in 2023 allege:
- Unsuitable investment recommendations in GWG L-Bonds
- Breach of fiduciary duty
- Failure to disclose material risks
- Violations of Regulation Best Interest
- Damages claimed ranging from $40,000 to $315,000
- Pending FINRA arbitration proceedings
Recent Regulatory Action
In January 2025, FINRA sanctioned Vanderlaan for:
- Willfully violating Regulation Best Interest
- Recommending unsuitable speculative bonds
- Receiving over $6,500 in commissions from unsuitable recommendations
- Three-month suspension and monetary penalties ordered
Analysis Of Alleged Misconduct
The allegations raise serious concerns about:
- Investment suitability standards
- Risk disclosure practices
- Fiduciary duty obligations
- Sales of complex alternative investments
- Supervision of high-risk product sales
- Protection of senior investors
- Compliance with Regulation Best Interest
Regulatory Framework And Investor Protection
FINRA Rule 2111 (Suitability) requires:
- Reasonable basis suitability
- Customer-specific suitability
- Quantitative suitability
- Full risk disclosure
- Documentation of recommendations
SEC Regulation Best Interest mandates:
- Acting in clients’ best interests
- Full disclosure of material risks
- Mitigation of conflicts of interest
- Reasonable basis for recommendations
- Enhanced protection for retail investors
Red Flags For Investors
- Multiple pending complaints regarding GWG L-Bonds
- Pattern of alleged unsuitable recommendations
- Recent FINRA disciplinary action
- History of customer disputes
- No longer registered in the industry
- Prior regulatory fine in South Dakota
- Multiple employer changes
- Concentration in alternative investments
Implications For Current And Former Clients
Current and former clients should:
- Review all account statements
- Examine investment recommendations
- Verify risk disclosures
- Document communications
- Assess investment losses
- Consider legal options
- Check account concentrations
- Monitor regulatory actions
Patil Law P.C. Will Help You Recover Your Investment Losses
If you have concerns about investments made with Mr. Syslo or questions about how your accounts were handled, please contact Attorney Patil online or call (800) 950-6553 for a free initial consultation. Our securities fraud attorneys work on a contingency fee basis, meaning we only get paid if we help you recover money.
