Last Updated: October 2024 (Woodbury, New York)
David Lau Financial Advisor Fraud Alert
National securities fraud lawyers Patil Law P.C. are investigating broker David Lau (CRD #4567411), currently employed at Consolidated Portfolio Review Corp in Woodbury, New York. Lau has faced regulatory actions and was discharged from Morgan Stanley due to allegations related to compliance with pre-trade client confirmation requirements.
David Lau (CRD #4567411) is a financial advisor with over 20 years of experience, currently employed at Consolidated Portfolio Review Corp in Woodbury, New York. However, his career has been marked by regulatory action and termination, including a FINRA suspension for unauthorized discretionary trading and a discharge from Morgan Stanley for non-compliance with pre-trade client confirmation requirements. Below, we provide further details on Lau’s background and the issues that may be important for potential investors to consider.
Critical insights about Woodbury, NY stockbroker David Lau:
- Advisor Name: David Lau
- CRD: 4567411
- Location: Woodbury, New York
- Current Employer: Consolidated Portfolio Review Corp
- Classification: Stockbroker + Financial Advisor
- Primary Location: Woodbury, NY
- Can David Lau be sued in private FINRA arbitration: Yes
- Has Mr. Lau been barred by FINRA: No
- Highest Damages Allegation: Not reported
- Pending Customer Dispute: No
If you have suffered investment losses by David Lau, we strongly encourage you to exercise your rights to experienced legal representation. Recover what is owed to you by retaining a breach of fiduciary duty lawyer. Reach out to the legal team at Patil Law P.C. via the secure online form or call the firm directly toll-free at (800) 950-6553.
Lost Money With Stockbroker David Lau?
David Lau was involved in a regulatory action initiated by FINRA on November 18, 2022 (Docket #2021070917301). The action involved allegations that Lau exercised discretionary trading authority in customer accounts without first obtaining written authorization from the clients or his member firm. Lau consented to the sanctions without admitting or denying the findings, and the final resolution resulted in a 20-day suspension and a $6,000 fine, paid on April 6, 2023.
Lau was also discharged from Morgan Stanley on March 3, 2021, due to allegations regarding his compliance with pre-trade client confirmation requirements in non-discretionary accounts.
Allegations of Broker Misconduct Against David Lau
Customers and regulators have alleged the following misconduct in connection with David Lau’s handling of client accounts:
- Unauthorized Discretionary Trading: Lau was found to have exercised discretionary trading authority in customer accounts without the necessary prior written authorization from clients and firm approval.
- Non-Compliance with Pre-Trade Client Confirmation: Lau’s termination from Morgan Stanley was due to allegations related to failing to comply with pre-trade client confirmation requirements in non-discretionary accounts.
Brokers are required to comply with FINRA Rule 2510, which prohibits the use of discretion in customer accounts without proper authorization. The allegations against Lau suggest violations of this rule, resulting in regulatory action and termination.
Broker Experience Summary
David Lau (CRD #4567411) is a financial advisor with over two decades of experience in the securities industry. He is currently employed at Consolidated Portfolio Review Corp in Woodbury, New York, since January 27, 2021. Over his career, Lau has worked with several firms, including Morgan Stanley from 2009 to 2021, and Citigroup Global Markets, Inc. prior to that. He has passed multiple industry exams, including the Series 7 – General Securities Representative Examination and the Series 63 – Uniform Securities Agent State Law Exam, which qualify him to offer securities services in several U.S. states.
Lau has been registered in New York, where he is currently licensed, and has held other state licenses throughout his career. His role involves providing financial guidance and portfolio management for clients, though his record includes regulatory actions due to violations of firm and industry policies.
Negative Disclosures and Customer Disputes
David Lau has faced two significant disclosures, both of which have led to terminations or sanctions:
- FINRA Regulatory Action (2022): On November 18, 2022, FINRA took regulatory action against Lau for exercising discretionary trading authority in customer accounts without obtaining prior written authorization from the customers or his firm. Lau agreed to a 20-day suspension and paid a $6,000 fine on April 6, 2023 (FINRA Docket #2021070917301).
- Termination from Morgan Stanley (2021): Lau was discharged from Morgan Stanley on March 3, 2021, due to allegations related to non-compliance with pre-trade client confirmation requirements in non-discretionary accounts.
There are no other reported customer disputes, regulatory actions, or tax liens.
Allegations and Accusations
David Lau has been accused of the following misconduct during his tenure:
- Unauthorized Discretionary Trading: FINRA found that Lau was executing trades on behalf of clients without first obtaining written authorization, which violated FINRA Rule 2510, concerning discretion in customer accounts.
- Non-Compliance with Pre-Trade Client Confirmation: Lau was discharged from Morgan Stanley due to failure to comply with firm policies that required pre-trade confirmation from clients in non-discretionary accounts.
These allegations led to both regulatory action and termination, raising concerns about Lau’s adherence to industry regulations and firm policies.
Patil Law P.C. Will Help You Recover Your Investment Losses
If you have suffered investment losses in an account handled by David Lau or have a question about the performance of your account, please contact Attorney Patil online or (800) 950-6553 for a free initial consultation.
Our cases are handled on a contingency basis. We don’t get paid unless we win for you.
