KPKB Demonstrates Broker Fraud, Forces Settlement in Mediation

KPKB Demonstrates Broker Fraud, Forces Settlement in Mediation

     NEW YORK—In a National Association of Securities Dealers (NASD) arbitration, the Miami-based law firm KPKB successfully presented evidence of fraud and overcharging by a large, publicly traded, online broker in dealings with KPKB’s client, a group of professional securities day-traders.  As a result, the broker agreed to a multi-million-dollar settlement, many times greater than the client’s initial demands.

    The overcharging had eaten away at profits of the trading group, effectively ruining the client’s trading business.  At one time the group had bought and sold over $1 billion in stock annually.

     By providing the fraudulent overcharges, and the on-going scheme to hide the fraud, KPKB was able to force the broker into settlement.