Fraud Charges on Andrew Elsoffer? (2024)

Originally Syndicated on February 21, 2024 @ 10:19 am

According to his claims, Andrew Elsoffer is a soccer coach, investment advisor, and community leader in Cleveland, Ohio. According to Andrew Elsoffer, he has worked in a range of settings and sectors throughout his career, and each encounter has increased his understanding of business and stoked his desire to put people first.

As a financial advisor, Andrew Elsoffer asserts that he has built a successful business and a vibrant community in Cleveland, Ohio. His professional background includes founding and expanding an event management company straight out of college, which paved the way for a career in investing and corporate finance. Apart from his professional life, he presents himself as a rather ostentatious individual who is passionate about being involved in the community, coaching soccer, and mentoring young people in the area.

Before relocating to Cleveland, Andrew Elsoffer attended the University of Michigan in Ann Arbor. In college, he majored in Political Science and Business Administration, which helped him prepare for the workforce. While demonstrating his athletic prowess, he states that he began playing soccer in high school and intended to continue for the full four years of his college career. According to Andrew Elsoffer, he kept soccer as his top priority after graduating from college and played for a local semi-professional team for four years.

According to Andrew Elsoffer’s statement about his professional background, he has over 25 years of experience in the finance sector and has advised a diverse clientele. His area of expertise is investing, and he has overseen large client portfolios with assets valued at millions of dollars. Being a naturally conceited individual, Andrew says that his wealth of knowledge has taught him the importance of professionalism, efficient communication, and wise business alliances. He values his relationships with clients and his professional network, strives to achieve excellence in all he does, and welcomes opportunities for both professional and personal growth.

Additionally, Andrew Elsoffer states that he has more than five years of volunteer experience with the Ronald McDonald House, which offers lodging and support to families of hospitalized children. He also spent eight years working with The Cleveland Swim for Diabetes Association, serving as co-chair for two of those years.

Gourmet Food Promotion

In Andrew Elsoffer’s own words, the founding of Culinary Marketing Incorporated marked a turning point in his professional life and sparked his desire to pursue independence. Interestingly, this business activity established the foundation for his continued commitment to attending to the requirements of clients and fostering a client-centric culture in all of his commercial ventures. This formative experience gave Andrew valuable insights into the intricacies of customer relationship nurturing, business management, and effective marketing techniques. 

But what is the actual situation like?

There are claims that Andrew Elsoffer conducts illicit trades.

Oakes & Fosher is now investigating the purported misconduct of securities broker Andrew Elsoffer. Throughout his career, Andrew Elsoffer has been the subject of numerous client complaints, according to his FINRA BrokerCheck report, which is accessible to the public. He is no longer working in any capacity as a securities broker.

Ohio-born Andrew Elsoffer was a 23-year veteran of the securities industry. Throughout his career, he had maintained registrations with two different securities firms.

His Enrollments

• From 1995 to 2011, Merrill Lynch, Pierce, Fenner & Smith
• From 2011 to 2018, Stifel, Nicolaus & Company 

Andrew Elsoffer: The Allegations Against Him

1. A customer reported in February 2016 that Andrew Elsoffer made inappropriate investment recommendations, which caused account losses. In this case, damages totaling $60,000 were settled.

2. In a March 2016 complaint, a customer claimed that Elsoffer had violated his fiduciary obligations, committed securities and common law fraud, and fabricated important information about purportedly inappropriate transactions. A settlement of $165,000 in damages was reached in this case.

3. In July 2019, clients accused Elsoffer of failing to uphold his fiduciary obligations by mismanaging their money and engaging in illicit trading. In this litigation, $14,999 in damages were settled.

4. In February 2020, customers filed claims alleging negligence, common law fraud, and breach of fiduciary duty. This action is still underway, with the consumers requesting damages of $250,000.

5. FINRA concluded in February 2022 that Elsoffer had used discretion in customer accounts without a documented authority, and as a result, he was formally sanctioned.

6. These findings resulted in a two-year ban on Elsoffer’s ability to act as a securities broker in any capacity as well as a $15,000 punishment.

What symbolizes This?

Brokers of securities are not allowed to make trades on behalf of clients unless they have the investor’s consent. Discretionary trading, on the other hand, allows a securities broker to make transactions in a client’s account without obtaining consent for each deal; nevertheless, the broker must first obtain written consent from the customer. To safeguard the investor against potentially hazardous investments made without their knowledge, this formal consent is necessary and keeps them engaged in the process. 

Andrew Elsoffer-Stifel Nicolaus Stockbroker Authorized for Fraud 

Due to several infractions uncovered by regulatory investigations, Andrew Elsoffer, a former stockbroker from Pepper Pike, Ohio, who was formerly employed at Stifel Nicolaus Company Incorporated, was subject to hefty fines and industry bans.

1. Trading without authorization: Elsoffer carried out almost 2,800 transactions in five clients’ accounts without getting written consent for trading at will, in violation of Stifel Nicolaus’s policies as well as FINRA Rule 2010 and NASD Rule 2510(b).

2. Lending Funds: Despite being forbidden from doing so until approved by the company, Elsoffer loaned money to a Stifel Nicolaus client. He also broke FINRA Rules 2010 and 3240 by not disclosing this debt.

3. Falsifying Information: Elsoffer violated FINRA Rules 2010 and 8210 by giving inaccurate information to FINRA throughout their investigation.

Numerous customer-initiated lawsuits involving claims of fraud, unlawful trading, excessive mutual fund trading, and inappropriate advice have been brought against Elsoffer. Among the noteworthy cases are:

6,000.00, $42,000.00, $75,000.00, $165,000.00, $60,000.00, and $14,999.00 in settlements for damages resulting from allegations of inappropriate transactions, inappropriate counsel, carelessness, violation of contract, breach of fiduciary duty, and elder abuse.

Claims of improper and unlawful stock trading that resulted in losses, violations of Ohio securities laws, and oversight errors by Stifel Nicolaus that caused losses for clients. 2018 saw Elsoffer fired from Stifel Nicolaus due to accusations he had violated company standards regarding customer funds and handled conflicts with customers.

(Source)

In conclusion, multiple incidents of wrongdoing have ruined Andrew Elsoffer’s career and cost him hefty fines, industry prohibitions, and a damaged reputation in the business.

Andrew Elsoffer was penalized by FINRA (the Financial Industry Regulatory Authority) for providing false information 

A private American company called the Financial Industry Regulatory Authority (FINRA) acts as a self-regulatory organization (SRO) for member brokerage firms and exchange markets. FINRA has taken over the regulatory, enforcement, and arbitration functions of the National Association of Securities Dealers, Inc. (NASD) and is a member of the New York Stock Exchange. The final regulatory authority over the US securities market, including FINRA, is the US Securities and Exchange Commission (SEC).

Of all the securities companies that operate in the US, the Financial Industry Regulatory Authority (FINRA) is the biggest independent regulator. FINRA’s goal is to safeguard investors by ensuring that the US securities market operates fairly and honestly. About 624,674 registered securities salesmen, 3,517 brokerage firms, and 153,907 branch offices were all under FINRA’s supervision as of December 2019.

With 20 regional offices spread across the country, FINRA has about 3,600 employees and its headquarters are in Washington, D.C., and New York City. 

How does FINRA deal with violators such as Andrew Elsoffer?

There are two types of discipline: formal and informal. A fine, a fine and restitution order, suspension, or ejection from the industry are examples of formal actions. Informal measures can be warning letters and instructions on how to fix a particular issue. In the same manner that FINRA dealt with Andrew Elsoffer, who was penalized for giving investors misleading information. 

False public relations can be bought, but that doesn’t appear to be happening with Andrew Elsoffer! (Andrew Elsoffer hides his real image as a fraudulent investor behind the false PR method.)

Andrew Elsoffer has been using deceitful PR and false advertising to hide his poor stockbroker image and improve his career. He lies to get credibility.

Elsoffer uses deceptive PR methods like bogus press releases and misleading material to hide his fraud and appear trustworthy. He buys phony articles and sponsored content in mid-tier and premium media venues to appear legitimate. He can afford such content, but he lacks the diversity and volume needed to maintain authenticity, showing a lack of content development effort.

These fake publications present Elsoffer as a sports champion, highlighting his soccer coaching and community leadership. He emphasizes teamwork, discipline, and drive by coaching high school, college, and club teams. He also talks of creating a positive team environment and coaching for 20 seasons at Merrill Lynch.

Elsoffer’s PR strategy uses fabricated stories and endorsements to hide his deception. He uses unethical marketing to hide his criminal background and stockbroker deception and promote his profession.

Conclusion

As a result, it has been revealed that Andrew Elsoffer has been attempting to conceal his fraudulent history and advance his career by employing deceptive public relations strategies and false advertising. However, regulatory investigations have shown multiple instances of misbehavior that occurred during his time as a securities broker. 

This is even though he has made efforts to represent himself as a community activist, investment counselor, and sports champion. There have been severe penalties and prohibitions imposed on the sector as a result of his acts, which include engaging in illicit trading, lending money without transparency, and fabricating information. It is only to further degrade Elsoffer’s reputation and weaken trust in his trustworthiness that he is using phony public relations to conceal his false image.