Our Law Firm Investigates Joseph Stone Capital Broker Leonid (Lenny) Yurovsky for Churning, Excessive Trading, and Unsuitable Investment Recommendations

According to Mr. Yurovsky’s public disclosure report, stockbroker Lenny Yurovsky received a Wells Notice from the Financial Industry Regulatory Authority (“FINRA”) on or about September 29, 2021, which made a preliminary determination to recommend that disciplinary action be brought against Mr. Yurovsky. In the Wells Notice, FINRA alleged willful violation of Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder, and FINRA Rules 2020 and 2010 for churning customer accounts. In addition, FINRA alleged that Mr. Yurovsky excessively traded customers’ accounts, made trades on margin without customer authorization, and made unsuitable recommendations to trade on margin.

Mr. Yurovsky has been registered as a broker with Joseph Stone Capital L.L.C. in Mineola, New York, since April 2016.

Our law firm is investigating potential legal claims on behalf of customers of Lenny Yurovsky and Joseph Stone Capital related to investment recommendations and account activity made by Mr. Yurovsky.

Customers who have suffered investment losses or suspect other misconduct by Mr. Yurovsky or Joseph Stone Capital in their investment, brokerage, or retirement accounts, should contact our securities arbitration law firm for a free and confidential consultation and to review their legal rights.

Joseph Stone Capital L.L.C.

According to a 2017 investigation by Reuters, out of all of the brokerage firms in the country, Joseph Stone Capital hired the second most brokers with a history of significant disclosures. In 2021, our law firm set out to update that analysis.

The investigation revealed that seventy-six percent (76%) of Joseph Stone Capital’s brokers and supervisors have significant red flag public disclosures. Significant red flag disclosures include:

regulatory sanctions,
terminations of employment after allegations of misconduct,
customer disputes that result in an award or settlement, and
prior association with a firm that FINRA has expelled.

You can read the full investigative report here: Investigative Report: Our Law Firm Investigation into Joseph Stone Capital L.L.C. Reveals Troubling Pasts for Owners, Executives, and Brokers

Mr. Yurovsky was one of the brokers who had serious incidents reported on his BrokerCheck report.

Financial Advisor Leonid Yurovsky (CRD No. 4554905)

Leonid Yurovsky has 18 years of experience in the securities industry and has been associated with 14 different firms, including one firm that has been expelled from the industry by FINRA.

In 2014, Mr. Yurovsky was ordered to pay $55,000 in restitution to a customer by the securities regulators in Arkansas, who alleged that he excessively traded the customer’s account.

FINRA’s BrokerCheck tool can be used to obtain Mr. Yurovsky’s complete and updated disclosure reports.

Joseph Stone Capital – A Duty to Supervise

Financial institutions like Joseph Stone Capital must properly supervise financial advisors and customer accounts. Brokerage firms must establish and maintain a reasonably designed system to oversee account activity, such as excessive trading, to ensure compliance with securities laws and industry regulations. When a brokerage firm fails to supervise its financial advisors or the investment account activity sufficiently, it may be liable for investment losses sustained by customers.

How to Recover Losses or Obtain a Free Consultation

In light of this most recent development, L bond investors are encouraged to contact Iorio Law PLLC, a leading securities arbitration law firm, to review their legal rights. Our firm is representing numerous GWG L bond investors in filing securities arbitration claims against firms such as Emerson Equity LLC and Centaurus Financial, Inc.for sales practice violations connected to the solicitation and sale of GWG L Bonds.

The L Bonds are speculative, high-risk, and illiquid private placement offerings. They were likely not suitable for investors with liquidity needs, low to medium risk tolerances, or senior or elderly investors.

About Iorio Law PLLC

Iorio Law PLLC is a securities arbitration law firm located in New York, NY. We represent investors nationwide and vigorously pursue FINRA arbitration claims on behalf of investors to recover investment losses.

We have over 15 years of experience as securities arbitration lawyers and have helped investors recover investment losses in over 800 cases. The firm will file a FINRA securities arbitration claim on your behalf on a contingency fee basis to try to recover your losses. If we do not obtain a recovery, you do not owe us a legal fee.

This blog was published by August Iorio when he was a Partner at his previous firm and has been updated to reflect Iorio Law PLLC’s new contact information. To evaluate any potential claims, contact securities arbitration lawyer August Iorio for a free consultation contact Iorio Law PLLC at info@iorio.law or (646) 330-4624.

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