Posts tagged churning

AA Dries Up Bank Accounts, Too!

Brion Randall is an alcoholic, narcissistic stockbroker with a nasty sociopathic streak, which makes him a perfect fit as an AA spiritual guide leader. Who better to sponsor a person and take them through their Spiritual Awakening™, than someone whose personality and profession aligns so closely to the holy father of AA himself! Unlike Bill W., Brion R. was not a failed broker. At least it did not seem that way on the surface. He not only did well for himself, but his clients also did well. At least they did well on paper. In the case of Brian R., the paper statements he produced were as bogus as Bill Wilson’s white light experience. Somewhere in the middle of his prayer and meditation, he found time to create statements from non-existent bank accounts, which showed the more than six-million dollars of client money that he had swiped and put into his own bank account, was actually growing for them.

One thing many of Brian R’s clients had in common was Alcoholics Anonymous, where he discovered that AA is not just a great place to pick up women and wash one’s brain, but is a great place to troll for clients, as was the case of fellow AA Maria Walker, whose late husband was also an AA and a friend of Brian R.:

Her late husband, Tuck, had been a fellow AA member. They barbecued and watched football together. The Walkers’ little girl, Emily, played with the Randalls’ girl, Riley.

After Mr. Walker died in 1999, Ms. Walker holed up for two days to drink wine and beer, her first alcohol in more than a decade. When she stopped, Ms. Walker says, Amy Randall [Brian R’s wife] sponsored her at the AA group she and Mr. Randall attended. When Ms. Walker fell into a depression, the Randalls had her and Emily stay with them for a week. Ms. Randall helped Ms. Walker learn to make beaded jewelry.

Mr. Randall followed through on his vow to care for Ms. Walker’s finances. Her husband had no life insurance, but he left a retirement account. Mr. Walker’s family paid Ms. Walker for her late husband’s share of the family’s medical-equipment business, and gave her more to set up Emily’s college fund. After buying a $156,900 house, she had about $350,000.

Not all of his clients’ money was put into bogus investment accounts. Some, as with the case of Ms. Walker, were put into inappropriate investment accounts, which were high risk and broke the SEC’s “know your client rule”. In these cases, Brion R. abused client accounts the old fashioned way, with a practice known as “churning”, where the broker needlessly trades on an account to generate commissions. In the case of this this ass clown, he often turned over an entire client portfolio within a couple of weeks. This is what he did with most of his accounts, and he received no complaints at a time when a monkey could throw a dart at a list of technology stocks and make money. It was when the market failed, and clients with conservative investment objectives began to lose money, that the shit began to hit fan for this jackass. By the time most his clients figured out that the only one making money on their accounts was their broker, the only thing he had to offer them was an amends letter and a serenity prayer. Of course, we all know that those things only help alcoholics, not crime victims. Continue reading AA Dries Up Bank Accounts, Too!