Mauriello Law Firm Obtains Arbitration Award on Behalf of Citigroup Investor
After a four day arbitration hearing in San Francisco, Thomas Mauriello obtained an arbitration award of $88,750 for a retiree who had turned over his retirement account to Citigroup Global Markets, Inc., formerly Salomon Smith Barney. (Cruz v. Citigroup Global Markets, Inc., FINRA Arb. No. 07-00350.) The client was a Mexican immigrant who had invested his 401K retirement savings after 30 years working as a bookkeeper at the same company. He was a conservative investor with no prior brokerage firm accounts. He also had a serious disability and a grown child (dependent) with a serious disability. At the outset of the account, the advisor invested the client’s assets 45% into technology and telecommunications stocks, with no hedging, limit orders, or other protective measures employed. The account was invested through Citigroup’s Portfolio Management Group (“PMG”), through which purportedly elite Citigroup financial advisors handle client accounts on a discretionary account basis, charging a percentage fee based on asserts under management. In an arbitration award issued on December 22, the arbitration panel specifically found that the Citigroup financial advisor had breached his fiduciary duty to the client, had recommended unsuitable investments, and had acted negligently. Investors who believe they may have claims involving Citigroup in general or the Portfolio Management Group in particular are encouraged to contact Thomas Mauriello for a free consultation.