Morgan Stanley Ordered to Pay Over $500,000 Regarding Conduct of Timothy Prouty

Have you lost money with financial advisor Timothy John Prouty of Morgan Stanley, in Albuquerque, New Mexico?  The Law Firm of Israels & Neuman is investigating allegations of former customers related to Timothy or Tim Prouty. Tim Prouty’s BrokerCheck report, a public record maintained by FINRA, states that Prouty has been the subject of a customer complaint.

Specifically, Timothy Prouty’s BrokerCheck report states that a customer made complaints about ETFs that invested in options and futures.  In May 2019, an arbitration panel in Albuquerque, New Mexico ordered Prouty’s firm, Morgan Stanley, to pay $519,089 to the customer.

Timothy Prouty is a registered representative of Morgan Stanley from 2009 to the present.  He works at a branch office in Albuquerque, New Mexico.

Brokerage firms like Morgan Stanley have a responsibility to adequately supervise all representatives who are registered through their firm.  Brokerage firms also must take steps to ensure that their financial advisors follow all securities rules and regulations, as well as internal firm policies.  When brokerage firms fail to adequately supervise their registered representatives, they may be liable for investment losses sustained by customers.

Israels & Neuman PLC is a securities and investment fraud law firm with offices in Denver, Colorado; Seattle, Washington; and Phoenix, Arizona.  We represent investors in FINRA arbitration proceedings in all 50 states, including investors in New Mexico and throughout the Albuquerque area. Our attorneys have recovered millions of dollars for investors against many brokerage firms in the past, including Morgan Stanley.

Click to view:  Prouty, Timothy BrokerCheck 8.13.19

Click to view:  Balok v. Morgan Stanley Award

If you lost money with Timothy Prouty or Morgan Stanley, please CONTACT US at 720-599-3505 or 206-795-5798 for a free evaluation of your case.