Local man claims advisors caused financial loss

Kelly Holleran Jul. 19, 2010, 6:35am

A Jefferson County man has filed suit against the financial advisor who he claims caused him to lose nearly $40,000.

Bruce Wayne Conner claims he entered into a contract with defendant AXA Advisors and authorized its financial advisor and co-defendant B. Murray Anderson to invest $50,000 on his behalf.

However, at the time Conner signed the contract, the defendants failed to disclose pertinent parts of the contract, such as the fact that Conner could have margin privileges, according to the complaint filed July 2 in Jefferson County District Court.

"On or before October 1, 2008, Defendant AXA advised Defendant Anderson of a margin call and of the need to sell $28,870 of the stock owned by Plaintiff," the suit states. "Defendant Anderson advised AXA that Plaintiff did not ask for margin privileges, did not want margin privileges and he (Anderson) did not believe that the application signed by Plaintiff provided for margin privileges. Neither Defendant advised Plaintiff of the margin call until after the majority of his stock was sold."

When Conner requested that his account be closed, he received only $11,651.74 out of the $50,000 he originally invested, the complaint says.

Conner alleges insufficiency of the contract, breach of contract and warranty, fraud and misrepresentation, breach of the duty of good faith and fair dealing and negligence against the defendants.

In his complaint, Conner is seeking actual, statutory and punitive damages, plus pre- and post-judgment interest, a judgment of at least $20,000 for attorney's fees, costs and other relief the court deems just.

Marc P. Henry of Henry and Fuller in Beaumont will be representing him.

The case has been assigned to Judge Gary Sanderson, 60th District Court.

Jefferson County District Court case number: B187-208.

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