PHILADELPHIA, PA — National investment loss attorneys KlaymanToskes have filed a claim seeking to recover up to $1,000,000 for a retired Philadelphia police officer. The claim alleges that suspended financial advisor Austin Richard Dutton Jr. and his firms, American Trust Investment Services and Newbridge Securities, advised the officer and his wife to invest their retirement savings in unsuitable Alternative Investments, resulting in substantial losses.
KlaymanToskes’ investigation has revealed that Dutton reportedly offered retirement consultation services to retired members of the Philadelphia Fraternal Order of Police and the Philadelphia Firefighters and Paramedics Union. They are currently representing customers of Dutton, including first responders who suffered losses at American Trust Investment Services and Newbridge Securities in Philadelphia, PA and surrounding areas.
According to the Financial Industry Regulatory Authority (FINRA) arbitration claim (no. 23-03271), the customers sought low-risk investments to provide income with little risk to their retirement savings. Despite their conservative investment objectives, Dutton recommended high-risk, illiquid Alternative Investments such as non-traded Real Estate Investment Trusts (REITs), Business Development Companies (BDCs), and preferred stocks.
Dutton allegedly represented these investments as safe from market volatility and failed to explain the significant risks associated with a portfolio overconcentrated in such investments, including lack of liquidity and diversification. Furthermore, Dutton reportedly guaranteed the customers that they would not lose their principal investment, which is in violation of FINRA rules.
On June 8, 2022, Dutton’s broker license was suspended after he failed to respond to a request from FINRA. In July 2023, he was indefinitely suspended after failing to pay an arbitration award where he was found liable for the sale of unsuitable alternative investments. Following his departure from the industry, Austin’s son Andrew Dutton took over the customers’ accounts.
Customers of Austin Dutton Jr. who suffered investment losses are urged to contact attorney Lawrence L. Klayman, Esq. at (888) 997-9956 or lawrence@klaymantoskes.com for a free and confidential consultation to discuss legal options. They do not collect attorney’s fees unless they are able to obtain a financial recovery for you.
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