Donald Toomer; Wells Fargo; Las Vegas, Nevada

The Financial Industry Regulatory Authority’s (FINRA) Department of Enforcement recently investigated Donald Toomer, a former registered broker who was indicted for allegedly participating in a fraudulent scheme to manipulate the stocks of three low-priced, speculative securities. Toomer allegedly participated in the manipulation of the securities of NXT Nutritionals Holdings, Inc. (NXTH), Clear-Lite Holdings, Inc. (CLRH), and Mesa Energy Holdings, Inc. (MSEH). His conspiracy generated over $30 million in illicit trading profits. Mr. Toomer and three others allegedly increased the price of the three companies’ stock by engaging in coordinated trading that coincided with the dissemination of promotional materials touting the stocks, thereby encouraging investors to buy the securities. After causing the stock to go up, the men then dumped large volumes of the shares they owned or controlled. For doing this, his co-conspirators allegedly paid him hundreds of thousands of dollars in cash kickbacks and other compensation. The civil action against him was brought by the Securities and Exchange Commission (SEC). Wells Fargo, his former firm, terminated him two days after his indictment.

Toomer was registered with Painewebber Inc. in Weehawken, New Jersey from February 1997 until March 1999, Sutro & Co. in San Francisco, California from February 1999 until November 1999, Prudential Securities Inc. in New York, New York from October 1999 until June 2001, RBC Dain Rauscher in New York from June 2001 until September 2005 and Wells Fargo Advisors in Las Vegas, Nevada from September 2005 until December 2015. He has one civil pending charge against him and one criminal pending charge. His former firm, Wells Fargo, may be held responsible in the FINRA arbitration forum for losses suffered because of Mr. Toomer on a contingency fee basis. Please call today.