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Robert W Pearce
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Mr. Pearce has tried, arbitrated and mediated numerous disputes involving complex securities, commodities, administrative, contract, commercial, business tort and employment law issues for over 30 years. He has represented hundreds of clients in Federal and state courts (trial and appellate) as... More
My company:
The Law Offices of Robert Wayne Pearce, P.A.
My blog:
The Investor's Rights Law Blog
  • EX-MORGAN STANLEY SMITH BARNEY EXECUTIVE CLIFFORD JAGODZINSKI FIRED FOR BLOWING THE WHISTLE ON BIG PRODUCER 0 comments
    Mar 6, 2013 3:42 PM

    Former risk officer Clifford Jagodzinski was fired for blowing the whistle on a variety of violations by Morgan Stanley Smith Barney (MSSB) representatives. The most notable of Mr. Jagodzinski's discoveries was the churning of preferred securities by a star broker MSSB recruited from Bank of America Merrill Lynch. Mr. Jagodzinski claimed that Harvey Kadden "was flipping preferred securities in a manner that was generating tens of thousands of dollars in commissions but causing losses or minimal gains for his clients exposing (them) to unnecessary risks." A superstar producer, Mr. Kadden was a 30-year veteran of Merrill Lynch before joining MSSB. Mr. Kadden received a $25 million guarantee just for signing on. Mr. Jagodzinski alleged in his complaint that his firing by MSSB was "an action for unlawful retaliation under the Dodd-Frank Act," as well as state law claims.

    A whistleblower is a person who tells the public or someone in authority about alleged dishonest or illegal activities occurring in a government department or private organization. The alleged misconduct may be classified as a violation of a law, rule, regulation and/or a direct threat to public interest, such as fraud, health/safety, and corruption. Whistleblowers may make their allegations internally (to other people within the accused organization) or externally (to regulators, law enforcement agencies, to the media or to groups concerned with the issues). The Dodd-Frank Act provides protection for whistleblowers against retaliation for exposing illegal activities. In recent years, the whistleblower has gained notoriety on Wall Street due to the discovery and exposure of numerous schemes by investment banks and investment advisers.

    The Law Offices of Robert Wayne Pearce regularly represents whistleblowers through all stages of the action. Potential rewards to whistleblowers generally range between 10 - 30% of the amount recovered by the government. Actions can be filed anonymously, and the law prohibits employers from retaliating against whistleblowers - employers may not fire, demote, suspend, threaten, harass, or discriminate against a whistleblower. Whistleblowers who suffer from employment retaliation may sue for reinstatement, back pay, and any other damages incurred.

    Have you considered blowing the whistle to protect public and/or private interests? If so, call Robert Pearce at the Law Offices of Robert Wayne Pearce, P.A. for a free consultation.

    The most important of investors' rights is the right to be informed! This Investors' Rights blog post is by the Law Offices of Robert Wayne Pearce, P.A., located in Boca Raton, Florida. For over 30 years, Attorney Pearce has tried, arbitrated, and mediated hundreds of disputes involving complex securities, commodities and investment law issues. The lawyers at our law firm are devoted to protecting investors' rights throughout the United States and internationally! Please visit our website, www.secatty.com, post a comment, call (800) 732-2889, or email Mr. Pearce at pearce@rwpearce.com for answers to any of your questions about this blog post and/or any related matter.

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