According to reports yesterday, Christopher Lee Hibbard, a former financial advisor with Merrill Lynch was indicted in federal court Tuesday for his alleged role in a $4.4 million fraud scheme.
Hibbard, of Louisville, Kentucky was charged in the U.S. District Court for the Western District of Kentucky with one count of investment advisor fraud and nine counts of wire fraud, according to reports
If convicted, Hibbard could face up to 20 years in prison and $250,000 in fines for the wire fraud charges and five years and $10,000 for the investment advisor fraud.
According to the his broker report on FINRA’s website, Hibbard worked for Merrill Lynch from July 2010 until he was fired in January for “Conduct including unauthorized transactions and theft,” and barred from acting as a broker by FINRA.
Hibbard is accused of devising a scheme to defraud clients by making unauthorized transfers of funds from their accounts to his personal credit card, the indictment stated.
Further, Hibbard allegedly attempted to hide his activities by providing false and misleading information to his clients when they questioned him.
Hibbard’s $4.4 million alleged scheme began in 2007 and continued through December 2017, according to the indictment.
The White Law Group is investigating the liability that Hibbard’s employers may have for failure to supervise him.
Brokerage firms are required to adequately supervise their agents to ensure they are complying with FINRA rules. If it is determined that the broker dealer failed to supervise their agent, they can be held responsible for losses in a FINRA arbitration claim.
If you are concerned about your investments with Chris Hibbard, the attorneys at The White Law Group may be able to help you. For a free consultation with a securities attorney, please call (888) 637-5510.
The foregoing information, which is all publicly available, is being provided by The White Law Group. The White Law Group is a national securities fraud, securities arbitration, and investor protection law firm with offices in Chicago, Illinois and Vero Beach, Florida.
For more information on The White Law Group, please visit www.whitesecuritieslaw.com.
Disclosure: I/we have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.