NFL players hit Wells Fargo, Morgan Stanley with $1.8M arbitration claims

Two NFL players have hit Wells Fargo and Morgan Stanley with $1.8 million in claims, accusing the firms of not properly supervising Aaron Parthemer, a former broker and Miami Beach nightclub owner.

Although FINRA barred Parthemer from the industry in 2015, cases related to his time in wealth management continue to make their way through the regulator’s arbitration system.

While employed as an adviser at Morgan Stanley and then Wells Fargo, he served as a financial adviser to NFL and NBA star athletes, several of whom have since accused him in arbitration of mismanaging their finances.

Parthemer, who is not named in the most recent cases brought by Arizona Cardinals safety Antoine Bethea and former New York Jets linebacker Antwan Barnes, has been previously accused of investing clients in his nightclub without his employer’s approval, according to regulatory filings.

So far, three client claims related to Parthemer’s investment recommendations have ended in awards or settlements totaling approximately $2 million while four additional complaints for $9.6 million are pending, according to his FINRA BrokerCheck record.

In the most recent filing, Arizona Cardinals’ Bethea alleges that Parthemer solicited him to allocate funds to unsuitable investments starting in 2009, according to a note contained within Parthemer’s CRD file. Bethea, who filed arbitration claims in April, is seeking $1.6 million in damages from Wells Fargo and Morgan Stanley.

Matthew Johnson, an attorney at Denver law firm Wheeler Trigg O’Donnell who is representing Bethea, declined to comment.

Former Jets linebacker Barnes, also filed a claim for $205,000 against Morgan Stanley late last year, alleging Parthemer solicited him for investments not approved by his firm.

Chase Carlson, a Miami-based attorney representing Barnes, declined to comment, citing the ongoing arbitration case.

A spokeswoman for Wells Fargo declined to comment while a Morgan Stanley spokeswoman could not be reached for immediate comment.

Source: OnWallStreet

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