September 28, 2021

A former dealer in South Florida with nearly 1 / 4 century within the trade has been ordered to pay his ex-wife greater than $2.5 million over claims of unsuitable buying and selling in her accounts, in line with a choice issued on Monday by a panel of Monetary Business Regulatory Authority arbitrators.

The panel held Barry S. Snyder, a former J.P. Morgan Securities dealer, personally answerable for $2,554,896 in compensatory damages to Elizabeth B. Snyder in Boca Raton, Florida, in line with the award. 

The full damages lined roughly 75 % of Elizabeth’s $3.5 million in out-of-pocket losses sustained in 2015, in line with her Florida-based lawyer, Robert W. Pearce. 

Elizabeth Snyder additionally obtained separate confidential settlements with J.P. Morgan Securities and Deutsche Financial institution Securities, which she had additionally accused of failing to oversee her former husband, Pearce mentioned. He declined to debate the phrases of these settlements. 

“Inside months, all the pieces was gone,” Pearce mentioned of his shopper’s accounts. Elizabeth, nonetheless, was in the end “happy with the result” of the settlements and the award, he mentioned.  

Neil S. Baritz, Barry’s Boca Raton-based legal professional, denied the allegations and mentioned in an e mail that the losses claimed had been “primarily a give again of income beforehand generated by Mr. Snyder for his ex-wife’s accounts, courting to 2009.” He declined to remark additional as they’re “evaluating a petition to vacate” the award.

Barry, who has not been registered with a Finra member agency since September of final 12 months when he left Snowden Account Providers, didn’t return a request for remark. He has been working as chief government and chairman of a freeway street building and upkeep subcontracting agency within the Southeast, in line with his LinkedIn profile.

The case isn’t the primary authorized battle for Barry, who in 2018 sued his former employer, J.P. Morgan Securities, over his Could 2015 discharge. He claimed the firing was retaliation for his cooperation in a federal investigation right into a high-profile institutional shopper of the financial institution. Barry recognized the shopper within the arbitration continuing as hedge fund billionaire Leon Cooperman, in line with paperwork reviewed by AdvisorHub. The cash supervisor and his former agency in 2017 settled expenses of insider buying and selling from the Securities and Alternate Fee for $4.9 million. 

The month following Barry Snyder’s exit from J.P. Morgan, he launched his circle of relatives workplace, centered on “managing investments in actual property, hedged fairness and excessive finish residential and business actual property growth,” in line with a press launch on the time.

Barry is in search of greater than $15 million in damages and a retraction of the “false, defamatory and inflammatory” language in his preliminary termination discover and amendments that adopted. The case remains to be pending in New York Supreme Courtroom in Manhattan.

A spokeswoman for J.P. Morgan declined to touch upon the arbitration, its settlement with Elizabeth Snyder, or on the separate lawsuit filed in opposition to the agency by Barry Snyder. 

Pearce, the Boca Raton-based legal professional for Elizabeth, mentioned his shopper and Barry, who’ve three youngsters, had been divorced for years earlier than a reconciliation of types throughout which Barry had satisfied her to maneuver her accounts again to him.

Elizabeth Snyder in her November 2018 declare alleged that Barry improperly traded securities in her accounts by aggressive “use of margin, day buying and selling, and brief gross sales,” together with investments in shares resembling Habitat Eating places, Inc. and World Eagle Leisure, Inc., in line with the award letter.

Firstly of the arbitration proceedings, Elizabeth had requested $5,143,779, inclusive of $1,050,712 in prejudgment curiosity, however later requested the panel to deduct from its compensatory injury award the settlement quantities (which had been disclosed to the panel however not publicized) with J.P. Morgan and Deutsche. The panel additionally denied her request for prejudgment curiosity. 

In his January 2019 response, Barry denied the allegations and requested dismissal of the declare completely, cost of prices and charges, and for his document to be expunged of the matter. He and his lawyer known as Elizabeth’s declare “vacuous and intentionally deceptive.” 

“Always, Elizabeth and Barry and his employees mentioned the potential dangers and rewards of every explicit funding and the general funding technique employed in her account,” he wrote within the response. 

J.P. Morgan and Deutsche additionally denied the allegations, in search of dismissal in addition to cost of prices and charges, whereas Montecito Advisors, a defunct West Coast broker-dealer additionally named within the dispute, was not responsive and didn’t seem within the proceedings, in line with the letter.

The panel of three ‘public’ arbitrators didn’t present a written justification, as is typical except each events request an defined award. 

The arbitrators in the end deemed Barry’s expungement request withdrawn as he had not requested through the hearings for removing of the dispute from his document, in line with the letter.

Barry Snyder had began his brokerage profession in 1993 with Goldman Sachs, moved in 2003 to Deutsche Financial institution Securities and in 2009 to Credit score Suisse Securities, in line with his BrokerCheck report. He was discharged from Credit score Suisse in August 2013 over issues regarding the “accuracy of data relating to sure data” he mentioned he had taken from prospects, in line with a ‘disclosure’ on his document.

After his stint at J.P. Morgan from 2013 to 2015, he logged one-year stints in 2018 with Lampost Capital and the subsequent 12 months with Snowden Account Providers, in line with the database.

The agency’s U5 submitting for Barry Snyder following his 2015 exit mentioned he had “failed to look for an inside interview following his and the agency’s receipt of SEC subpoenas for sure data and communications,” in line with the New York state lawsuit. 

He claimed in his swimsuit that he had been instructed by investigators to not talk about the investigation with anybody, together with at J.P. Morgan, or else he would face “severe prison expenses” resembling obstruction of justice.

A Deutsche spokesperson didn’t reply to a request for touch upon the arbitration or its settlement with Elizabeth Snyder. 

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