NH regulators warn public about unlicensed Ossipee investment advisor
"We are asking the public to take precautions," said Jeffrey Spill, deputy director of the state Bureau of Securities Regulation.
The bureau shut down REB Financial on Friday, issuing a cease and desist order after investigators reported that REB was not registered as a business and that its owner, Robert Bossdorf, did not have required state or federal licenses.
Securities regulators have asked anyone who had an account with Bossdorf or REB Financial to contact the bureau at 271-1463.
Securities bureau auditors began the investigation into REB on Thursday after getting a tip from a resident. Based on the auditors' findings, the shutdown order was issued Friday.
"We alleged in our petition that he was giving investment advice without a license and trading online accounts for customers without a license," Spill said.
According to papers filed by the bureau's auditors, Bossdorf made stock trades in customer accounts with online services, such as Vanguard Securities and Ameritrade.
"REB has the passwords to online trading accounts and makes trades in those accounts for a fee," the filing said.
The legal papers state that Bossdorf has admitting handling eight to 10 accounts. The bureau has not yet confirmed the number of accounts over which Bossdorf had control, Spill said.
"We're totally in the dark, we've requested that he provide that information; we believe that he will," Spill said. "He does have access to accounts; we don't know if customers have foreclosed access."
The listed Ossipee telephone number for Bossdorf and REB has been disconnected.
Spill said federal and state requirements for licensing and trading through registered broker-dealers protects the public.
"In order to be fully current and aware of current-day requirements and proper methods and compliance you would have to be fully licensed and have some sort of compliance regimen," Spill said.