FINRA Bars Broker Accused of Selling Over $18M in Fraudulent Promissory Notes to NBA, NFL Athletes, & Others

The Financial Industry Regulatory Authority has banned ex-Success Trade Securities Inc. broker Jinesh “Hodge” Brahmbhatt from the industry. The broker is accused of selling over $18 million in fraudulent promissory notes to 58 investors, which included many National Football League and National Basketball Association athletes. Brahmbhatt’s registered investment adviser firm is Jade Private Wealth Management LLC.

In its letter of acceptance, waiver and consent, FINRA cites Brahmbhatt for failing to show up and testify at a disciplinary hearing about his former employer and its CEO Fuad Ahmed. The SRO is accusing the firm and its chief executive of fraudulent promissory notes sales and filed its complaint in April.

FINRA said that the notes, put out by parent company Success Trade, were sold with the promise of yearly 12% to 26% interest rates. Sale proceeds purportedly went to personal unsecured loans to Ahmad, paid for firm operations, and paid off past investors. FINRA has alleged that Success Trade tried to get note holders to either get stock in the company or roll over notes that were maturing at higher rates.

Already, the Miami Dolphins’ American football defensive Jared Odrick has filed his FINRA arbitration claim against Success Trade, Ahmed, and Brahmbhatt. He contends that he invested $625,000 in Success Trade trades and in another series of promissory notes and was told that returns would be 10-12.5%. Odrick now believes the notes were part of a Ponzi scam.

More securities fraud claims against Brahmbhatt, Ahmed, and Success Trade are likely.

Over the years our securities lawyers at Shepherd Smith Edwards and Kantas, LTD LLP have represented professional athletes that were defrauded in similar investment disputes. If you were one of those who invested in Success Trade promissory notes or in other investments you believe may be fraudulent, please contact our broker fraud law firm today to ask for your free case assessment.

NFL-approved broker barred by Finra, Investment News, November 20, 2013
Online Broker Popular with NBA, NFL Players Accused of Fraud -FINRA, The Wall Street Journal, April 11, 2013

More Blog Posts:
US Senator Elizabeth Wants Obama Administration to Break Up Our Biggest Banks, Stockbroker Fraud Blog, November 19, 2013
J.P. Morgan’s $13B Residential Mortgage-Backed Securities Deal with the DOJ Stumbles Into Obstacles, Stockbroker Fraud Blog, October 28, 2013

RBS Securities Inc. Settles SEC’s Subprime RMBS Lawsuit for $150M, Institutional Investor Securities Blog, November 20, 2013

Contact Information