Michael Culwell Allegedly Misrepresented Investments

Michael Culwell (CRD #: 5989109), a broker registered with Emerson Equity, is the subject of an investor dispute. This is according to his BrokerCheck record, accessed on March 28, 2024. Keep reading if you have questions regarding his alleged conduct. 

Investor Allegations 

On January 31, 2024, an investor alleged that Michael Culwell engaged in misrepresentation and recommended unsuitable investments. The investor is seeking $444,000. 

On February 8, 2021, an investor alleged that Michael Culwell failed to conduct reasonable due diligence and recommended unsuitable investments. The investor also allegedly made misrepresentations. The investor sought $300,000 and the dispute was settled for $130,000. 

Misrepresentation 

FINRA Rule 2020 forbids the use of deceptive, manipulative, and otherwise fraudulent methods to influence the purchase and sale of securities. The misrepresentation or omission of material facts violates this rule.

What is an Unsuitable Investment?

FINRA Rule 2111 requires brokers to evaluate whether an investment strategy fits their investor’s financial goals. Brokers must examine the investor’s profile, which contains the following investor characteristics:

• Age
• Risk tolerance
• Time horizon (i.e., how long the investor plans to hold the investment)
• Investing experience
• Tax status
• Financial goals

Investors who rely on brokers for recommendations may be able to recover losses from unsuitable investment recommendations by pursuing FINRA arbitration.

Background Information 

Michael Culwell has passed the following exams: 

• Series 63 Uniform Securities Agent State Law Examination 
• Series 82TO Limited Representative-Private Securities Offerings 
• SIE – Securities Industry Essentials Examination 
• Series 22 Direct Participation Programs Representative Examination 
• Series 24 General Securities Representative Examination 

He is a registered broker in 21 states. 

During his 12 years of experience, he has registered with five firms: 

• Emerson Equity (CRD #: 130032) 
• ARI Financial Services (CRD #: 137608) 
• XNergy Financial (CRD #: 144436) 
• Dmirak Securities Corporation (CRD #: 150181) 
• Heritage Financial Systems (CRD #: 130019) 

Kurta Law Can Help 

If you have worked with Michael Culwell and have concerns about your investments, do not hesitate to contact us at 877-600-0098 or info@kurtalawfirm.com for a free consultation. 

For nearly 20 years, Kurta Law has advocated for investors to recover their investment losses from brokers and brokerage firms. Kurta Law is a nationally recognized law firm that exclusively represents investors against brokers and brokerage firms on a contingency basis. This means that the firm only earns a fee if our securities attorneys recover money on your behalf. Do not let securities fraud go unchecked. Start your recovery process today.