S. Paul Powers Allegedly Violated His Fiduciary Duty

S. Paul Powers (CRD #: 859602), a broker registered with Morgan Stanley, is the subject of an investor dispute. This is according to his BrokerCheck record, accessed on December 1, 2023. Keep reading if you have questions regarding his alleged conduct as a broker. 

On September 26, 2023, an investor alleged S. Paul Powers violated his fiduciary duty. This followed allegations involving the lack of detection of outside fraud. 

Fiduciary Duties

Brokers are often dually registered as Registered Investment Advisers (RIAs) with the SEC. RIAs are fiduciaries, and fiduciaries are required to act in their clients’ best interests. Fiduciary duties may extend to detecting outside fraud. Brokers are not fiduciaries but must abide by FINRA Rule 2111 and Regulation Best Interest. (To learn more about the differences between brokers and Registered Investment Advisers, click here.) 

FINRA Rule 2010

FINRA Rule 2010 holds brokers to high standards of commercial honor and just and equitable principles of trade. Failure to detect outside fraud may violate this rule. 

Background Information 

Paul Powers has passed the following exams: 

• Series 65 Uniform Investment Adviser Law Examination 
• Series 63 Uniform Securities Agent State Law Examination 
• SIE – Securities Industry Essentials Examination 
• Series 3 National Commodity Futures Examination 
• Series 7 General Securities Representative Examination
• Series 10 General Securities Sales Supervisor – General Module Examination 
• Series 9 General Securities Sales Supervisor – Options Module Examination 
• Series 8 General Securities Sales Supervisor Examination (Options Module & General Module) 
• Series 24 General Securities Principal Examination 

He is a registered broker in 45 states and D.C. He is also a registered investment adviser in D.C., Florida, Texas, and Virginia. 

Paul Powers has registered with the following firms: 

• Morgan Stanley (CRD #: 149777) 
• CitiGroup Global Markets (CRD #: 7059) 
• Lehman Brothers (CRD #: 7506) 
• E.F. Hutton & Company (CRD #: 235) 
• Johnston, Lemon & Co. Incorporated (CRD #: 473) 

Kurta Law Can Help 

If you have worked with S. Paul Powers and have concerns about your investments, don’t hesitate to contact us today 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.