IMPORTANT NOTICE TO CUSTOMERS OF DONALD HANCOCK AND MOLONEY SECURITIES WHO SUFFERED LOSSES
If You Suffered Losses With Financial Advisor Donald Hancock at Moloney Securities, Please Contact the Law Firm of KlaymanToskes
MANCHESTER, MO, UNITED STATES, August 29, 2025 /EINPresswire.com/ -- National investment loss and securities attorneys KlaymanToskes issues an important notice to customers of financial advisor Donald Hancock, after his recommendations of unsuitable alternative investments in caused an investor to suffer losses estimated between $100,000 and $500,000. The law firm urges all customers of Donald Hancock who suffered investment losses to contact the firm immediately at 888-997-9956.KlaymanToskes recently filed FINRA Case No. 25-01687 against Moloney Securities Co., Inc. on behalf of a retired Navy veteran who suffered significant investment losses at the recommendations of Donald Hancock. The investor is seeking to recover between $100,000 and $500,000 in damages after being unsuitably recommended alternative investments, including GWG L Bonds, Hartmann Digital Assets Fund, Carter Valdez Fund, and Hardrock Exploration LP.
According to the claim, the customer was seeking a conservative position in his portfolio that would generate income while preserving the principal. Contrary to this directive, Hancock and Moloney recommended alternative investments that were not yet publicly traded, and were highly illiquid, exposing the customer to significant risk.
When investing in Alternative Investments, it can take years before the investor realizes that they have incurred losses. In this case, the customer was allegedly deceived for years as to the status and performance of his investments. Even after GWG’s bankruptcy in 2022, the customer was misled to believe that he would recover his money through the bankruptcy proceeding. This was a material misrepresentation as the bankruptcy status reports have revealed that any recovery will be minimal, if at all.
In September 2024, Donald Hancock reached a settlement with the Securities and Exchange Commission (“SEC”) regarding his failure to comply with Regulation Best Interest (Regulation BI) in connection with recommendations of GWG L Bonds. According to the SEC Order, Hancock was Moloney’s Chief Executive Officer and oversaw Moloney’s alternative investment products, including the GWG L Bonds. The Order states, “[Hancock] led the firm’s activities with regard to its sales of L Bonds, including the firm’s decisions to continue to sell L Bonds when GWG started its new offering in June 2020 and when GWG restarted sales of L Bonds in December 2021. Hancock also was responsible for managing Moloney’s relationship with its registered representatives and answering registered representatives’ questions about L Bonds.”
Ultimately, the SEC found that “Hancock failed to exercise reasonable diligence, care, and skill to understand the potential risks, rewards, and costs associated with the recommendation of L Bonds to certain retail customers.”
Customers of Donald Hancock who suffered investment losses at Moloney Securities are encouraged to contact attorney Steven D. Toskes, Esq. at (888) 997-9956 or by email at investigations@klaymantoskes.com in furtherance of our investigation.
About KlaymanToskes
KlaymanToskes is a leading national securities law firm which practices exclusively in the field of securities arbitration and litigation on behalf of retail and institutional investors throughout the world in large and complex securities matters. The firm has recovered over $600 million in Securities Litigation and FINRA Arbitration matters. KlaymanToskes has office locations in California, Florida, Nebraska, New York, and Puerto Rico.
Disclaimer
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Steven D. Toskes, Esq.
KlaymanToskes, PLLC
+1 888-997-9956
investigations@klaymantoskes.com
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