Broker sold shares without my permission???

F

flipper

Guest
Hi,

Where do i stand if a broker sold shares i did not own.
I sold out of my shares completely yet they sold an additional X amount.
I have since then traded again using the proceeds. The broker is now claiming a 4 figure sum on the large side.

I have now disovered that the broker may have been deducting 2-3% of shares that i have sold since without my permission or knowledge.

Can the broker sell my remaining shares without my permission to recoup their loss?

thanks
 
Hi strmin,

I have read through their T&C's and there is nothing specifically referring to these circumstances.

This is clearly negligence on their side and they should suffer the loss?
or
Is this similiar to the banks, whereby if they discover they have undercharged you they can claim back the outstanding money?
 
You could considering bring this up with the Financial Regulator.

[broken link removed]

Although I think you should contact your broker first.
 
I think you definately need to report your broker as mistakes like this should not be happening.

As for the error in your favour perhaps you should consider it the equivilant of a bank error! Also, how much does the errors against you add up to?
 
To be honest i have little faith with this broker. There are have been numerous errors over the past while.

I spoke to the financial regulator today who advised me to submit a formal complaint.
I have read/heard of similiar mistakes by this broker but im not aware of how the problem was resolved.

my concern is that the broker will simply sell my current shares which are worth considerably less or lay claim to a a sum of money sitting in my cash account.

At a minimum this is unprofessional.
 
Very unprofessional. You definitely need to know the law about this one and speak up cos if they have made lots of mistakes, you'd be doing everyone justice by getting them removed. Including the broker - sounds like they may need to tap into their other 'gifts' for employment!
 
flipper said:
Can the broker sell my remaining shares without my permission to recoup their loss?
thanks
Click to expand...

Why does the broker have a loss??

If they sold your shares the only reason i can think of is that you a) owe them money and/ or b) you failed to send them the share cert(s) on time, if your shares are not held in crest etc.
 
Was this a 'margin call'? Were any of the shares purchased with borrowed money 'on the margin'?
 
You must log in or register to reply here.
Back
Top