Former NFL star awarded over $342,000 for investment scam (NASD, 1998)
Brian Smiley and Mike Bishop represented Larry Roberts, a retired defensive end from the San Francisco 49ers. Mr. Roberts contended that his broker at Dean Witter misled him into investing $140,000 in a company which allegedly developed, renovated, and sold homes through a HUD program. The investment quickly failed, and it was determined that the investment was not guaranteed as represented. Mr. Roberts brought claims against Dean Witter and its broker (Brian Smith) for violations of Georgia securities laws, breach of fiduciary duty, fraud, and violation of securities industry rules. A panel of NASD appointed arbitrators ruled in favor of Mr. Roberts and awarded him $242,143 in compensatory damages, including interest. In addition, the broker was held liable for $100,000 in punitive damages. The case was featured in a front page article in the Wall Street Journal (January 27, 1999), “Old NFL Man Trusts His Money to Another, But Soon Regrets It – Investment at Dean Witter Vanishes, and the Broker Washes His Hands of It.”
