Broker-dealer Osaic and two of its advisors are facing a lawsuit over allegations they engaged in a scheme to steal customers from a credit union, according to Advisor Hub.
The suit was filed in federal court by Logix Federal Credit Union, based in Valencia, California. It names Osaic and advisors John S. Janios and Anthony J. Martinez, who left Logix in April to start their own practice.
According to the complaint, Janios and Martinez were seen on security camera footage in the weeks before their departure going on what was described as a “printing spree” and putting documents into computer cases. They were also spotted taking photos of their computer screens on the day the left, Logix said. The lawsuit said that these actions were part of an attempt to steal trade secrets and client information from their firm.
“Defendants are recorded on video and tracked through electronic means brazenly and improperly snapping screen shots of Logix confidential information on mobile devices, stuffing documents into cases and printing hundreds if not thousands of pages of documents just prior to and on their coordinated day of departure from Logix,” the complaint states.
13 claims, including breach of confidentiality and racketeering, are contained in the lawsuit, which asks for a temporary restraining order to be issued against Janios and Martinez. The suit also contends that they refused to return the information they allegedly stole. The two are accused of violating employment agreements and engaging in a scheme with Osaic to “abscond” with Logix clients.
The complaint claims that Osaic and the advisors “doubled down, insisting—in spite of the evidence glaringly to the contrary—that they had done nothing wrong and concluding that ‘Osaic Wealth has closed its review of this matter.”
An Osaic spokesperson declined to comment and attempts to reach both advisors were unsuccessful, AdvisorHub reported.
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