Darryl Cohen: $5MM Complaint Against Ex-Westlake Village Rep

Former Morgan Stanley broker and investment adviser Darryl Cohen (CRD# 2786613) has received a pending investor complaint alleging his investment recommendations led to $5 million in losses. According to Financial Industry Regulatory Authority (FINRA) records, Cohen was most recently registered with the firm’s branch office in Westlake Village, California.

Darryl Cohen’s FINRA-maintained BrokerCheck report lists three pending customer complaints against him, two settled customer complaints, one customer complaint that was denied, one that was closed, and one that concluded with an award to the claimant. His report also discloses that in March 2021 he was discharged from Morgan Stanley over allegations “relating to [his] facilitation of outside client business and transactions not disclosed to or approved by” the firm, as well as allegations concerning the “use of an unapproved platform to engage in inappropriate communications with clients.”

A complaint filed in April 2021 alleges that as a representative of Morgan Stanley, Darryl Cohen made misrepresentations with respect to a “recommendation for an outside business investment utilizing a line of credit from the firm” in June 2019; the pending complaint alleges damages of $100,000.

A complaint filed in March 2021 alleges that as a representative of Morgan Stanley, Darryl Cohen recommended unsuitable investments and a credit line; the pending complaint alleges damages of $2.3 million.

A complaint filed in January 2021 alleges that as a representative of Morgan Stanley, Darryl Cohen made payments from their accounts “without prior approval” and encouraged them to use “a Liquidity Access Line for real estate and life insurance policies for which they now claim they hold no interest.” The pending complaint alleges damages of $5 million.

A complaint filed in 2020 alleged that as a representative of Morgan Stanley, he recommended an unsuitable Liquidity Asset Line. The complaint reached a settlement in March 2021 of $125,000.

A complaint filed in 2021 alleged that as a Wells Fargo Advisors representative, he made an unauthorized transfer. The complaint reached a settlement of $16,500.

A complaint filed in 2001 alleges that as a Merrill Lynch representative, he engaged in negligence, recommended unsuitable products, made misrepresentations, committed fraud, engaged in unauthorized trading, breached his fiduciary duty, breached contract, and breached the implied covenant of good faith and fair dealing. The complaint concluded in a 2005 award to the customer of $81,851.

According to Financial Industry Regulatory Authority records, Darryl Cohen holds 24 years of securities industry experience. He has been registered with Morgan Stanley in Westlake Village, California; Wells Fargo Advisors in Westlake Village, California; and Merrill Lynch in New York, New York. He is currently not registered as a broker or an investment adviser. (Information current as of June 10, 2021.)