NEW ORLEANS- Believing their employee's record should be cleared, petitioners Edward Jones & Co. asked the U.S. District Court for the Eastern District of Louisiana to uphold an arbitration award on Oct. 8.
The arbitration award was issued on July 25 in favor of Edward Jones & Co. after Howard Shelton, Velma Shelton, Southern Traditions Yam Co. and Shelton's Best Product Co. filed for an arbitration proceeding with the Financial Industry Regulatory Authority over an oil and gas investment dispute with Edward Jones financial advisor Khristopher McKoin.
The accusers said McKoin and Edward Jones of wrongfully invested their money in Seadrill and Linn Energy without permission. McKoin disputed the claims, maintaining that he never invested their money in Seadrill and only invested in Linn Energy at the request of Howard Shelton, even though McKoin advised against the investment after researching the company.
According to the complaint, the arbitration panel found McKoin to be credible and dismissed the allegations against him.
However, the arbitration proceeding was a recorded event on McKoin's securities registration and the Financial Industry Regulatory Authority panel all recommended that the recorded event should be removed from McKoin's registration record because the allegations were dismissed.
Edward Jones is hoping the court will confirm and uphold the expungement from McKoin's securities registration to clear his record, as the arbitration panel recommended.
Edward Jones & Co. are represented by Stephen H. Kupperman and Eric J. Drury of Barrasso Usdin Kupperman Freeman and Sarver LLC out of New Orleans, Louisiana.