Almost a year after being barred from the industry, a former Mogan Stanley financial advisor in New York is the target of a number of customer lawsuits and complaints, with clients alleging the advisor, Eric B. Kleiner, recommended investments and strategies not approved by the wirehouse.
Morgan Stanley is a one of the leading wealth management companies in the country, with close to 15,000 high-producing financial advisors and robust online and workplace platforms to attract new clients. According to Kleiner’s BrokerCheck profile, Morgan Stanley “discharged,” meaning fired, the advisor in March 2025.
Kleiner was fired after allegations were raised that he made “recommendations to customers of non-firm approved and firm restricted investments,” according to BrokerCheck, which does not detail the specific stocks or funds in question.
The investments allegedly included ones Kleiner also owned, according to BrokerCheck. The firm also claimed the advisor used a personal communications device when he disclosed confidential firm information.
A spokesperson for Morgan Stanley declined to comment when asked about Kleiner, who started working at Morgan Stanley in New York from 2016. He could not be reached Wednesday to comment.
Kleiner began his career in the securities industry in 2000 at the old Prudential Securities Inc.
FINRA barred Kleiner from the industry at the end of last October when he did not cooperate in their investigation of his firing by Morgan Stanley, according to BrokerCheck.
So far, Morgan Stanley has settled three complaints involving Kleiner for close to $1.1 million. The firm is facing three investor complaints claiming $811,000 in damages and four other complaints claiming no specific damages, a sign those damages could potentially be higher than those listed.
When a broker or advisor runs into trouble selling a specific product, firms can face a number of investor lawsuits and complaints.
For example, Stifel Financial Corp. keeps paying high-priced settlements to clients who claimed they were wronged by former star broker, Chuck Roberts, and most recently in July agreed to pay two sets of customers who recently sued the firm for almost $3.6 million.
Roberts and his former brokerage firm, Stifel Nicolaus & Co. Inc., for years have been facing scrutiny due to sales of structured products and structured notes, sophisticated but sometimes volatile investments for clients.
Stifel Nicolaus has paid or is on the hook for close to a staggering $200 million in damages and settlements to former clients of Roberts. Roberts was barred in 2025 from the securities industry by FINRA.
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