Merrill Lynch is continuing to pay large settlements to customers of its former broker, Isaiah T. Williams, whose clients included players of the Miami Dolphins.
In April, Merrill Lynch reached a settlement for $1.25 million with a former Williams client, according to his BrokerCheck profile.
Though not named on the BrokerCheck report, industry sources said the client was Sean Smith, a former NFL defensive back who played with the Dolphins for four seasons through 2012 and then retired five season later.
A Merrill Lynch spokesperson declined to comment.
Professional athletes, particularly football players, are often targets of scam artists. They are vulnerable to fraud because of their short careers, high potential annual salaries, lack of financial expertise and the fact that their families often depend on them as breadwinners.
Smith originally claimed $3.5 million in damages. In his complaint, he alleged that Williams “failed to act in his best interest and recommended an unsuitable asset allocation strategy,” according to BrokerCheck.
It’s at least the second settlement between Merrill Lynch and a professional athlete client of Williams.
In August former Dolphins Pro Bowl defensive back, Reshad Jones, received a $9.5 million settlement from Merrill Lynch, where Williams worked before being arrested and charged last summer this summer for criminal activities, including grand theft, fraud and money laundering.
Williams worked at Merrill Lynch in Boca Raton, Fla., from 2017 to the end of last year, according to his BrokerCheck profile, when he voluntarily resigned from the firm in the wake of allegations of “conduct involving misappropriation, unsuitable asset allocation, misrepresentations and an improper outside business activity.”
Jones originally claimed $16 million in damages, alleging the same charges Merrill Lynch listed in Williams’ resignation.
Williams was arrested in Florida last June for his alleged involvement in the theft of almost $2.6 million from Jones, a former Miami Dolphins safety.
Williams allegedly used the stolen funds for numerous personal expenses, according to police and court records, including airline tickets and hotels for himself and women he was dating, car rentals, night clubs and strip clubs. He also allegedly used the stolen funds for child support payments, legal fees, rent, designer clothing and jewelry.
Williams was Jones' financial advisor from January 2022 to March 2024 and allegedly stole $1.6 million from Jones' Bank of America account in more than 130 transactions, according to police and court records.
Jones played safety for the Miami Dolphins in 128 games from 2010 to 2019, making the Pro-Bowl twice.
Jim Walesa worked in the securities industry for 39 years before leaving in 2021.
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