Jay Costa Kelter, a Marietta, Georgia investment advisor, was recently charged with defrauding three retirees out of their retirement savings, according to an article in the Atlanta Journal Constitution entitled “Marietta man accused of bilking elderly investors,” written by Lori Norder. Kelter is the subject of both a criminal action and a civil action filed by the U.S. Securities and Exchange Commission, both of which are pending in Tennessee. He faces up to 5 years in prison on each count according to the article. One 75-year-old widow lost approximately $1.4 million and two other retirees lost another $400,000 in the scheme. Kelter reportedly used some of the funds to purchase luxury goods for himself and engaged in high-risk trading with the rest.
This is not Kelter’s first offense. His FINRA BrokerCheck Report (CRD # 2787858) discloses two other customer disputes, including one in which the victim was awarded $346,800.00 in a FINRA arbitration case for alleged breach of fiduciary duty, negligence, unsuitability and misrepresentation by Kelter while he was registered with a broker-dealer named Securities Service Network, Inc. It seems likely that there are even more victims.
Kelter has not been registered with a broker-dealer since September 2013. His registration history is as follows: