"They were subtenants," he said, adding that marketer Jeff Schneider "who did some marketing for paradigm over the last couple of years introduced us to Ponte Negra, and we had some available office space.""That's 100% the extent of the relationship," he said."There's no smoke or fire as relates to this unfortunate Ponte Negra situation. There's nothing there at all," he said.
- Whilst working for CIBC markets immediately before taking the position at Paradigm he allegedly temporarily transferred securities from a customer account to another member of the firm allowing the other member of the firm a bonus. He is acused of but denies sharing in this bonus. He settled this for a fine, a non-admission of guilt and a 90 day industry suspension.
- There were several allegations that at CIBC he recommended inappropriate investments and excessively traded client accounts. Damages in most these cases was under half a million dollars and some cases were settled by CIBC for amounts up to one hundred thousand dollars.
- There were also allegations of unauthorised trading of client accounts which were settled by CIBC for amounts in excess of $50 thousand.
- At Paine Weber he was accused of failing to respond to client requests causing damages to clients of $18000. Paine Weber settled for $10 thousand but Mr Schneider denies any liability.
- He was permitted to resign from Merrill Lynch after allowing foreign clients to exercise (losing) trades and to not pay for their losses. He argues that he was following Merrill Lynch procedures and that the clients just disappeared.