Articles Posted in Broker Discipline

In the complex world of financial regulation, transparency is paramount to maintaining trust and confidence in the market. Investors rely on regulatory bodies like FINRA (Financial Industry Regulatory Authority) to hold financial professionals accountable for any misconduct and to ensure a fair and transparent marketplace. However, a recent disciplinary action against a financial professional raises…

Introduction FINRA has fined Haywood Securities for violations of FINRA rules, including Haywood’s failure to adequately conduct due diligence on certain private placement investments. In the ever-evolving landscape of financial investments, due diligence is the bedrock of responsible and informed decision-making. The recent revelations surrounding Haywood Securities (USA) Inc. have brought to light significant failures…

In a recent disciplinary action by the Financial Industry Regulatory Authority (FINRA), Richard S. Siminou faced penalties for trading violations and unsuitable recommendations. The key details of this case are as follows: If you lost money because of Siminou’s investment advice, please contact Banks Law Office.

In a recent regulatory development, BrokerBank Securities, Inc. and its CEO, Philip Paul Wright, faced severe sanctions from the Financial Industry Regulatory Authority (FINRA). This case shines a spotlight on the consequences of non-compliance in the financial industry, revealing how the firm and its CEO allowed an unregistered person to operate in a registered capacity.…

FINRA (The Financial Industry Regulatory Authority Inc.) has been penalizing broker-dealers for their involvement in selling high-risk GPB private placements, which were limited partnerships investing in income-producing businesses. GPB raised $1.8 billion from retail investors, but their failure to file required financial statements with the SEC led to problems. Now, FINRA is increasingly focusing on…

On July 12, 2023, an individual named Luke Michael Johnson was accused in a FINRA (Financial Industry Regulatory Authority) complaint of making unsuitable recommendations to customers. These recommendations involved advising customers to invest over $2.35 million in illiquid alternative investments. The complaint alleges that these recommendations were unsuitable based on the customers’ financial profiles, including…

On July 20, 2023, Robert Spencer Gerstein, based in Boca Raton, Florida, was subject to an AWC (Acceptance, Waiver, and Consent) by FINRA (Financial Industry Regulatory Authority). As part of this agreement, Gerstein faced several sanctions: The allegations against Gerstein revolved around his engagement in short-term trading of securities that were meant to be held…

On July 17, 2023, Daniel M. King of Venice, California, was issued an AWC (Acceptance, Waiver, and Consent) by FINRA. In this disciplinary action, King was fined $10,000, suspended from associating with any FINRA member for two months, and ordered to pay $33,374.31 plus interest in restitution to a customer. This restitution is related to…

On July 7, 2023, FINRA issued an AWC (Acceptance, Waiver, and Consent) sanctioning American Trust Investment Services’ broker John James Hoidas. Hoidas was assessed a deferred fine of $40,000 and suspended from association with any FINRA member in all capacities for 18 months. He did not admit or deny the findings but consented to the…

On July 7, 2023, an AWC (Acceptance, Waiver, and Consent) was issued against Laidlaw broker Christopher Harrington, resulting in a deferred fine of $11,500 and a suspension from being a broker for nine months. Harrington consented to these sanctions without admitting or denying the findings, which revealed that he engaged in misconduct that harmed a…