#stockbrokermisconduct - Law Offices of Robert Wayne Pearce

Dec 9, 2020

New Jersey Attorney Who Sues Stockbrokers For Unsuitable Investment Recommendations

Did Frederick Scott Levine Cause You Investment Losses? Frederick Scott Levine of Millburn, New Jersey was fined $5,000 and suspended from association with any FINRA member in all capacities for allegedly engaging in unsuitable investments in violation of NASD Rule 2310 and FINRA Rules 2111 and 2010. The suspension is in effect from September 21, 2020, through December 20, 2020. From January 2002 until November 17, 2014, Frederick Scott Levine was registered with Oppenheimer & Co. Inc as a General Securities Representative. According to the FINRA findings, Levine recommended his customers roll over their Unit Investment Trusts (UIT’s) more than 100 days prior to the maturity on approximately 950 occasions, 600 being “series-to-series” rollovers. The findings stated that each customer had a 24-month maturity period and recommended the sell only 260 days after holding to purchase a new UIT. FINRA stated that due to the unsuitable recommendations, Frederick Scott Levine allegedly caused his customers to incur unnecessary sales charges. Levine voluntarily resigned from Oppenheimer & Co. Inc and is currently registered as a General Securities Representative through another FINRA member firm. Do You Need A New Jersey Attorney Who Sues Stockbrokers For Unsuitable Investment Recommendations? Are you a New Jersey investor who has suffered significant losses in your stock brokerage and investment accounts? Did they recommend unsuitable securities transactions or strategies? Suitability claims can be based upon the stockbroker or investment advisor’s fiduciary duty, duty to use reasonable care, or FINRA Rule 2111. If you believe that your stockbroker or investment advisor made unsuitable recommendations, you need a skilled securities arbitration attorney who knows all the investments, investment strategies and stockbroker tricks of the trade. Free Initial Consultation With Experienced Attorneys Serving New Jersey Residents in FINRA Securities Arbitrations Involving Unsuitable Investment Claims At The Law Offices of Robert Wayne Pearce, P.A. we represent investors in all kinds of securities, commodities and investment law disputes in FINRA, AAA and JAMS arbitration and mediation proceedings. Attorney Pearce and his staff represent investors throughout Millburn, New Jersey, and across the United States on a CONTINGENCY FEE basis which means you pay nothing – NO FEES-NO COSTS – unless we put money in your pocket after receiving a settlement or FINRA arbitration award. Se habla español For dedicated representation by Attorney Pearce with over 40 years of experience and success in all kinds of securities, commodities and investment law disputes serving New York citizens, contact the firm by phone at 561-338-0037, toll free at 800-732-2889 or via e-mail.

Dec 9, 2020

New York FINRA 8210 Defense Lawyers

Did Forouzan Pooladi Cause You Investment Losses? You may have read that Forouzan Pooladi of Port Washington, New York was permanently barred by the Financial Industry Regulatory Authority (“FINRA”) from working in the securities industry because she failed to comply with FINRA Rule 8210. Forouzan Pooladi joined J.P. Morgan Securities LLC in May 2016 and was registered as an Investment Company Shares and Variable Contracts Representative. On October 4, 2019, the firm filed a Uniform Termination Notice for Securities Industry Registration (Form U5) indicating that Pooladi was terminated due to an alleged violation of bank policy and unauthorized transactions. According to the findings, FINRA began an investigation regarding the misconduct and requested information and documentation from Poolandi. FINRA stated that Pooladi initially cooperated then later acknowledged that she received FINRA’s request and allegedly refused to produce the requested documents. Although she is no longer associated with a FINRA member firm, Forouzan Pooladi remains subject to FINRA’s jurisdiction. FINRA Rule 8210(a) states, in relevant part, that FINRA has the right to “require a person associated with a member, or any other person subject to FINRA’s jurisdiction to provide information in writing or electronically with respect to any matter involved in the investigation, complaint, examination or proceeding.” FINRA Rule 8210(c) similarly provides that “[n]o member or person shall fail to provide information pursuant to this Rule.” Do you need a New York FINRA 8210 Defense Lawyer? Unfortunately, Forouzan Poolandi might have avoided that FINRA 8210 bar from the securities industry with a skilled and experienced FINRA 8210 defense attorney. It is important, early on, to have a FINRA defense attorney advise you on how not to make matters worse and resolve the dispute with the least amount of sanctions which could range from censures to fines, suspensions, permanent bars, and/or referrals to federal or state prosecutors. You will need an experienced FINRA defense lawyer who not only has knowledge of FINRA rules and procedures, the securities laws and the appropriate sanction for the alleged misconduct but also has an excellent reputation and credibility with the FINRA attorneys to negotiate the best outcome. Free Initial Consultation With FINRA 8210 Defense Attorney Serving Financial Advisors Throughout New York And Nationwide The Law Offices of Robert Wayne Pearce, P.A. understands what is at stake in FINRA securities law matters and works tirelessly to secure the best possible result for you and your case. Attorney Pearce’s FINRA defense skills are highly regarded throughout New York and across the nation. For dedicated representation by an attorney with over 40 years of experience and success in all kinds of FINRA disputes serving New York citizens, contact the firm by phone at 561-338-0037, toll free at 800-732-2889, or via e-mail.

Dec 9, 2020

New Jersey FINRA Securities Arbitration Attorney

Did Christopher A. Reid Cause You Investment Losses? Christopher A. Reid of Mount Laurel, New Jersey was fined $5,000 and suspended from association with any FINRA member firm for a period of four months for allegedly participating in private securities transaction in violation of FINRA Rules 3280 and 2010. Without admitting or denying the allegations, Reid consented to the sanctions. The suspension is in effect from August 17, 2020, through December 16, 2020. Reid is not currently registered or associated with a FINRA member firm and remains subject to FINRA’s jurisdiction. In 2011, Cristopher A. Reid joined Morgan Stanley and was registered as General Securities Representative (Series 7). Morgan Stanley later filed a Form U5 stating Reid voluntarily resigned while under review as to whether he participated in private transactions in a third-party’s account. The findings stated an individual had come to Mr. Reid seeking assistance to open a brokerage account and was later rejected by Morgan Stanley. The customer then opened an account with another firm and deposited a total of $100,000. According to FINRA, Reid allegedly agreed to assist, place, and advise certain trades through the other FINRA members website. In addition, Reid had allegedly failed to inform Morgan Stanley of his participation in the account which eventually lost approximately 90% of its value. FINRA Rule 3280 prohibits any person associated with a FINRA member from participating in any manner in a private securities transaction without first providing written notice to the member with which he is associated describing in detail the proposed transaction and the person’s proposed role therein. Violations of FINRA Rule 3280 are also violations of FINRA Rule 2010. Do you need a New Jersey FINRA Securities Arbitration Attorney? Are you a New Jersey investor who has suffered significant losses in your stock brokerage and investment accounts? Did your New Jersey stockbroker or investment advisor misrepresent facts, fail to disclose facts making the statements made false and misleading, recommend unsuitable investments or strategies, excessively trade or churn, mismanage your investment account or engage in other kinds of stockbroker misconduct? If so, you need representation by an experienced, highly-rated and nationally recognized FINRA securities arbitration attorney—a lawyer who knows FINRA rules and procedures inside and out and how to handle these FINRA arbitration cases as well as other complex legal issues. Free Initial Consultation With Experienced FINRA Securities Arbitration Attorneys Serving New Jersey Residents In FINRA Arbitration Proceedings At The Law Offices of Robert Wayne Pearce, P.A. we represent investors in all kinds of securities, commodities and investment law disputes in FINRA, AAA and JAMS arbitration and mediation proceedings. Attorney Pearce and his staff represent investors throughout New Jersey, and across the United States on a CONTINGENCY FEE basis which means you pay nothing – NO FEES-NO COSTS – unless we put money in your pocket after receiving a settlement or FINRA arbitration award. Se habla español For dedicated representation by Attorney Pearce with over 40 years of experience and success in all kinds of securities, commodities and investment law disputes serving New Jersey citizens, contact the firm by phone at 561-338-0037, toll free at 800-732-2889 or via e-mail.

Nov 12, 2020

Former NMS Capital Advisors Stockbroker Jeffrey Hall Heely Suspended for Engaging in Outside Business Activities

Jeffrey Hall Heely of Tiburon, California submitted a Letter of Acceptance, Waiver and Consent (AWC) to the Financial Industry Regulatory Authority (FINRA) in which he allegedly engaged in an undisclosed outside business activity in violation of FINRA Rules 3270 and 2010. From June 2018 until May 2019, Jeffrey Hall Heely was registered with NMS Capital Advisors as a General Securities Principal and a General Securities Representative. According to FINRA, between January and May 2019, Heely entered into a contract with another company and solicited fourteen potential investors to invest in a private placement offering of senior secured notes. The findings stated that Heely allegedly conducted the activities through a personal email address and received $17,000 as compensation. In addition, Heely allegedly denied having engaged in any outside business activities to his firm. Heely is not currently registered or associated with a member but remains subject to FINRA’s jurisdiction pursuant to Article V, Section 4 of FINRA’s By-Laws. FINRA Rule 3270 provides that “no registered person may be an employee, independent contractor, sole proprietor, officer, director or partner of another person, or be compensated, or have the reasonable expectation of compensation, from any other person as a result of any business activity outside the scope of the relationship with his or her member firm, unless he or she has provided prior written notice to the member, in such form as specified by the member.” A violation of FINRA Rule 3270 also constitutes a violation of FINRA Rule 2010. Without admitting or denying FINRA’s findings, Jeffrey Hall Heely was assessed a deferred fine of $5,000 and suspended from association with any FINRA member in all capacities for two months. The suspension was in effect from May 4, 2020, through July 3, 2020. Stockbrokers have been known to engage in many practices that may violate industry and firm rules, practices, and procedures. In order to protect investors from stockbroker misconduct, FINRA rules require brokerage firms to establish and implement a supervisory system. The implementation of these industry rules requires supervisors to monitor their employees to ensure compliance with federal and state securities laws, securities industry rules and regulations, and the brokerage firm’s own policies and procedures. If broker-dealers and/or their supervisors fail to establish and implement these protective measures, they may be liable to investors for damages which flow from the broker’s misconduct. Therefore, investors who have suffered losses stemming from outside business activities, and/or other misconduct by their broker can file claims to recover damages against broker-dealers, like NMS Capital Advisors, which should consistently oversee its brokers’ activities in order to prevent the above-described misconduct. Have you suffered losses in your NMS Capital Advisors account due to misconduct by your broker? Was Jeffrey Hall Heely your stockbroker? If so, call Robert Pearce at the Law Offices of Robert Wayne Pearce, P.A. for a free consultation. Mr. Pearce is accepting clients with valid claims against NMS Capital Advisors stockbrokers who may have engaged in broker misconduct and caused investors’ losses. The most important of investors’ rights is the right to be informed! This Investors’ Rights blog post is by the Law Offices of Robert Wayne Pearce, P.A., located in Boca Raton, Florida. For over 40 years, Attorney Pearce has tried, arbitrated, and mediated hundreds of disputes involving complex securities, commodities and investment law issues. The lawyers at our law firm are devoted to protecting investors’ rights throughout the United States and internationally! Please visit our website, www.secatty.com, post a comment, call (800) 732-2889, or email Mr. Pearce at pearce@rwpearce.com for answers to any of your questions about this blog post and/or any related matter.

Nov 12, 2020

FINRA Complaint filed against SW Financial Stockbroker William James W. Flower for Misconduct

James W. Flower of Melville, New York was named respondent of a FINRA complaint alleging that he allegedly churned/excessively traded customer’s accounts in violation Section 10(b) of the securities Exchange Securities Act of 1934, Rule 10b-5 and FINRA Rules 4511, 2111, 2020 and 2010. From January 1, 2016 and July 31, 2018, James W. Flower was registered with SW Financial as a General Securities Representative. According to the FINRA findings, Flower allegedly exercised de-facto control in five customer accounts without authorization or approval which resulted in excessive and quantitatively unsuitable trading. The FINRA findings stated that the trading made it near impossible for any customers to make a profit due to the cost-to-equity ratios, high annualized turnover rates, losses totaling over $220,000. In addition, FINRA’s complaint further alleges that Flower received more than $210,000 in commissions and fees and caused his firm’s books and records to be inaccurate by mismarking the transactions as unsolicited. James William Flower is currently registered with FINRA and is therefore subject to FINRA’s jurisdiction. Churning is a manipulative and deceptive device that violates Section 10(b) of the Exchange Act, Securities Exchange Act Rule 10b-5, and FINRA Rules 2020 and 2010. It is fraudulent conduct that occurs in a broker-customer relationship when (i) a broker controls his customer’s account; (ii) the trading in the account is excessive in light of the customer’s investment objectives; and (iii) the broker acts with scienter, i.e., with intent to defraud or with reckless disregard of the customer’s interests. Stockbrokers have been known to engage in many practices that may violate industry and firm rules, practices, and procedures. In order to protect investors from stockbroker misconduct, FINRA rules require brokerage firms to establish and implement a supervisory system. The implementation of these industry rules requires supervisors to monitor their employees to ensure compliance with federal and state securities laws, securities industry rules and regulations, and the brokerage firm’s own policies and procedures. If broker-dealers and/or their supervisors fail to establish and implement these protective measures, they may be liable to investors for damages which flow from the broker’s misconduct. Therefore, investors who have suffered losses stemming from churning/excessive trading and/or other misconduct by their broker can file claims to recover damages against broker-dealers, like SW Financial, which should consistently oversee its brokers’ activities in order to prevent the above-described misconduct. Have you suffered losses in your SW Financial account due to churning/excessive trading by your broker? If so, call Robert Pearce at the Law Offices of Robert Wayne Pearce, P.A. for a free consultation. Mr. Pearce is accepting clients with valid claims against SW Financial stockbrokers who may have engaged in broker misconduct and caused investors’ losses. The most important of investors’ rights is the right to be informed! This Investors’ Rights blog post is by the Law Offices of Robert Wayne Pearce, P.A., located in Boca Raton, Florida. For over 40 years, Attorney Pearce has tried, arbitrated, and mediated hundreds of disputes involving complex securities, commodities and investment law issues. The lawyers at our law firm are devoted to protecting investors’ rights throughout the United States and internationally! Please visit our website, www.secatty.com, post a comment, call (800) 732-2889, or email Mr. Pearce at pearce@rwpearce.com for answers to any of your questions about this blog post and/or any related matter.

Nov 12, 2020

Former NEXT Stockbroker Charles Lawrence Doraine Barred for Misconduct

Charles Lawrence Doraine of Corpus Christi, Texas submitted a Letter of Acceptance, Waiver and Consent (AWC) to the Financial Industry Regulatory Authority (FINRA) in which he was barred for allegedly refusing to provide information and appear for on-the-record testimony in violation of FINRA Rules 8210 and 2010. In March 2007, Charles Lawrence Doraine joined NEXT Financial Group, Inc. as a General Securities Representative. FINRA stated that in September 2019, NEXT filed a Form U5 disclosing Doraine’s voluntary termination. According to the findings, FINRA began an investigation shortly after regarding Doraine’s suspected unsuitable recommendations in several customer’s accounts. The findings stated that the recommendations had resulted in short-term trading in mutual fund shares, municipal bonds, and overconcentration in Puerto Rico municipal bonds. In connection with the investigation, FINRA sent out a request to Doraine to provide and appear for on-the-record testimony in which he allegedly acknowledged but ultimately refused. Charles Lawrence Doraine is no longer associated with any FINRA member firm but remains under FINRA’s jurisdiction. FINRA Rule 8210 states, in relevant part, that FINRA has the right to require a “person subject to FINRA’s jurisdiction to provide information orally, in writing, or electronically . . . with respect to any matter involved in the investigation, complaint, examination or proceeding.” FINRA Rule 8210 also specifies that “no person shall fail to provide information . . . pursuant to this Rule.” A failure to provide information and/or documents requested by FINRA pursuant to Rule 8210 violates Rule 8210. Conduct that violates FINRA Rule 8210 also violates FINRA Rule 2010, which requires associated persons to “observe high standards of commercial honor and just and equitable principles of trade.” Without admitting or denying FINRA findings, Charles Lawrence Doraine was barred from association with any FINRA member in all capacities. Stockbrokers have been known to engage in many practices that may violate industry and firm rules, practices, and procedures. In order to protect investors from stockbroker misconduct, FINRA rules require brokerage firms to establish and implement a supervisory system. The implementation of these industry rules requires supervisors to monitor their employees to ensure compliance with federal and state securities laws, securities industry rules and regulations, and the brokerage firm’s own policies and procedures. If broker-dealers and/or their supervisors fail to establish and implement these protective measures, they may be liable to investors for damages which flow from the broker’s misconduct. Therefore, investors who have suffered losses stemming from misconduct by their broker can file claims to recover damages against broker-dealers, like NEXT, which should consistently oversee its brokers’ activities in order to prevent the above-described misconduct. Have you suffered losses in your NEXT account due to misconduct by your broker? Was Charles Lawrence Doraine your stockbroker? If so, call Robert Pearce at the Law Offices of Robert Wayne Pearce, P.A. for a free consultation. Mr. Pearce is accepting clients with valid claims against NEXT stockbrokers who may have engaged in broker misconduct and caused investors’ losses. The most important of investors’ rights is the right to be informed! This Investors’ Rights blog post is by the Law Offices of Robert Wayne Pearce, P.A., located in Boca Raton, Florida. For over 40 years, Attorney Pearce has tried, arbitrated, and mediated hundreds of disputes involving complex securities, commodities and investment law issues. The lawyers at our law firm are devoted to protecting investors’ rights throughout the United States and internationally! Please visit our website, www.secatty.com, post a comment, call (800) 732-2889, or email Mr. Pearce at pearce@rwpearce.com for answers to any of your questions about this blog post and/or any related matter.

Nov 12, 2020

Former Janney Montgomery Scott LLC Stockbroker Charles James Euler Jr. Barred for Misconduct

Charles James Euler Jr. of Villanova, Pennsylvania submitted a Letter of Acceptance, Waiver and Consent (AWC) to the Financial Industry Regulatory Authority (FINRA) in which he was barred for allegedly refusing to appear for on-the-record testimony in violation of FINRA Rules 8210 and 2010. In December of 1984, Charles James Euler Jr. joined Janney Montgomery Scott LLC as a General Securities Representative, General Securities Principal, and a Financial and Operations Principal. According to FINRA findings, a form U5 was filed reporting Charles James Euler Jr. voluntarily resigned from the firm in April of 2018. The FINRA findings stated that a request was sent to Euler on March 12, 2020 for an on-the-record testimony regarding an investigation reporting Euler allegedly made unsuitable recommendations. In addition to these findings, an email was sent to FINRA staff the following day which allegedly stated that Euler refused to appear for the on-the-record testimony at any time. Although Charles James Euler Jr. is no longer registered with any FINRA member firm, he remains under FINRA’s jurisdiction. FINRA Rule 8210(a)(1) states that FINRA may require persons subject to its jurisdiction “to testify at a location specification by FINRA staff, under oath with respect to any matter involved in [an] investigation” authorized by the FINRA By-Laws or rules. FINRA Rules 8210(c) states that “[n]o person shall fail to provide testimony pursuant to this Rule.” A violation of FINRA Rule 8210 is also a violation of FINRA Rule 2010. Without admitting or denying FINRA’s findings, Charles James Euler Jr. was barred from association with any FINRA member in all capacities. Stockbrokers have been known to engage in many practices that may violate industry and firm rules, practices, and procedures. In order to protect investors from stockbroker misconduct, FINRA rules require brokerage firms to establish and implement a supervisory system. The implementation of these industry rules requires supervisors to monitor their employees to ensure compliance with federal and state securities laws, securities industry rules and regulations, and the brokerage firm’s own policies and procedures. If broker-dealers and/or their supervisors fail to establish and implement these protective measures, they may be liable to investors for damages which flow from the broker’s misconduct. Therefore, investors who have suffered losses stemming from misconduct by their broker can file claims to recover damages against broker-dealers, like Janney Montgomery Scott LLC, which should consistently oversee its brokers’ activities in order to prevent the above-described misconduct. Have you suffered losses in your Janney Montgomery Scott LLC account due to misconduct by your broker? Was Charles James Euler Jr. your stockbroker? If so, call Robert Pearce at the Law Offices of Robert Wayne Pearce, P.A. for a free consultation. Mr. Pearce is accepting clients with valid claims against Janney Montgomery Scott LLC stockbrokers who may have engaged in broker misconduct and caused investors’ losses. The most important of investors’ rights is the right to be informed! This Investors’ Rights blog post is by the Law Offices of Robert Wayne Pearce, P.A., located in Boca Raton, Florida. For over 40 years, Attorney Pearce has tried, arbitrated, and mediated hundreds of disputes involving complex securities, commodities and investment law issues. The lawyers at our law firm are devoted to protecting investors’ rights throughout the United States and internationally! Please visit our website, www.secatty.com, post a comment, call (800) 732-2889, or email Mr. Pearce at pearce@rwpearce.com for answers to any of your questions about this blog post and/or any related matter.

Nov 12, 2020

PFS Investments Inc. Stockbroker Albert Harkless III Barred for Misconduct

Albert Harkless III of Oxon Hill, Maryland submitted a Letter of Acceptance, Waiver and Consent (AWC) to the Financial Industry Regulatory Authority (FINRA) in which he was barred for conversion and misrepresentations in violation of FINRA Rules 2150 and 2010. In July of 1996, Albert Harkless III joined PFS Investments Inc. in which he was licensed as an Investment Company and both a Variable Contracts Products Representative and Principal. According to FINRA findings, a Form U5 was filed in October 2018 communicating the termination of Harkless for participating in the alleged unauthorized transactions and making misrepresentations. The FINRA findings state that Albert Harkless III allegedly solicited a customer to invest $6,100 to secure 406 shares in the firm’s parent company. Without the customer’s agreement or consent, he only purchased 150 shares for Company 1 for $2,980 and transferred the balance of the customer’s funds of $3,120 to his personal account. In addition, Harkless allegedly stated company shares were only obtainable for purchase by employees and there is a five-year sale limitation on purchases of Company 1 shares which is inaccurate. FINRA Rule 2150 provides that no person associated with a member firm shall make improper use of a customer’s securities or funds. Conversion is the intentional and unauthorized taking of and/or exercise of ownership over property by one who neither owns the property nor is entitled to possess it. FINRA Rule 2010 requires FINRA members and associated persons to observe high standards of commercial honor and just and equitable principles of trade. Without admitting or denying FINRA’s findings, Albert Harkless III was barred from association with any FINRA member firm. Stockbrokers have been known to engage in many practices that may violate industry and firm rules, practices, and procedures. In order to protect investors from stockbroker misconduct, FINRA rules require brokerage firms to establish and implement a supervisory system. The implementation of these industry rules requires supervisors to monitor their employees to ensure compliance with federal and state securities laws, securities industry rules and regulations, and the brokerage firm’s own policies and procedures. If broker-dealers and/or their supervisors fail to establish and implement these protective measures, they may be liable to investors for damages which flow from the broker’s misconduct. Therefore, investors who have suffered losses stemming from unauthorized transactions and/or other misrepresentation by their broker can file claims to recover damages against broker-dealers, like PFS Investments Inc., which should consistently oversee its brokers’ activities in order to prevent the above-described misconduct. Have you suffered losses in your PFS Investments Inc. account due to unauthorized transactions and/or misrepresentations by your broker? Was Albert Harkless III your stockbroker? If so, call Robert Pearce at the Law Offices of Robert Wayne Pearce, P.A. for a free consultation. Mr. Pearce is accepting clients with valid claims against PFS Investments Inc. stockbrokers who may have engaged in broker misconduct and caused investors’ losses. The most important of investors’ rights is the right to be informed! This Investors’ Rights blog post is by the Law Offices of Robert Wayne Pearce, P.A., located in Boca Raton, Florida. For over 40 years, Attorney Pearce has tried, arbitrated, and mediated hundreds of disputes involving complex securities, commodities and investment law issues. The lawyers at our law firm are devoted to protecting investors’ rights throughout the United States and internationally! Please visit our website, www.secatty.com, post a comment, call (800) 732-2889, or email Mr. Pearce at pearce@rwpearce.com for answers to any of your questions about this blog post and/or any related matter.

Nov 11, 2020

LPL Financial LLC Stockbroker William Andrew Wimberly Suspended for Misconduct

William Andrew Wimberly of Madison, Mississippi submitted a Letter of Acceptance, Waiver and Consent (AWC) to the Financial Industry Regulatory Authority (FINRA) in which he was fined and suspended for allegedly engaging in outside business activity and private transactions all in violation of NASD Rule 3040 and FINRA Rules 3280 and 2010. In November 2008, William Andrew Wimberly joined LPL Financial LLC as a General Securities Representative and a General Securities Principal. According to the FINRA findings, from November 2012 until August 2018, Wimberly allegedly engaged in an outside business activity and participated in private securities transactions without approval from his firm. The FINRA findings stated that during the relevant period, Wimberly created a limited liability company and served as the officer, director, and manager. The findings also stated that Wimberly contributed a total of $70,000 and purchased multiple shares of the company. In addition, FINRA found that Wimberly allegedly signed and submitted LPL Financial LLC annual compliance questionnaires where he failed to disclose his participation in the company and transactions. FINRA Rule 3270 states, in relevant part, that “no registered person may be an employee, independent contractor, sole proprietor, officer, director or partner of another person, or be compensated, or have the reasonable expectation of compensation, from any other person as a result of any business activity outside the scope of the relationship with his or her member firm, unless he or she has provided prior written notice to the member, in such form as specified by the member.” A violation of FINRA Rule 3270 is also a violation of FINRA Rule 2010, which requires FINRA members and associated persons to “observe high standards of commercial honor and just and equitable principles of trade.” NASD Rule 3040, requires that prior to participating in a private securities transaction, a person associated with a member firm shall provide written notice to his or her firm “describing in detail the proposed transaction and the person’s proposed role therein[.]” Without admitting or denying FINRA’s findings, William Andrew Wimberly was assessed a deferred fine of $5,000 and suspended from association with any FINRA member in all capacities for three months. The suspension was in effect from April 20, 2020, through July 19, 2020. Stockbrokers have been known to engage in many practices that may violate industry and firm rules, practices, and procedures. In order to protect investors from stockbroker misconduct, FINRA rules require brokerage firms to establish and implement a supervisory system. The implementation of these industry rules requires supervisors to monitor their employees to ensure compliance with federal and state securities laws, securities industry rules and regulations, and the brokerage firm’s own policies and procedures. If broker-dealers and/or their supervisors fail to establish and implement these protective measures, they may be liable to investors for damages which flow from the broker’s misconduct. Therefore, investors who have suffered losses stemming from unauthorized outside business activity, private transaction, and/or other misconduct by their broker can file claims to recover damages against broker-dealers, like LPL Financial LLC, which should consistently oversee its brokers’ activities in order to prevent the above-described misconduct. Have you suffered losses in your LPL Financial LLC account due to unauthorized outside business activity or private transaction by your broker? Was William Andrew Wimberly your stockbroker? If so, call Robert Pearce at the Law Offices of Robert Wayne Pearce, P.A. for a free consultation. Mr. Pearce is accepting clients with valid claims against LPL Financial LLC stockbrokers who may have engaged in broker misconduct and caused investors’ losses. The most important of investors’ rights is the right to be informed! This Investors’ Rights blog post is by the Law Offices of Robert Wayne Pearce, P.A., located in Boca Raton, Florida. For over 40 years, Attorney Pearce has tried, arbitrated, and mediated hundreds of disputes involving complex securities, commodities and investment law issues. The lawyers at our law firm are devoted to protecting investors’ rights throughout the United States and internationally! Please visit our website, www.secatty.com, post a comment, call (800) 732-2889, or email Mr. Pearce at pearce@rwpearce.com for answers to any of your questions about this blog post and/or any related matter.

Nov 11, 2020

Former NYLife Securities IR Piero B. DiLorenzo Barred for Misconduct

Piero B. DiLorenzo of Glen Cove, New York submitted a Letter of Acceptance, Waiver and Consent (AWC) to the Financial Industry Regulatory Authority (FINRA) in which he was barred for failing to appear for on-the-record testimony in violation of FINRA Rules 8210 and 2010. From February 2014 to July 2019, Piero B. DiLorenzo was registered with NYLife Securities as an Investment Company and Variable Contracts Products Representative (IR). According to the FINRA findings, NYLife Securities filed a Form U5 disclosing DiLorenzo’s termination due to alleged unauthorized trading. In March 2020, FINRA sent a request to DiLorenzo to appear for on-the-record testimony regarding whether he submitted eight electronic variable annuity applications and other documents without customer authorization. The FINRA findings stated that DiLorenzo acknowledged that he received the Rule 8210 request but ultimately refused to appear for on-the-record testimony. Piero B. DiLorenzo is no longer associated with any FINRA member firm but remains under FINRA’s jurisdiction. FINRA Rule 8210(a)(1) states in relevant part that FINRA has the right to “require a person associated with a member, or any person subject to FINRA’s jurisdiction to provide information orally, in writing or electronically” FINRA Rule 8210(c) similarly provides that “[n]o member or person shall fail to provide information pursuant to this Rule.” A failure to comply with a request for information pursuant to FINRA Rule 8210, is a violation of FINRA Rule 2010, which requires associated persons to “observe high standards of commercial honor and just and equitable principles of trade.” Without admitting or denying FINRA’s findings, Piero B. DiLorenzo has been barred from association with any FINRA member in all capacities. Stockbrokers have been known to engage in many practices that may violate industry and firm rules, practices, and procedures. In order to protect investors from stockbroker misconduct, FINRA rules require brokerage firms to establish and implement a supervisory system. The implementation of these industry rules requires supervisors to monitor their employees to ensure compliance with federal and state securities laws, securities industry rules and regulations, and the brokerage firm’s own policies and procedures. If broker-dealers and/or their supervisors fail to establish and implement these protective measures, they may be liable to investors for damages which flow from the broker’s misconduct. Therefore, investors who have suffered losses stemming from misconduct by their broker can file claims to recover damages against broker-dealers, like NYLife Securities, which should consistently oversee its brokers’ activities in order to prevent the above-described misconduct. Have you suffered losses in your NYLife Securities account due to misconduct by your broker? Was Piero B. DiLorenzo your stockbroker? If so, call Robert Pearce at the Law Offices of Robert Wayne Pearce, P.A. for a free consultation. Mr. Pearce is accepting clients with valid claims against NYLife Securities stockbrokers who may have engaged in broker misconduct and caused investors’ losses. The most important of investors’ rights is the right to be informed! This Investors’ Rights blog post is by the Law Offices of Robert Wayne Pearce, P.A., located in Boca Raton, Florida. For over 40 years, Attorney Pearce has tried, arbitrated, and mediated hundreds of disputes involving complex securities, commodities and investment law issues. The lawyers at our law firm are devoted to protecting investors’ rights throughout the United States and internationally! Please visit our website, www.secatty.com, post a comment, call (800) 732-2889, or email Mr. Pearce at pearce@rwpearce.com for answers to any of your questions about this blog post and/or any related matter.