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Broker Complaints: Source Capital Group (CRD# 36719)

Source Capital Group has a history of customer and regulatory complaints. Source Capital Group is a licensed broker-dealer registered with FINRA, or the Financial Industry Regulatory Authority. Source Capital Group has been a FINRA member since 1994.

Customer complaints against Source Capital Group are governed by FINRA. As a FINRA member firm, Source Capital Group is required to arbitrate any customer related disputes before FINRA. We exclusively handle FINRA complaints on behalf of investors. We are investigating customer complaints against Source Capital Group and are interested in speaking to investors who may have lost money through Investor Capital or its stock broker’s misconduct.

Source Capital Group has a history of regulatory complaints, with seven disclosed regulatory actions according to FINRA. These complaints involve the fraudulent sale of securities.

In 2008, Source Capital Group was fined by the state of Connecticut for failing to comply with a 2006 consent order, which required the firm to make quarterly reports regarding a registered employee. According to the Connecticut complaint, the reports were required as a condition of allowing a broker with a long history of regulatory and customer complaints to continue to work for Source Capital Group.

In July 2014, Source Capital Group was fined $100,000 by FINRA for the fraudulent marketing of interests in Blue Ridge Securities and Argyle Securities. According to the FINRA complaint against Source Capital Group, between October 2006 and December 2012, brokers from the firm made exaggerated and unfound promises to investors regarding the performance of these two speculative private placements. According to emails released by FINRA, brokers from Source Capital Group who were tasked with pushing the securities called the speculative investments “slam dunks” promising as much as an 800 percent return.

In addition to the exaggerated claims, the FINRA complaint against Source Capital Group alleges that the brokers involved in pushing Blue Ridge Securities were advanced money by Blue Ridge to push to stock. These payments were never disclosed to Source Capital Group’s customers in violation of FINRA and Securities and Exchange Commission rules.

In addition to regulatory complaints, brokers associated with Source Capital Group have a history of customer complaints. For example, broker Thomas Gilleland, who is based in the Bowling Green, KY branch has six disclosed judgments, a criminal disclosure and one regulatory disclosure on his securities license. Broker Kent Casey, based in the Scottsdale, AZ branch, has three prior disclosed customer complaints and was previously employed by a firm that was expelled from membership by FINRA.

Our investment fraud law firm works exclusively for investors who have lost money at firms such as Source Capital Group. We prosecute our cases on a contingency basis and we will not get paid unless our clients can recover money on their behalf. If you or someone you know suffered losses with Source Capital Group please contact the securities fraud law firm of Fitapelli Kurta today. Our attorneys will evaluate your complaint against Source Capital Group for free to let you know if you have a viable claim against the firm. Do not delay.