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Broker Complaints: Capital Financial Services (CRD# 8408)

According to the Financial Industry Regulatory Authority (FINRA), North Dakota-based brokerage/advisory firm Capital Financial Services (CRD# 8408) is the subject of numerous customer complaints and regulatory sanctions. The securities and investment fraud law firm Fitapelli Kurta is interested in hearing from investors who have complaints regarding Capital Financial Services.

Formed in Wisconsin in 1980, Capital Financial Services is headquartered in Minot, North Dakota, and is registered in 51 US states and territories. John Richard Carlson serves as President; John Richard Carlson serves as Chief Compliance Officer; Bart James Bohrer serves as Vice President. Capital Financial Services offers securities through RBC Capital Markets.

According to its BrokerCheck report, Capital Financial Services is the subject of two regulatory sanctions and three customer complaints that evolved into arbitration.

In 2014 a customer alleged Capital Financial Services misrepresented and sold an unsuitable investment, breached its fiduciary duty, omitted material facts related to an investment, failed to supervise its representatives, and engaged in negligence. The complaint resulted in an award to the customer of $50,000.

In 2014 a customer alleged Capital Financial Services breached its fiduciary duty, made unauthorized trades, failed to supervise its representatives, and acted negligently. The complaint resulted in an award to the customer of more than $31,000.

In 2011 FINRA sanctioned Capital Financial Services following allegations the firm sold unsuitable investments in private placements, failed to perform due diligence on the investments, and failed to maintain a supervisory system designed to ensure compliance with relevant securities regulation. Capital Financial Services was censured and ordered to pay $200,000 in restitution.

In 2011 the US Securities and Exchange Commission (SEC) sanctioned Capital Financial Services following allegations the firm operated a Ponzi Scheme. Capital Financial Services was ordered to cease and desist the alleged fraudulent activities.

If you have complaints regarding Capital Financial Services or RBC Capital Markets, you may be qualified to recover your losses. Call the securities and investment fraud law firm Fitapelli Kurta at 877-238-4175 for a free consultation. Since all cases are taken on contingency, we only get paid if and when you recover money.  Time to file your claim may be limited, so we encourage you to avoid delay. Call 877-238-4175 now to speak to an attorney for free.