Articles Posted in Regulatory Sanction

Jeb BashawPublic records provided by the Financial Industry Regulatory Authority (FINRA) and accessed on May 13, 2019 indicate that Texas-based International Assets Advisory broker/adviser Jeb Bashaw was recently sanctioned by FINRA in connection to alleged rule violations. Fitapelli Kurta is interested in hearing from investors who have complaints regarding Mr. Bashaw (CRD# 1251491).

Jeb Bashaw has spent 33 years in the securities industry and has been registered with International Assets Advisory in Houston, Texas since 2014. Previous registrations include Wunderlich Securities in Houston, Texas (2014); LPL Financial in Houston, Texas (2001-2014); UBS Painewebber in Weehawken, New Jersey (2000-2001); JC Bradford & Company in New York, New York (1998-2000); SunTrust Equitable Securities in Atlanta, Georgia (1994-1998); Augusta Securities Corporation in Houston, Texas (1991-1994); First America Equities Corporation (1990-1991); Thomas F. White & Company in San Francisco, California (1991); Kidder Peabody & Company (1986-1988); and Merrill Lynch (1984-1986). He has passed seven securities industry examinations: Series 65 (Uniform Investment Adviser Law Examination), which he obtained on May 12, 1997; Series 63 (Uniform Securities Agent State Law Examination), which he obtained on June 26, 1984; SIE (Securities Industry Essentials Examination), which he obtained on October 1, 2018; Series 3 (National Commodity Futures Examination), which he obtained on February 7, 2001; Series 7 (General Securities Representative Examination), which he obtained on June 16, 1984; Series 53 (Municipal Securities Principal Examination), which he obtained on March 13, 2006; and Series 8 (General Securities Sales Supervisor Examination [Options Module & General Module]), which he obtained on May 30, 1997. He is a registered broker and investment adviser with four US states: Georgia, Maryland, Pennsylvania, and Texas.

According to his BrokerCheck report, he has received three customer complaints and one regulatory sanction.

Laidlaw & Company

Publicly available records published by the Financial Industry Regulatory Authority (FINRA) and accessed on May 8, 2019 indicate that UK-based brokerage firm Laidlaw & Company, also known as Sands Brothers International, has received customer complaints and regulatory sanctions. Fitapelli Kurta is interested in speaking to investors who have complaints regarding Laidlaw & Company (CRD# 119037).

Founded in 1999, Laidlaw & Company received SEC approval in 2002, is headquartered in London, England, and is registered with 53 US states and territories. According to its BrokerCheck report, it has received five regulatory sanctions and two customer complaints that evolved into arbitration.

In 2018, FINRA sanctioned the firm in connection to allegations it failed in its supervisory duties concerning the recommendation of non-traditional exchange-traded funds. FINRA’s findings state specifically that the firm’s supervisory procedures lacked a system that was reasonably designed to ensure personnel reviewed non-traditional ETF transactions or review open positions in non-traditional ETFs so as to determine whether they had been held for long periods of time or resulted in unrealized losses. FINRA’s findings stated that firm representatives solicited 869 non-traditional ETF purchases and 946 non-traditional ETF sales across 312 customer accounts. According to FINRA’s findings, firm written supervisory procedures failed to require firm supervisors to “review open positions in non-traditional ETFs held for extended periods or resulting in unrealized losses,” and additionally failed to impose “product-specific limitations” on the firm’s representatives’ ability to recommend that customers trade in or hold positions in non-traditional ETF products. It was censured and issued a $25,000 fine.

Ricky FlattPublicly available records published by the Financial Industry Regulatory Authority (FINRA) and accessed on April 29, 2019 indicate that former Michigan-based Royal Fund Management adviser Ricky Flatt, who has been named in an investigation by state regulatory authorities, recently resigned from his former employer and is currently not affiliated with any broker-dealer or advisory firm. Fitapelli Kurta is interested in speaking to investors who have complaints regarding Mr. Wallace (CRD# 2473357).

Ricky Flatt has spent more than 18 years in the securities industry and was most recently registered as an investment adviser with Royal Fund Management in Troy, Michigan (2014-2019). Previous registrations include Invest Financial Corporation in Troy, Michigan (2009-2012); Royal Alliance Associates in Troy, Michigan (1997-2009); and Mariner Financial Services in Largo, Florida (1994-1997). He has passed three securities industry examinations: Series 65 (Uniform Investment Adviser Law Examination), which he obtained on July 24, 2013; Series 63 (Uniform Securities Agent State Law Examination), which he obtained on November 17, 1994; and Series 6 (Investment Company Products/Variable Contracts Representative Examination), which he obtained on July 5, 1994. He is currently not registered with any state or firm.

According to his BrokerCheck report, he has received one regulatory sanction, was recently named in a regulatory investigation, and resigned from his former employer in connection to alleged rule violations.

Thomas Parker

Public records published by the Financial Industry Regulatory Authority (FINRA) and accessed on April 30, 2019 indicate that Tennessee-based Thoroughbred Financial Services broker/adviser Thomas Parker has received numerous customer disputes and regulatory sanctions. Fitapelli Kurta is interested in speaking to investors who have complaints regarding Mr. Parker (CRD# 356789).

Thomas Parker has spent 45 years in the securities industry and has been registered with Thoroughbred Financial Services in Brentwood, Tennessee since 2000. Previous registrations include Advanced Financial Planning Securities Corporation in Brentwood, Tennessee (1986-2000); Capital Analysts (1974-1986); and Advance Planning Corporation (1973-1974). He has passed four securities industry examinations: Series 63 (Uniform Securities Agent State Law Examination), which he obtained on March 22, 1982; SIE (Securities Industry Essentials Examination), which he obtained on October 1, 2018; Series 1 (Registered Representative Examination), which he obtained on November 13, 1973; and Series 24 (General Securities Principal Examination), which he obtained on January 31, 1986. He is a registered broker and investment adviser with 26 US states and territories.

According to his BrokerCheck report, he has received nine customer complaints, two regulatory sanctions, and one pending investigation by state authorities.

Jason Nye Publicly available records provided by the Financial Industry Regulatory Authority (FINRA) and accessed on March 21, 2019 indicate that former Ohio-based ON Equity Sales Company broker Jason Nye has been sanctioned by FINRA in connection to alleged rule violations and suspended from acting as a broker. Fitapelli Kurta is interested in hearing from investors who have complaints regarding Mr. Nye (CRD# 2394082).

Jason Nye has spent 20 years in the securities industry and was most recently registered with The ON Equity Sales Company in Centerville, Ohio (2003-2018). Previous registrations include UBS Painewebber in Weehawken, New Jersey (1999-2002); American Express Financial Advisors in Minneapolis, Minnesota (1997-1999); and IDS Life Insurance in Minneapolis, Minnesota (1997-1999). He is currently not registered as a broker with any state or firm.

According to his BrokerCheck report, he has received one customer complaint, two regulatory sanctions, and one pending customer complaint.

BrokerBank Securities Public records provided by the Financial Industry Regulatory Authority (FINRA) and accessed on October 4, 2018 indicate that Minnesota-based broker-dealer firm BrokerBank Securities was recently sanctioned by FINRA in connection to alleged rule violations. Fitapelli Kurta is interested in hearing from investors who have complaints BrokerBank Securities (CRD# 10641).

Established in Minnesota in 2003, BrokerBank Securities is headquartered in Minnetonka, Minnesota and registered with nine US states and territories: Arizona, California, Florida, Georgia, Michigan, Minnesota, Ohio, Texas, and Utah. According to the firm’s BrokerCheck report, it has been involved in three regulatory events.

In September 2108 FINRA sanctioned BrokerBank Securities in connection to allegations it failed to perform and record reasonable due diligence of a private placement security sold by a firm representative and additional allegations that its supervisory system was not reasonably designed to ensure compliance with due diligence obligations. According to FINRA’s findings, the firm’s written supervisory procedures required it to meet certain due diligence standards that assessed an issuer’s offering prior to the firm’s agreement to participated in that offering. The findings go on to state that the firm “served as a placement agent for a Regulation D private placement offering of securities issued by a corporation,” and the corporation raised a little more than $2.5 million in that offering, “of which $2,220,000 was raised by the firm’s sales to 24 accredited investors.” However, the firm allegedly “failed to conduct a reasonable due diligence investigation of the corporation, and also failed to document the findings of its due diligence investigation.” It also allegedly failed to obtain and document certain customer information which it was required to obtain. In connection with these and other findings, the firm was censured and issued a fine of $5,000.

Stifel Nicolaus & Company

Publicly available records provided by the Financial Industry Regulatory Authority (FINRA) and accessed on October 4, 2018 indicate that Missouri-based broker-dealer firm Stifel Nicolaus & Company was recently sanctioned by FINRA in connection to alleged rule violations. Fitapelli Kurta is interested in hearing from investors who have complaints Stifel Nicolaus & Company (CRD# 793).

Established in Missouri in 1900, Stifel Niclaus & Company is headquartered in St. Louis, Missouri and registered with 53 US states and territories. According to its BrokerCheck report, it has been involved in 128 regulatory events and 48 customer complaints that evolved into arbitration.

In September 2018 FINRA sanctioned the firm in connection to allegations it “accepted and held customer orders in over-the-counter (OTC) securities… for its own account and prices that would have satisfied the customer orders, and failed to execute or immediately execute the customer orders up to the size and at the same price at which it traded for its own account or at a better price.” FINRA’s findings state additionally that as many as 45,024 of the firm’s order audit trail system (OATS) reports were inaccurate, in that they contained an “inaccurate information barrier identifier.” FINRA alleged further that the firm’s supervisory system failed to provide for supervision that was not reasonably designed to achieve compliance with relevant securities laws and regulations. The firm was censured, issued a fine of $37,500, and ordered to pay restitution to affected customers.

John Cione

Publicly available records published by the Financial Industry Regulatory Authority (FINRA) and accessed on September 25, 2018 indicate that California-based Independent Financial Group broker/adviser John Cione has received a pending customer dispute. Fitapelli Kurta is interested in speaking to investors who have complaints regarding Mr. Cione (CRD# 1742561).

John Cione has spent 31 years in the securities industry and has been registered with Independent Financial Group in San Diego, California since 2003. Previous registrations include Sentra Securities Corporation in Phoenix, Arizona (1994-2003); Spelman & Company in Phoenix, Arizona (1995-1997); Foresters Equity Services in San Diego, California (1990-1995); LAM Wagner in La Jolla, California (1993-1994); Aimco Securities Company (1987-1992); and Yaeger Securities (1987-1992). He has passed four securities industry examinations: Series 65 (Uniform Investment Adviser Law Examination), which he obtained on April 22, 2002; Series 63 (Uniform Securities Agent State Law Examination), which he obtained on December 18, 1987; Series 7 (General Securities Representative Examination), which he obtained on September 19, 1987; Series 24 (General Securities Principal Examination), which he obtained on April 27, 1998; and Series 27 (Financial and Operations Principal Examination), which he obtained on August 5, 1988. He is a registered broker and investment adviser with ten US states: Arizona, California, Connecticut, Massachusetts, Montana, New Jersey, New York, North Carolina, Texas, and Washington.

According to his BrokerCheck report, he has received one pending customer complaint and one regulatory sanction.

Joseph EschlemanPublic records published by the Financial Industry Regulatory Authority (FINRA) and accessed on September 13, 2018 indicate that California-based Purshe Kaplan Sterling broker/adviser Joseph Eschleman has been sanctioned by FINRA in connection to alleged rule violations and issued a suspension from acting as a broker. Fitapelli Kurta is interested in hearing from investors who have complaints regarding Mr. Eschleman (CRD# 3237843).

Joseph Eschleman has spent 18 years in the securities industry and has been registered with Purshe Kaplan Sterling Investments in Sacramento, California since August 2017. Previous registrations include Wells Fargo Clearing Services in Sacramento, California (2003-2017) and Prudential Securities in New York, New York (1999-2003). He is a registered broker and investment adviser with two US states: California and Pennsylvania.

According to his BrokerCheck report, he was recently sanctioned by FINRA and has received one customer complaint.

Jason BeemPublicly available records published by the Financial Industry Regulatory Authority (FINRA) and accessed on September 13, 2018 indicate that former Kentucky-based Morgan Stanley broker/adviser Jason Beem was recently sanctioned by FINRA in connection to alleged rule violations and suspended from acting as a broker. Fitapelli Kurta is interested in hearing from investors who have complaints regarding Mr. Beem (CRD# 3083143).

Jason Beem has spent nineteen years in the securities industry and was most recently registered with Morgan Stanley in Louisville, Kentucky (2011-2018). He was previously registered with UBS Financial Services in Louisville, Kentucky (1998-2011). He has passed four securities industry examinations: Series 65 (Uniform Investment Adviser Law Examination), which he obtained on September 15, 1998; Series 63 (Uniform Securities Agent State Law Examination), which he obtained on September 1, 1998; Series 31 (Futures Managed Funds Examination), which he obtained on March 31, 2006; and Series 7 (General Securities Representative Examination), which he obtained on August 25, 1998. He is currently not registered with any state or firm.

According to his BrokerCheck report, he has received one regulatory sanction and one denied customer complaint.