Articles Posted in Reg BI

According to records kept by The Financial Industry Regulatory Authority (FINRA) financial Broker Kevin Springstead (Springstead), previously associated with Craft Capital Management LLC, has at least one disclosable event. These events include one regulatory event, alleging that Springstead recommended unsuitable investments in different investment products including debt securities among other allegations and complaints.

FINRA BrokerCheck shows a final customer complaint on September 12, 2023.

Respondent Springstead failed to comply with an arbitration award or settlement agreement or to satisfactorily respond to a FINRA request to provide information concerning the status of compliance.

According to records kept by The Financial Industry Regulatory Authority (FINRA) financial Broker Ryan Droeg (Droeg), previously associated with the Strategic Financial Alliance, INC., has at least one disclosable event. These events include one customer complaint, alleging that Droeg recommended unsuitable investments in different investment products including debt securities among other allegations and complaints.

FINRA BrokerCheck shows a pending customer complaint on August 31, 2023.

Plaintiff alleges that Ryan Droeg was aware of his father’s misconduct regarding fictitious statements and converting trust funds for his personal use. Plaintiff further alleges that Ryan Droeg subsequently benefited from that misconduct. \, Alleged misconduct began in 2009 and was reported to the prior firm in September 2021.\, The former firm found no evidence that Ryan was involved.

According to records kept by The Financial Industry Regulatory Authority (FINRA) financial Broker Mark Bordelove (Bordelove), currently associated with LPL Financial LLC, has at least one disclosable event. These events include one customer complaint, alleging that Bordelove recommended unsuitable investments in different investment products including debt securities among other allegations and complaints.

FINRA BrokerCheck shows a settled customer complaint with a damage request of $35,000.00 on October 03, 2023.

Customer alleges representative made unsuitable recommendations during the period August 2016 to October 2023.

According to records kept by The Financial Industry Regulatory Authority (FINRA) financial Broker Richard Goldston (Goldston), previously associated with Edward Jones, has at least one disclosable event. These events include one regulatory event, alleging that Goldston recommended unsuitable investments in different investment products including debt securities among other allegations and complaints.

FINRA BrokerCheck shows a final customer complaint on October 13, 2023.

Respondent Goldston failed to respond to FINRA requests for information.

According to records kept by The Financial Industry Regulatory Authority (FINRA) financial Broker Ron Filoramo (Filoramo), previously associated with Morgan Stanley, has at least 2 disclosable events. These events include 2 regulatory events, alleging that Filoramo recommended unsuitable investments in different investment products including debt securities among other allegations and complaints.

FINRA BrokerCheck shows a final customer complaint on October 11, 2023.

The Securities and Exchange Commission (‘Commission’) deems it appropriate and in the public interest that public administrative proceedings be, and hereby are, against Ronald E. Filoramo (‘Filoramo’ or ‘Respondent’).\<char_lb_r>\, Respondent has submitted an Offer of Settlement (the ‘Offer’) which the Commission has determined to accept.\<char_lb_r>\, The commission finds that on October 2, 2023, a judgment was entered by consent against Filoramo permanently enjoining him from future violations of Section 17(a) of the Securities Act of 1933, and Section 10(b) of the Exchange Act and Rule 10b-5 thereunder, in the civil action entitled Securities and Exchange Commission v. Ronald E. Filoramo, Civil Action Number 0:23-cv-61858, in the United States District Court for the Southern District of Florida.\<char_lb_r>\, The Commission’s complaint alleged, among other things, that from approximately February 2017 through October 2021, Filoramo misappropriated approximately $761,000 from two of his long-standing brokerage customers. Filoramo represented that he would invest the customers’ funds in securities he recommended, but instead misappropriated the money for his personal benefit, namely for gambling and related expenses. To conceal his fraud, Filoramo recommended to the customers that they purchase bonds from a purported MSSB client and instructed them to send their funds directly to that client. Filoramo also created fake documents that purported to show the bond purchases. In fact, the customers unknowingly transferred their funds to bank accounts controlled by one of Filoramo’s friends who, in turn, transferred the funds to a bank account controlled by Filoramo. No bonds were ever purchased, and Filoramo spent almost all of the money, mainly at casinos.

According to records kept by The Financial Industry Regulatory Authority (FINRA) financial Broker Lickhai Quach (Quach), previously associated with Transamerica Financial Advisors, Inc, has at least one disclosable event. These events include one regulatory event, alleging that Quach recommended unsuitable investments in different investment products including debt securities among other allegations and complaints.

FINRA BrokerCheck shows a final customer complaint on October 24, 2023.

Respondent violated sections 11-306, and 11-301(2) and (3) of the Maryland Securities Act by, among other things, soliciting a loan from a customer, the proceeds of which were used for his or his wife’s personal benefit and/or invested in his wife’s business, engaging in the borrowing of money from a customer in violation of FINRA Rule 3240 and Transamerica’s policies and procedures, and failing to disclose the risks associated with the loan and investment in Quach’s wife’s business. Respondent offered and sold an unregistered security in violation of section 11-501 of the Maryland Securities Act.

According to records kept by The Financial Industry Regulatory Authority (FINRA) financial Broker Terry Tzagarakis (Tzagarakis), previously associated with Arive Capital Markets, has at least one disclosable event. These events include one regulatory event, alleging that Tzagarakis recommended unsuitable investments in different investment products including debt securities among other allegations and complaints.

FINRA BrokerCheck shows a final customer complaint on September 12, 2023.

Respondent Tzagarakis failed to comply with an arbitration award or settlement agreement or to satisfactorily respond to a FINRA request to provide information concerning the status of compliance.

According to records kept by The Financial Industry Regulatory Authority (FINRA) financial Broker Arni Diamond (Diamond), previously associated with Supreme Alliance LLC, has at least one disclosable event. These events include one regulatory event, alleging that Diamond recommended unsuitable investments in different investment products including debt securities among other allegations and complaints.

FINRA BrokerCheck shows a final customer complaint on October 09, 2023.

Without admitting or denying the findings, Diamond consented to the sanctions and to the entry of findings that he made unsuitable recommendations in speculative alternative investments to two customers in their sixties that were inconsistent with the customers’ investment profiles. The findings stated that Diamond’s recommendations to purchase the limited partnership interests to the customers were unsuitable for the customers based on their age, income, net worth, risk tolerance, and because one customer was not an accredited investor as was required to invest in the limited partnership interests, and because his recommendations to the other customer resulted in the over-concentration of that customer’s net worth in alternative investments.

According to records kept by The Financial Industry Regulatory Authority (FINRA) financial Broker David Test (Test), currently associated with Avantax Investment Services, INC., has at least one disclosable event. These events include one regulatory event, alleging that Test recommended unsuitable investments in different investment products including debt securities among other allegations and complaints.

FINRA BrokerCheck shows a final customer complaint on October 26, 2023.

Representative did not disclose the administrative actions entered against him by FINRA on 2/13/2023 to the Texas Department of Insurance as required by Texas Insurance Code 4005.101(b)(2).

According to records kept by The Financial Industry Regulatory Authority (FINRA) financial Broker Stephen Takeda (Takeda), previously associated with Morgan Stanley, has at least one disclosable event. These events include one regulatory event, alleging that Takeda recommended unsuitable investments in different investment products including debt securities among other allegations and complaints.

FINRA BrokerCheck shows a final customer complaint on September 05, 2023.

Without admitting or denying the findings, Takeda consented to the sanction and to the entry of findings that he refused to provide documents and information requested by FINRA in connection with its investigation into potential rule violations stemming from a customer complaint and other potential violations. The findings stated that the customer complaint made to FINRA involved potential customer loans.

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