SEC Charges Demitrios Hallas for Defrauding Customers
Posted onOn April 25, 2017, the Securities and Exchange Commission (“SEC”) charged Demitrios Hallas, a former broker, with knowingly or recklessly trading unsuitable investment products in the accounts of five customers and misappropriating more than $170,000 from one of… Read More
Whistleblower Awarded Almost $4 Million by SEC
Posted onOn April 25, 2017, the Securities and Exchange Commission (“SEC”) announced an award of nearly $4 million to a whistleblower who tipped the agency with detailed and specific information about serious misconduct and provided additional assistance during the… Read More
SEC Charges Avaneesh Krishnamoorthy with Insider Trading
Posted onOn April 24, 2017, the Securities and Exchange Commission (“SEC”) charged Avaneesh Krishnamoorthy, a vice president in the risk management department of a New York-based investment bank, with insider trading on confidential information he learned in advance of a… Read More
SEC Charges Kevin Amell with Fraud
Posted onOn April 24, 2017, the Securities and Exchange Commission (“SEC”) announced fraud charges against Kevin Amell, a Massachusetts-based portfolio manager accused of diverting at least $1.95 million to his personal brokerage account from a fund over which he… Read More
Magyar Telekom Executives Agree to Pay Penalties
Posted onOn April 24, 2017, the Securities and Exchange Commission (“SEC”) announced that two former executives at Hungarian-based telecommunications company Magyar Telekom have agreed to pay financial penalties and accept officer-and-director bars to settle a previously-filed SEC case alleging they… Read More
SEC Charges Brothers for Hydrocarb Fraud Scheme
Posted onOn April 21, 2017, the Securities and Exchange Commission (“SEC”) has charged two brothers – Kent and Mike Watts – with orchestrating a fraudulent scheme to qualify the stock of Hydrocarb Energy Corporation for listing on a major… Read More
Robert Stewart Fined & Suspended by FINRA
Posted onOn February 2, 2017, Robert Stewart (CRD #5746657, Dewey, Arizona) submitted a Letter of Acceptance, Waiver and Consent (“AWC”) in which he was assessed a deferred fine of $7,500 and suspended from association with any FINRA member in… Read More
Brian Scarpellini Named Respondent in Check-Kiting Scheme
Posted onOn February 9, 2017, Brian Scarpellini (CRD #6320844, Plainsboro, New Jersey) was named a respondent in a FINRA complaint alleging that he converted funds totaling $1,158 from his member firm’s bank affiliate by engaging in a check-kiting scheme…. Read More
Austin Morton Named Respondent In FINRA Complaint
Posted onOn February 24, 2017, Austin Morton (CRD #5538108, Spiro, Oklahoma) was named a respondent in a FINRA complaint alleging that he converted a total of $36,000 from a former elderly customer with dementia. The complaint alleges that Austin… Read More
Rosemary McGinley Suspended From Association with FINRA
Posted onOn February 1, 2017, Rosemary McGinley (CRD #2435216, Doylestown, Pennsylvania) submitted a Letter of Acceptance, Waiver and Consent (“AWC”) in which she was suspended from association with any FINRA member in any capacity for 10 business days. In… Read More
Legend Securities Named Respondent for Various Claims
Posted onOn February 1, 2017, Legend Securities, Inc. (CRD #44952, New York, New York) was named a respondent in a FINRA complaint alleging various claims arising from failures in the firm’s compliance and supervisory systems and procedures. The complaint… Read More
FINRA Fines Albert Fried & Company
Posted onOn February 22, 2017, Albert Fried & Company, LLC (CRD #1914, New York, New York) submitted a Letter of Acceptance, Waiver and Consent (“AWC”) in which the firm was censured and fined $27,500. Without admitting or denying the… Read More
Alejandro Falla Barred From Association with FINRA Members
Posted onOn February 9, 2017, Alejandro Falla (CRD #5064828, Miami, Florida) submitted an AWC in which he was barred from association with any FINRA member in any capacity. Without admitting or denying the findings, Falla consented to the sanction… Read More
Jay Hatton Submits Offer of Settlement
Posted onJay Hatton (CRD #1725472, Edinburgh, Indiana) submitted an Offer of Settlement in which he was assessed a deferred fine of $10,000 and suspended from association with any FINRA member in any capacity for two years. Without admitting or… Read More
Lightspeed Trading Named Respondent in FINRA Complaint
Posted onLightspeed Trading, LLC (CRD #35519, New York, New York) was named a respondent in a FINRA complaint alleging that it failed to establish, document, and maintain an adequate system of risk management controls and supervisory procedures, including certain… Read More
J.W. Korth & Company to pay Restitiution
Posted onJ.W. Korth & Company, Limited Partnership (CRD #26455, Lansing, Michigan) was ordered to pay the approximate amount of $29,268, plus interest, in restitution to customers and in lieu of a fine, is required to retain an independent consultant… Read More
FINRA Fines BMA Securities
Posted onFINRA Charges BMA Securities
FINRA Expels Fox Financial Firm
Posted onFox Financial Management Corporation (CRD® #134277, Carrollton, Texas), Brian Murphy (CRD #4743164, Frisco, Texas) and James Rooney Jr. (CRD #1857754, Carrollton, Texas) were expelled from FINRA® membership and fined $100,000. Murphy was fined $25,000, barred from association with… Read More
FINRA Senior Helpline Celebrates 2nd Anniversary With $4.3 Million
Posted onOn April 20, 2017, the Financial Industry Regulatory Authority (FINRA) announced that FINRA’s Securities Helpline for Seniors®, their senior helpline, marked its second anniversary with $4.3 million in voluntary reimbursements to callers since its launch on April 20,… Read More
SEC Charges Matthew Fox with Securities Fraud
Posted onOn April 19, 2017, the Securities and Exchange Commission (“SEC”) charged Matthew Fox of Plano, Texas and his company, Wayne Energy, LLC, with securities fraud arising from a failed offering of interests in a joint venture formed to… Read More
SEC Issues Rule 147 Intrastate Crowdfunding Guidance – Posted by Brenda Hamilton
Posted onIn October of last year, the Securities and Exchange Commission (“SEC”), adopted final rules (1) amending Rule 147, also known as Intrastate Crowdfunding and Rule 504 under the Securities Act of 1933, as amended (the “Securities Act”), and… Read More
SEC Charges Justin Meadlin of Hyaline Capital Management
Posted onOn April 17, 2017, the Securities and Exchange Commission (“SEC”) charged a New York-based investment adviser, Hyaline Capital Management, LLC, and one of its founders, Justin Meadlin, with disseminating false information to prospective investors and clients in order… Read More
What is a NYSE Designated Market Maker? Posted by Brenda Hamilton
Posted onOne of the most important decisions for a company going public is to choose the right market for listing the company’s shares. This is true for initial public and direct public offerings. The New York Stock Exchange (“NYSE”)… Read More
SEC Announces Temporary Trading Suspension of Sunshine Capital
Posted onAt 9:30 a.m. EDT on April 12, 2017, the Securities and Exchange Commission announced the temporary suspension of trading in the securities of Sunshine Capital, Inc. (“SCNP”), of Hollywood, Florida, terminating at 11:59 p.m. EDT on April 26,… Read More
SEC Announces Temporary Trading Suspension of Bingo Nation
Posted onAt 9:30 a.m. EDT on April 13, 2017, the Securities and Exchange Commission announced the temporary suspension of trading in the securities of Bingo Nation Inc. , of Las Vegas, Nevada and terminating at 11:59 p.m. EDT on… Read More
SEC Charges Lucita Zamoras with Operating a Fraudulent Promissory Note Scheme
Posted onThe SEC’s complaint, filed in federal court in the Northern District of Illinois, alleges that Lucita Zamoras solicited investors for a promissory note program and subsequently misappropriated the investors’ funds. From at least October 2009 through December 2013,… Read More
SEC Charges Michael Shumway with Securities Fraud
Posted onOn April 8, 2017, the Securities and Exchange Commission (SEC) announced securities fraud charges against Michael Shumway, a former corporate secretary and treasurer of two Utah water companies for misappropriating and fraudulently selling corporate shares. The SEC’s complaint,… Read More
SEC Obtains Injunction and Asset Freeze Against Daniel Glick
Posted onOn April 13, 2017, the Securities and Exchange Commission (SEC) announced a preliminary injunction against Daniel Glick and his unregistered investment advisory firm Financial Management Strategies (FMS), continued the asset freeze in the name of the Defendants, and… Read More
SEC Charges Ryan Gilbertson for $30 Million Stock Manipulation Scheme
Posted onOn March 22, 2017, Ryan Gilbertson, a Minnesota man previously accused by the SEC of orchestrating an elaborate scheme to siphon millions of dollars from Dakota Plains Holdings, Inc., was indicted on 13 counts of wire fraud. Also… Read More
SEC Charges Lawyers Mustafa Sayid, Norman Reynolds and Paralegal Kevin Jasper in a Stock Manipulation Scheme
Posted onOn April 12, 2017, the Securities and Exchange Commission (SEC) filed fraud charges against, Mustafa Sayid, a New York City-based securities lawyer for orchestrating taking control of two publicly traded shell companies and rigging them and their securities… Read More
