FINRA has permanently barred stockbroker Vonna Kay Husby from the securities industry. The expulsion was handed down by FINRA because Ms. Kay Husby ceased cooperating with FINRA in connection with FINRA’s investigation into whether Husby served as a Power of Attorney and opened an undisclosed bank account that she allegedly…
An in and out trading strategy refers to short-term trading in an investor’s account. In other words, buying in and selling out of securities in a short period of time with no real basis for the stockbroker’s recommendation in either the suitability of the securities or the trading strategy. In…
FINRA has sanctioned National Securities Corporation for numerous violations, including failing to comply with reporting obligations and failing to enforce written supervisory procedures related to its reporting obligations between May 2015 and November 2018. National Securities Corporation was also sanctioned for failing to establish, maintain, and enforce written supervisory procedures…
**Update: June 2, 2021** The Securities and Exchange Commission (“SEC”) has charged James Couture with defrauding investors. The former LPL Financial broker-dealer and investment advisor allegedly defrauded his clients for about $2.9 million. According to the SEC’s complaint, from approximately 2009 to December 2019, Mr. Couture, while operating an investment…
CFD Investments, Inc. (“CFD”) and FINRA entered into a Letter of Acceptance, Waiver, and Consent (“AWC”) over CFD’s failure to conduct reasonable due diligence into Payson Petroleum, Inc.’s private placement offerings and its failure to document the limited due diligence that it conducted. As part of the August 24, 2020…
**Update: 3/22/2021** Ms. Cowden has been the subject of two additional customer disputes since November 2020. First, in November 2020, a customer filed a securities arbitration complaint alleging $400,000 in damages concerning a real estate security recommendation. The causes of action included breach of fiduciary duty, unauthorized trading, and elder…
On October 9, 2020, FINRA suspended Donatas B. Vildzius from the securities industry for six months and fined him $5,000. This sanction is the third time Mr. Vildzius has been suspended by FINRA, with previous suspensions in 2006 and 2014. Donatas Vildzius is a stockbroker and registered representative at Network…
On September 8, 2020, FINRA filed a complaint against former Westpark Capital and Laidlaw & Company broker Bryan Gabriel Mazliach (CRD#: 5518438). The complaint alleges that Mazliach engaged in excessive trading in 7 customer accounts and executed over 400 unauthorized trades in 10 customer accounts. Many of the investors who suffered…
FINRA has filed an enforcement complaint against Stephen Sloane, alleging that from January 2014 to January 2018, he recommended an unsuitable investment strategy to at least 14 customers. The complaint alleges that Sloane did not have a reasonable basis for recommending that his customers engage in active, short-term trading of…
On August 12, 2020, Morgan Stanley and FINRA entered into a Letter of Acceptance, Waiver, and Consent (“AWC”) over allegations that it failed to reasonably supervise its former broker Kevin Gunnip. As part of the AWC, Morgan Stanley agreed to pay a $175,000 fine and was censured by FINRA. It…