Articles Posted in Disciplinary Actions

Ernest Romer has been barred by FINRA

Update August, 2017: Michigan seeks cease and desist, intent to bar.

On August 16, 2017 the state of Michigan’s Securities Division issued a notice of intent to revoke the securities licensing of Ernest Romer and asked that a cease and desist order be issued.

William Jordan Investments Barred by California DBO; Bankruptcy Filing!

On August 16, 2017 the State of California’s Department of Business Oversight announced a consent order and issued a bar which prevents William Jordan Investments from acting as an investment advisor or a broker dealer in California.  The Order also bars William Jordan from acting as a registered representative or investment advisor in the state. The denial relates back to a January, 2017 filing by the Commissioner that described the DBO’s investigation into  William Jordan Investments and William Jordan’s history of selling unregistered (unqualified) securities.

The Department of Business oversight found that William Jordan Investments sold unregistered securities and made material misstatements and omissions when making the sales.  They also found that Jordan failed to disclose his prior FINRA disciplinary history, and that the investments he sold to clients were losing money.

Kevin Wanner barred over CD sales

In January, 2016 FINRA barred broker Kevin Wanner formerly of Questar Capital Corporation and Woodbury Financial for his role in brokering certificates of deposit and selling unregistered securities.

In August, 2017 the North Dakota Securities Department made findings that Kevin Wanner, doing business as Precision Financial allegedly ran a Ponzi scheme for over fifteen years and victimized dozens of investors in a bogus CD scam as well as by selling unregistered securities.  The findings by the North Dakota department state that Kevin Wanner pocketed most of the money raised from investors and used it to support his lifestyle, and to pay newly raised funds to older investors.  Also as part of the North Dakota findings, Kevin Wanner was referred to the U.S. Attorney’s office for a criminal investigation.

Former Orem, Utah broker Clark Gardner has been barred by FINRA and the SEC

In June, 2016 the SEC announced a bar against former Sammons Securities and Cetera Advisors broker Clark Gardner.  This followed on the heels of a bar issued by FINRA in 2014.  The FINRA bar related to Gardner’s outside business activities, and sales of unregistered securities.  That year, in May, 2014 Gardner was discharged by Cetera Advisors with allegations pending that he failed to disclose his outside business activities and sold unapproved products.

Gardner, of Orem Utah consented to the entry of findings against him in the SEC action.  The SEC proceeding was filed shortly after Gardner plead guilty to securities fraud in Utah District Court, and was sentenced to between one and fifteen years in prison, with the sentence suspended by the court.

Bob Simons suspended over discretionary trading

In June, 2016 FINRA suspended International Assets Advisory broker Bob Simons for 45 days and fined him $5,000 over allegations that Simons used a private email account to conduct firm business and exercised  discretion in customer accounts without complying with firm protocol for doing so. Simons consented to the findings without admitting or denying them, and agreed to the suspension and fine.

Simons, of Brooklyn, Connecticut was affiliated with International Assets Advisory from October, 2014 to May, 2016.  Prior to that he was affiliated with Center Street Securities from September, 2011 to August, 2014.  Before that he was with NY Life Securities.

Todd Pilosi, a registered representative from Clovis, California, formerly with LPL Financial was suspended from FINRA membership as a result of an investigation into his borrowing money from a customer without obtaining firm approval, which is a violation of LPL and FINRA rules.   Pilosi entered into an acceptance waiver and consent agreement with FINRA in which he neither admitted nor denied the findings, but agreed to a suspension of four months and a fine of $5,000.

In June, 2017 Todd Pilosi agreed to the suspension and FINRA published its findings that Pilosi borrowed $150,000 from a customer, which has not been paid back.  Pilosi has entered into a settlement agreement with the customer.  FIRNA also found that Pilosi misled LPL when he submitted a compliance questionnaire in which he denied engaging in the loan transaction with the customer.

Todd Pilosi’s registration and disciplinary history

John Olinghouse, a registered representative from Sparks, Nevada, formerly with HD Vest and Fortune Financial Services was suspended from FINRA membership as a result of an investigation into his reusing customer signatures by affixing them to different documents.  Olinghouse entered into an acceptance waiver and consent agreement with FINRA in which he neither admitted nor denied the findings, but agreed to a suspension of one year and a fine of $15,000.

In June, 2017 John Olinghouse agreed to the suspension and FINRA published its findings that Olinghouse used whiteout  and cutouts of client signatures on broker dealer documents and settled a customer complaint without notifying the firm.

John Olinghouse’s registration and disciplinary history

Clay Hoffman, a registered representative from Brunswick, Georgia, formerly with Summit Brokerage Services and Suntrust Investment Services was barred from FINRA membership as a result of failing to cooperate with a FINRA investigation. Hoffman has a long list of customer disputes (14) as well as being the subject of regulators’ investigations on four occasions.  See below.

FINRA Rule 9552. Failure to Provide Information or Keep Information Current

This FINRA rule provides if a FINRA member fails to provide information or testimony requested or required by FINRA’s By-Laws or FINRA rules, or fails to keep his or her membership and supporting documents current, FINRA, after providing  21 days’ notice may suspend the FINRA membership of the person. If the suspension is not challenged within 90 days, FINRA may bar the individual.

Ronald Broadstone, a registered representative from Columbus, Ohio, formerly with UBS Financial Services was barred from FINRA membership as a result of failing to cooperate with a FINRA investigation.

FINRA Rule 9552. Failure to Provide Information or Keep Information Current

This FINRA rule provides if a FINRA member fails to provide information or testimony requested or required by FINRA’s By-Laws or FINRA rules, or fails to keep his or her membership and supporting documents current, FINRA, after providing  21 days’ notice may suspend the FINRA membership of the person. If the suspension is not challenged within 90 days, FINRA may bar the individual.