Douglas Finlay Jr, a former registered representative of Cadaret Grant of Point Pleasant Beach, New Jersey was suspended from the securities industry for 18 months by FINRA for making unsuitable investments in his client’s account.
The findings in FINRA’s action against Douglas Finlay state that Finlay over concentrated his clients’ retirement account in an illiquid real estate investment trust (REIT), and that the recommendation to purchase the REIT was unsuitable in light of the clients’ risk tolerance, investment objectives and financial circumstances. FINRA’s complaint further alleges that Douglas Finlay falsified his firm’s books and records to make it appear that the transaction was suitable for the customer.
Douglas Finlay consented to the suspension, which is in effect from April 20, 2015, through October 19, 2016.
Douglas Finlay’s registration and disciplinary history
Douglas Finlay was registered with the following firms
According to FINRA’s CRD disclosure report, Douglas Finlay has been the subject of one customer complaint and one regulatory investigation.
The Law Office of David Liebrader practices exclusively in the field of investment loss recovery and our securities attorneys have successfully resolved over 1000 investment loss cases over the past 20 years. Recoveries for clients top $40 million. The types of claims we have successfully handled include those involving unsuitable investments (suitability claims), excessive trading or “churning”, misrepresentations and omissions, unauthorized trading, over-concentration of illiquid or overly risky investments, pump and dump scams involving “penny stocks”, direct participation programs (private placements) involving real estate investment trusts (REITS), oil and gas exploration programs, leasing equipment deals and receivable financing, promissory notes whether sold through a broker dealer or as part of the outside business activities of a registered representative, ponzi scheme losses, failure on the part of the broker dealer to perform due diligence, state securities law (blue sky) violations and failure to supervise.
Investment losses can be recovered through a process known as FINRA arbitration. FINRA regulates broker dealers that sell investments, and provides an arbitration forum to resolve investor disputes. Investors can pursue claims against their brokerage firms in the FINRA arbitration forum. Common claims in the forum are those for suitability, breach of fiduciary duty, misrepresentations and omissions, negligence, violation of FINRA rules, state and federal securities laws violations, elder abuse, breach of contract and failure to supervise. On average, the recovery process takes approximately a year, from start to finish.
FINRA’s rules require that all investment recommendations made by licensed financial advisors be suitable in light of a customer’s needs, objectives and risk tolerance. In addition, all registered representatives are required to be properly supervised, with periodic inspections and reviews by qualified supervisors, whose job it is to vigorously investigate suspicions of wrongdoing (red flags).
If you have suffered investment losses please call The Law Office of David Liebrader at (702) 380-3131 for a free, confidential consultation