FINRA Fines Houlihan Capital Over Note Sales

FINRA fines Houlihan Capital.

In December, 2016, the Financial Industry Regulatory Authority (“FINRA”) announced that Houlihan Capital of Chicago, IL submitted an acceptance, waiver and consent letter regarding its participation in a five million dollar private placement of securities.  The firm was censured and fined $25,000.

FINRA’s allegations against Houlihan Capital concerned the firm’s creation and dissemination of marketing materials for the convertible promissory notes offered by the firm.  The AWC stated that the firm disseminated written materials that did not present a balanced view of the offering and later, when certain information in the offering materials became untrue, the firm did not provide a written update.  The AWC found that the offering materials omitted material information, contained out of date information and contained false, exaggerated and misleading information.

Registration and disciplinary history

In order to lawfully sell investments to the public, a firm must either be registered or exempt from registration.  Houlihan Capital is a Nevada corporation formed in 2010 and registered with FINRA, the SEC and in 7 states and territories.

According to FINRA’s CRD disclosure report, Houlihan Capital has been the subject of two regulatory investigations.

 The Law Office of David Liebrader practices exclusively in the field of investment loss recovery.  For the past 23 years, we have dedicated our law practice to assisting investors who have been victims of investment fraud via fraudulent and unsuitable investment transactions.  During that time we have recovered money for over one thousand individuals, pension plans, trusts and companies.  The recoveries we have obtained via judgments, awards and settlements on behalf of our clients exceed $40,000,000.

When investors contact our firm they can expect prompt attention, and a detailed analysis of their issues.  Typical claims that we are asked to review  involve “unsuitability (where a financial advisor makes investment recommendations that are inconsistent with a customer’s investment objectives), claims for “churning” (where a broker enters into an excessive number of trades for the purpose of generating commissions), claims involving illiquid investments such as private placements (I.e., real estate investment trusts, limited partnerships, equipment leasing and oil and gas drilling programs) as well as claims for violations of state securities laws, which often provide investors remedies like attorney’s fees and interest, if they are successful on the claim.

If you suspect that you have been the victim of investment fraud, or had a financial advisor recommend unsuitable investments to you, call us today for a free, confidential consultation at (702) 380-3131.




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