Financial America and John Rukenbrod Sanctioned By FINRA After Being Accused of Failing to Adequately Supervise a Financial America Branch
Financial America Securities, Inc. and its founder, John C. Rukenbrod, were sanctioned by the Financial Industry Regulatory Authority (“FINRA”) in connection with claims that Financial America and Rukenbrod failed to adequately supervise the securities business conducted from one of the firm’s branch offices.
The Peiffer Rosca securities practice attorneys Alan Rosca and Joe Peiffer are investigating the matter.
Financial America and Rukenbrod Accused of Failing to Adequately Supervise a Financial America Branch
Financial America, acting by and through Rukenbrod, failed to adequately supervise the business being conducted out of a certain branch of the firm between August 2009 and May 2011, according to FINRA. Financial America, acting by and through Rukenbrod, failed to conduct any inspection of the branch office, failed to review any incoming or outgoing e-mails of the three registered representatives operating out of the branch, and failed to adequately supervise private securities transactions engaged in by two of the registered representatives at the branch, according to FINRA.
Financial America Allegedly Failed to Review Electronic Communications
Financial America failed to ensure that all business-related electronic communications were captured and retained in a non-erasable, non-rewritable format as required by SEC rules, according to FINRA. Financial America also failed to ensure that such electronic communications were reviewed as required by regulatory rules designed to protect investors, according to FINRA.
Financial America Accused of Not Having A Properly Licensed Principal Supervise Securities Business
Financial America, acting by and through Rukenbrod, also failed to ensure that the firm’s securities business was supervised by a properly licensed principal, according to FINRA.
Financial America was censured and fined $27,500 by FINRA without denying or admitting FINRA’s findings. Rukenbrod was fined $5,000 and suspended from the securities industry as serving as a principal for two months without denying or admitting FINRA’s findings.
Investment Fraud Lawyers Investigating
The Peiffer Rosca securities attorneys often represent investors who lose money as a result of Ponzi schemes, investment fraud, or stockbroker misconduct. They are currently investigating the possibility of assisting victims with the recovery of their losses. They take most cases of this type on a contingency fee basis and advance the case costs, and only get paid for their fees and costs out of money they recover for their clients.
Investors who believe they lost money as a result of investment fraud or misconduct may contact the securities lawyers at Peiffer Rosca, Alan Rosca or Joe Peiffer, for a free, no-obligation evaluation of their recovery options, at 888-998-0520.