Garden State Securities Accused of Violating Several Regulatory Rules

New Orleans investment fraud attorneyGarden State Securities, Inc. violated a number of regulatory rules designed to protect investors, according to a complaint issued by the Financial Industry Regulatory Authority’s (“FINRA”) Department of Enforcement.

The Peiffer Rosca securities practice attorneys Alan Rosca and Joe Peiffer are investigating the matter.

Garden State Securities Allegedly Failed to Report Significant Events to FINRA

Garden State Securities failed to report, or timely report, a number of events to FINRA pursuant to regulatory rules, according to the complaint. Garden State Securities failed to report four arbitration settlements and an internal disciplinary action, according to the complaint. Garden State Securities also failed to report, or timely report, statistical and summary information regarding forty-six customer complaints, and in some instances failed to accurately report this information for customer complains – specifically, eleven complaints were reported with inaccurate problem codes, according to the complaint. Additionally, Garden State failed to maintain required books and records concerning customer complaints, according to the complaint.

Garden State Securities Accused of Failing to Establishing and Enforcing an Adequate Supervisory System

Garden State Securities also failed to establish, maintain, and enforce an adequate supervisory system designed to achieve compliance with the requirements of FINRA rules and federal securities laws regarding the approval, use, and dissemination of sales material, the requirement under regulatory rules that telemarketing callers provide the called party with the name of the individual caller, the name of the member, and an address or telephone number at which the member firm may be contacted, and telemarketing efforts in the United Kingdom consistent and compliant with the requirements established by the Financial Services Authority, according to the complaint.

Garden State Securities Allegedly Failed to Demonstrate Appropriate Principal Approval for Advertising Materials

Garden State Securities is also accused of failing to demonstrate appropriate principal approval of certain advertising materials, including sales literature and websites, and failing to retain certain advertising materials, according to the to the complaint. Additionally, Garden State Securities’ website, the websites of its registered representatives and sales literature distributed via e-mail by the firms registered representative contained unbalanced, exaggerated, or misleading statements, according to the complaint.

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.

Alan Rosca (1225 Posts)

Alan is a securities lawyer. He also teaches Securities Regulation at the Cleveland-Marshall College of Law. He focuses his legal practice on complex commercial and financial litigation and arbitration, particularly in the areas of securities and investment fraud. His office is in Cleveland, Ohio.


In our legal system, every person is innocent until and unless found guilty by a court of law or a tribunal. Whenever we reference “allegations” or charges that are “alleged,” such allegations or charges have not been proven, and are merely accusations, not findings of fault, as of the date of the blog. We do not have, nor do we undertake, a duty to continue to monitor or follow cases about which we report, and/or to publish subsequent blogs regarding various developments that may occur in such cases. Readers are encouraged to conduct their own research regarding any such cases and any developments that may or may not have occurred in such cases.