LPL Financial LLC—Failure to Implement Adequate Supervisory System

investment fraud attorneysLPL Financial Allegedly Failed to Implement an Adequate Supervisory System Regarding its Sale of Non-Traded REITs

LPL Financial LLC allegedly failed to implement an adequate supervisory system regarding its sale of non-traded REITS, according to Documents from the North American Securities Administrators Association (NASAA) currently under review by attorneys Joe Peiffer and Alan Rosca.

LPL, based in Boston, recently agreed to remediate losses for all non-traded REITS sold by the firm from January 1, 2008 through December 31, 2013 in violation of prospectus standards, state concentration limits and even LPL’s own guidelines, NASAA also notes.

The Peiffer Rosca Wolf securities rights lawyers are currently investigating LPL Financial’s alleged failure to adequately provide supervisory systems. In addition, LPL purportedly reached a separate settlement with Massachusetts securities regulators in 2013 and faces a separate action by New Hampshire securities regulators, according to NASAA.

LPL Financial Has Agreed to Remediate Investor Losses, and Pay Civil Penalties of $1.425 Million to be Distributed among 48 States, the District of Columbia, Puerto Rico, and the U.S. Virgin Islands

LPL Financial LLC has agreed to remediate investor losses, and to pay civil penalties of $1.425 million to be distributed among 48 states, the District of Columbia, Puerto Rico, and the U.S. Virgin Islands, according to Documents from NASAA currently under review by attorneys Joe Peiffer and Alan Rosca.

Finally, LPL has agreed to retain an independent third party to review and verify its executed sales transactions for violations during this period, believed to be more than 2,000, and will make offers of remediation upon completion of the third-party review, NASAA notes.

One should also note that, according to FINRA, LPL never accepted and consented, without admitting or denying the FINRA findings.

Securities Lawyers Investigating

The Peiffer Rosca Wolf securities lawyers often represent investors who lose money as a result of alleged failure to provide adequate supervisory systems. They are currently investigating LPL’s alleged failure to provide adequate supervisory systems. 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 LPL’s alleged failure to provide adequate supervisory systems may contact the investment rights lawyers at Peiffer Rosca Wolf, Alan Rosca or Joe Peiffer, for a free no-obligation evaluation of their recovery options, at 888-998-0520.

Alan Rosca (1144 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.