The firm announces the filing of a FINRA arbitration and its continuing investigation of the sales practices of Karl Romero (Nasdaq:LPLA) for his management of client accounts and the overconcentration of energy and/or real estate related stocks including:
- Gastar Exploration
- Arbor Realty
- Resource Capital Corp.
We are currently investigating whether all material risks of the recommended investments were disclosed to clients as well as whether Karl Romero implemented an appropriate risk management strategy.
“Karl Romero has been the subject of at least 12 customer complaints during his employment in the securities industry. His employer, LPL, knew or should have known that based on his prior complaints, Mr. Romero posed a risk to LPL customers,” said Ryan Bakhtiari.
The firm represents retail and institutional investors around the world in securities arbitration and litigation matters. Attorneys for the firm have appeared before the Financial Industry Regulatory Authority (FINRA) and in numerous state and federal courts to resolve financial disputes between customers, banks, brokerage firms and other financial institutions.
The Financial Industry Regulatory Authority (FINRA) is a private American corporation that acts as a self-regulatory organization (SRO). Its primary mission is to safeguard market integrity and protect investors by ensuring that the broker-dealer industry operates fairly and honestly. FINRA oversees more than 624,000 brokers across the country and is involved in critical functions such as writing and enforcing rules governing the activities of brokerage firms and their registered representatives, examining firms for compliance with those rules, and fostering market transparency. Additionally, FINRA provides education and resources for investors to help them make informed financial decisions.