FINRA Bars CP Capital Securities’ Alexis Lertora For Misrepresentation

Alexis Lertora (CRD#: 4821845, Miami, Florida) is a past general securities representative of CP Capital Securities. He worked at CP capital Securities from June 2015 to April 2017. Apparently, three months later, on July 31, 2017, FINRA expelled the firm. Most importantly, Financial Industry Regulatory Authority (“FINRA”) barred Alexis Lertora from having any association with any FINRA member in any capacity pursuant to a Letter of Acceptance, Waiver and Consent #2016051493703 executed on June 12, 2018.

Alexis Lertora Sells Fraudulent Offering And Promissory Notes To Customers

FINRA found that between January 2016 to June 2016, Alexis Lertora sold two Peruvian customers CP Venture Capital II LLC – an unregistered offering which CP Capital Securities’ affiliate issued. Evidently, those customers invested $245,000.00 in CP Venture Capital II LLC. Additionally, Alexis Lertora sold three more Peruvian customers promissory notes which CP Capital Securities’ holding company issued. The AWC stated that those three customers invested $73,000.00 in the promissory notes.
Evidently, Alexis Lertora misrepresented and omitted important information to customers when he solicited the offering and the notes. Specifically, she represented that those customers’ investments would not fluctuate in value; the principal was supposedly protected. FINRA found that Alexis Lertora made false or misleading statements in this regard. Apparently, the offering was both illiquid and risky especially since a new LLC without any track record issued the unregistered security. Critically, FINRA stated that the offering was fraudulent. Also, the AWC stated that the offering possessed insufficient capital to provide customers an investment return. Indeed, months after customers invested in the offering, it stopped paying interest.

FINRA Finds Alexis Lertora Made Misrepresentations About Investments

Moreover, Alexis Lertora represented to notes purchasers that their money would be applied in a CP Capital Securities deal. Supposedly, she also represented to the customers that they would receive their money back if the deal failed to close. However, she claimed that if the deal was successful, customers’ money would be doubled within ninety days. Apparently, similar to the offering, FINRA found that Alexis Lertora made false or misleading statements in this regard. Specifically, FINRA stated that the notes provided customers no guarantee of principal repayment or a profit within ninety days. Also, similar to the offering, customers’ funds were not used for a firm deal but fraudulently used for other purposes such as paying firm expenses. The AWC stated that there was no firm deal and customers received no return of their investments. Because of Lertora’s misrepresentations, FINRA stated that he violated FINRA Rule 2010.

Alexis Lertora Made Unsuitable Recommendations To Customers About The Offering And Notes

Moreover, Alexis Lertora failed to conduct due diligence on investments he sold customers, according to the AWC. FINRA stated that Alexis Lertora did not have a rational basis in deeming the offering and the notes suitable for customers. Apparently, he sold risky investments to customers with conservative objectives and investment profiles. As a result, FINRA stated that Alexis Lertora violated FINRA Rules 2111 and 2010.
Additionally, FINRA stated that Alexis Lertora provided customers marketing materials that failed to disclose risks or establish a rationale basis for making investment evaluations. Evidently, two CP Capital Securities customers purchased the offerings after obtaining the misleading marketing materials. Because of this, FINRA stated that Alexis Lertora violated FINRA rules 2210 and 2010.

Suffered Investment Losses With Alexis Lertora?

Suffered losses by investing with CP Capital Securities’ brokers including Alexis Lertora? If you have, call Soreide Law Group at (888) 760-6552 to speak with experienced counsel about possibly recovering your investment losses. The firm has recovered millions of dollars for investors who have suffered losses due to misconduct of brokers and brokerage firms. Soreide Law Group represents clients on a contingency fee basis and advance all costs.