BARRY L BUCHHOLZ Formerly of LPL Fined by FINRA

BARRY LUTHER BUCHOLZ (BARRY L BUCHOLZ) was fined $7,500, ordered to pay $7,480 in disgorgement and suspended for one month by the Financial Industry Regulatory Authority (FINRA). Bucholz, a former LPL Financial broker allegedly traded without authorization in four customers’ accounts. BARRY L BUCHOLZ was listed with LPL Financial LLC of Cedar Rapids, Iowa from 10/11/2021 - 11/29/2024.

According to the FINRA report, without admitting or denying FINRA’s findings, BARRY L BUCHOLZ consented to the sanctions and to the entry of findings that he allegedly effected unauthorized transactions totaling more than $590,000 in the accounts of four customers, the adult daughters of a deceased senior customer.

FINRA’s findings stated that after their father passed away, the customers each opened a non-discretionary brokerage account at BARRY L BUCHOLZ' member firm, and he became the registered representative assigned to the accounts. FINRA states that when the customers' brokerage accounts were funded with the proceeds from their father's estate, Buchholz allegedly placed trades to purchase $590,795 in mutual fund shares, generating $16,245.63 in commissions.

According to the FINRA report, BARRY L BUCHOLZ allegedly did not seek or obtain written or oral authorization from the customers to place these trades. The customers learned of these trades when they received their account statements. Once learning of the trades, one of the customers directed Buchholz to sell the mutual fund shares, which he did two business days later. Soon after, according to FINRA, BARRY L BUCHOLZ sold all the shares held in the account of another of the customers without obtaining her written or oral authorization.

FINRA states that these liquidations collectively resulted in losses for both customers. The remaining two customers did not liquidate their mutual fund shares and ultimately saw positive returns on the investments. Buchholz earned $7,480 in commissions from the trades in the accounts of these two customers. All four Customers filed complaints with BARRY L BUCHOLZ' firm. According to FINRA, the first two customers entered into settlements that repaid them for their losses. Buchholz personally contributed $15,000 toward these settlements.

According to a recent article from AdvisorHub, the customers were the children of one of Buchholz’ longtime clients, each opened a nondiscretionary brokerage account at LPL Financial and received equal portions of their father’s estate following his death in May 2023. FINRA began its investigation into BARRY L BUCHOLZ following a customer complaint and said he violated its Rule 2010 which requires “high standards” of commercial honor.

BARRY L BUCHOLZ, according to AdvisorHub, is no longer registered as broker and was never registered as an investment advisor. He voluntarily resigned from LPL in November of 2024. He started his career in 1987 with AAL Capital Management Corp. He began at LPL in 2021 from Private Client Services of Hiawatha, Iowa. 

According to FINRA’s BrokerCheck, BARRY L BUCHOLZ has 36 years of experience in the securities industry and was listed with 9 firms. Bucholz has 10 disclosures on his FINRA CRD report, 2 disclosures are “Regulatory,” and 8 are “Customer Disputes.”

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