Florida Principal Broker Fined and Barred by FINRA

Soreide Law Group, a Securities Arbitration Law Firm, (888) 760-6552, obtained the following information on FINRA’s website under “Disciplinary and Other FINRA Actions, July, 2013.”

The Office of Hearing Officers (OHO) issued the following decisions, which have been appealed to or called for review by the NAC as of May 31, 2013. The NAC may increase, decrease, modify or reverse the findings and sanctions imposed in the decisions. Initial decisions where the time for appeal has not yet expired will be reported in future issues of FINRA Disciplinary and Other Actions.

Alfred Pierrepoint Reeves III (CRD #372836, Registered Principal, Hallandale, Florida)

was barred from association with any FINRA member in any capacity and ordered to pay $28,704.93, plus interest, in restitution to his former member firm. The sanctions were based on findings that after Reeves listed himself as his member firm’s authorized billing contact with the firm’s clearing firm, the firm’s president made proprietary trades in his IRA account. The clearing firm withheld a total of $59,704.93 on commission on these trades, which it reported on the firm’s statement of clearing charges. Because the firm did so few trades, the president did not regularly review the account until a month later.

FINRA's findings stated that at Reeves’ direction, the clearing firm paid the commissions to Reeves’ consulting company because it had not been notified that he was no longer at the firm and should be removed as the designated billing contact. The findings also stated that Reeves immediately began withdrawing money from the account, transferring money to his ex¬wife’s account and paying personal expenses. After the firm’s president accused Reeves of stealing the money, Reeves offered to repay the clearing firm on the conditions that it admit it had misappropriated the funds and paid them to Reeves in error and that he would not make any payments until he resolved all issues with FINRA. Reeves made these demands despite knowing he had no right to retain the money. The findings included that Reeves eventually repaid $31,000 to the clearing firm and admitted he had not repaid the balance.
The decision has been appealed to the NAC and the sanctions are not in effect pending the appeal.
(FINRA Case #2011030192201)

According to FINRA's BrokerCheck, Alfred Reeves was previously registered with FINRA at the following brokerage firms:
CONVERGENT SECURITIES, LLC
CRD# 151959
MIAMI, FL
03/2011 - 12/2011

HWJ CAPITAL PARTNERS II, LLC
CRD# 132135
BOCA RATON, FL
01/2011 - 08/2011

EUROPA SECURITIES, LLC
CRD# 28493
DENVER, CO
05/2008 - 02/2011

This ends the information obtained on FINRA’s website.

If you’ve experienced investment losses due to your stock broker/financial advisor’s recommendations, call Soreide Law Group for a free consultation with an attorney on how to potentially recover your losses: 888-760-6552.