Investors might have sustained losses because of securities broker Ivanhoe Vincent Ffriend (also known as Ivanhoe Vincent Friend, Ivan Ffriend, and Ivan Friend) [CRD: 1013083, New Rochelle, New York], according to disclosures on FINRA BrokerCheck. Evidently, Ivanhoe Ffriend worked for multiple securities firms over the years, including J.P. Turner Company LLC and North Ridge Securities Corp. He is currently registered with Cetera Advisor Networks LLC and Cetera Investment Advisers LLC. Keep reading to learn more about the client disputes and regulatory sanctions involving this broker.
Financial Industry Regulatory Authority Sanctioned Ffriend For Recordkeeping Violations And Unauthorized Trading
Specifically, on October 14, 2024, the Financial Industry Regulatory Authority (FINRA) issued Case: 2021072533901 sanctioning Ivan Ffriend for infractions. Notably, FINRA alleged that Ffriend mismarked trade orders and engaged in discretionary trading without proper authorization.
Regulatory Action Summary
According to FINRA, the sanction stemmed from activities that took place between February 2019 and November 2021 while Ffriend was registered through Cetera Advisor Networks LLC. During this period, Ffriend allegedly mismarked more than 500 equity trade order tickets as “unsolicited” even though he had recommended the trades to clients. In doing so, he inaccurately indicated that the trades were initiated by the clients rather than at his suggestion. These actions led to the firm maintaining inaccurate books and records in violation of FINRA rules.
The rules cited in the case include FINRA Rule 4511, which mandates accurate recordkeeping in line with Section 17(a) of the Securities Exchange Act and Rule 17a-3. FINRA contended that Ffriend's mischaracterization of these trades caused his firm to fail to comply with these recordkeeping obligations.
Discretionary Trading By Ivan Ffriend
In addition to the recordkeeping violations, FINRA stated that Ffriend exercised discretionary authority in four client accounts without written authorization. Although those clients understood he was managing their accounts with discretion, FINRA stated that Ffriend had not obtained the required prior written approvals, nor had the firm officially accepted these accounts as discretionary. This conduct breached FINRA Rule 3260(b), which explicitly prohibits exercising discretion without written client consent and firm approval.
Sanctions And Settlement Terms
To resolve the matter, Ffriend entered into a Letter of Acceptance, Waiver, and Consent (AWC) with FINRA. Under this settlement: he agreed to a three-month suspension from associating with any FINRA member firm in any capacity. He also accepted a $7,500 fine, payable upon the settlement’s effective date.
J.P. Turner Company Investor Accused Ivan Ffriend Of Unauthorized Trading
Evidently, a J.P. Turner Company client filed FINRA Arbitration No. 03-07567 about Ivan Ffriend. The client alleged that Ffriend engaged in unauthorized trading. Because of this, the client allegedly sustained damages on mutual funds and stocks. Therefore, on October 20, 2003, J.P. Turner Company settled this matter by paying the client $47,500 in damages.
Ffriend Disclosed Misrepresentation Allegations By Investacorp Client
Particularly, a client of Investacorp Inc. contested Ivan Ffriend’s sales practices by filing FINRA Arbitration No. 97-03073. Allegedly, Ffriend made misrepresentations. Supposedly Ffriend caused the client to sustain damages on investments. Consequently, Investacorp opted to settle the matter on February 7, 1998, by compensating the client.
Were You Impacted By Securities Broker Ivan Ffriend?
Seeking more information about Ivan Ffriend? If so, reach out to Soreide Law Group online or at (888) 760-6552 and speak with a securities lawyer. Soreide Law Group has recovered losses for investors throughout the country, works on a contingency fee basis, and advances all costs. Ffriend and brokerage firms Ffriend worked for deny accusations of sales practice violations.
