Investor Alert! The Financial Industry Regulatory Authority (“FINRA”) reports alarming allegations of improprieties by Corinthian Partners securities broker Kevin Lawrence Barbalace [CRD#: 4456476, Middletown, New Jersey]. Notably, no less than 5 of Barbalace’s clients at Corinthian Partners and Dawson James Securities contested his sales practices. Not only that, but the securities broker also reports that FINRA sanctioned him and that some of his past employers disaffiliated with him for bad business practices. Overall, these disclosures suggest that Barbalace falsified important investment information and sold bad investments. Check out the following allegations against Barbalace.
Kevin Barbalace Allegedly Misrepresents Risks To Corinthian Partners Client
Evidently, on July 8, 2019, a Corinthian Partners client filed FINRA Arbitration #: 19-01859 concerning Kevin Barbalace. Mainly, the client contended that Barbalace falsified the features, benefits or risks of investments. It is possible that the securities broker also sold investments which did not align with the client’s goals. Apparently, the client incurred losses on private securities transactions and private placements. Because of this, the client requested $200,000 in compensation from Corinthian Partners or Barbalace. This arbitration is pending a resolution.
Dawson James Securities Client Indicates Barbalace Sold Unsuitable Investments
Apparently, a client of Dawson James Securities contested Kevin Barbalace’s actions by making a complaint on June 4, 2019. Allegedly, Barbalace made inappropriate trades in the client’s account, failing to consider the client’s risk tolerance or some other aspect of the client’s investment profile. Allegedly, the securities broker also falsified or misrepresented investment information. It seems that investments including stocks, unit investment trusts and private placements which Barbalace sold or recommended had caused the client to sustain losses. Consequently, the client demanded compensation from Dawson James Securities or Barbalace in the amount of $4,952,610. This matter awaits a resolution.
Kevin Barbalace Allegedly Fails To Follow Dawson James Securities Client’s Instructions
Notably, a client of Dawson James Securities contested Kevin Barbalace’s securities recommendations or sales through bringing a complaint dated October 18, 2018. Allegedly, Barbalace did not take the client’s instructions concerning common or preferred stocks into account and caused the client to incur losses. As a result, the client asked for compensation from Dawson James Securities or Barbalace in the amount of $12,500 in this ongoing matter.
FINRA Sanctions Barbalace
Evidently, FINRA executed Acceptance, Waiver and Consent (“AWC”) #: 2015047757701 on November 17, 2016 sanctioning Kevin Barbalace for bad advice. Namely, the securities broker violated FINRA Rule 2111. Supposedly, his low priced stock recommendations were unreasonable because of the client’s situation and needs, and the client experienced losses by following Barbalace’s advice. Also, FINRA says that Barbalace violated FINRA Rule 3270 by engaging in undisclosed outside business activities involving that client. Consequently, FINRA suspended him from November 21, 2016 to February 20, 2017 and fined him $5,000.