Blue Sand Broker Patrick Horsman Involved In Lawsuit Alleging Private Placement Misrepresentation
Soreide Law Group has come across troubling information as it relates to securities broker Patrick Brian Horsman (CRD#: 4694883, Bay Harbor Islands, Florida). Evidently, the securities broker worked for Blue Sand Securities LLC between 2007 and 2020. Notably, he has faced sanctions from two different securities regulators. Also, he is involved in an investor’s lawsuit alleging sales practice violations. Here’s what we know about these disclosures.
Blue Sand Securities Disassociates With Patrick Horsman Over Complaint Alleging Misrepresentation
First of all, securities firm Blue Sand Securities disaffiliated with Patrick Horsman in October 2020 amid allegations of sales practices violations. Supposedly, the allegations come from an investor who Horsman interacted with at some point while working for Blue Sand. Notably, allegations include unjust enrichment, misrepresentation and even deception. It seems that this matter is ongoing at this time.
Investment Lawsuit Centers On Misrepresentation In Connection With Outside Business Activity
Secondly, an Arizona investor filed an October 2020 lawsuit. Notably, this matter alleges Patrick Horsman’s misconduct with a private placement offering. It appears that the investor purchased securities through Horsman’s outside business activity. Mainly, an outside business activity is something that a broker privately engages in for profit. Also, it entails an activity that occurs outside of their role with their employing securities firm. Notably, the civil action alleges misrepresentation by Horsman in connection with this private placement purchase.
Massachusetts Securities Division, FINRA Sanction Patrick Horsman
Thirdly, FINRA, who regulates most securities firms and brokers in the United States, suspended Patrick Horsman and fined him $20,000 in 2017. Reportedly, this was to resolve allegations that he purchased IPO shares via his accounts at various brokerage firms. FINRA indicated that the broker held no authorization to purchase those shares. Notably, industry rules prohibit any broker from buying new issues in accounts when they are associated with a FINRA firm who has a beneficial interest.
Also, the financial industry watchdog says that Patrick Horsman had outside brokerage accounts when he worked for Blue Sand Securities, but he didn’t tell Blue Sand Securities about this. It seems that Massachusetts Securities Division also sanctioned Horsman in March 2018 because of FINRA’s enforcement action.
Have You Experienced Losses From Horsman?
Supposedly, Patrick Horsman denies allegations of his sales practice violations. Have you experienced losses by investing with this securities broker? If so, reach out to Soreide Law Group at (888) 760-6552 and speak with experienced counsel concerning a possible recovery of your investment losses. Soreide Law Group represents clients on a contingency fee basis and advances all costs. The law firm has recovered millions of dollars for clients who have lost money because of their securities brokers or financial advisors.