Private Client Services: 1 Regulatory Sanction
Publicly available records provided by the Financial Industry Regulatory Authority (FINRA) and accessed on June 25, 2019 indicate that Kentucky-based brokerage and advisory firm Private Client Services has received a regulatory sanction in connection to alleged rule violations. Fitapelli Kurta is interested in speaking to investors who have complaints regarding Private Client Services (CRD# 120222).
Established in Kentucky in 2001, Private Client Services is headquartered in Louisville, Kentucky and registered with 51 US states and territories. Organized as a limited liability company, the firm’s fiscal year ends in December. According to its BrokerCheck report, Private Client Services has received 1 regulatory sanction.
In 2011 the Kentucky Securities Division sanctioned the firm in connection to allegations it failed to maintain periodic customer account reviews as required of one of its agents’ conditional registration. In connection with these findings, the firm was ordered to pay a fine of $1,000.
FINRA records also show that current or former firm representatives have received customer complaints and FINRA sanctions. One current representative, for instance, has received a complaint alleging that while employed at a previous firm, he misrepresented material facts, recommended unsuitable investments, failed in his supervisory duties, and charged undisclosed fees in connection to investments in common and preferred stock, futures, mutual funds, real estate, and hedge funds; that complaint settled for $95,000. Another representative has received a complaint alleging that while employed at a former firm, he misrepresented material facts related to the sale of a variable universal life insurance policy; that complaint settled with the purchase of a more preferable policy type. A former representative was sanctioned by FINRA in 2017 in connection to allegations that while he was employed at Private Client Services, he wired $355,000 to a customer at his former member firm, to offset losses suffered by that customer when the representative had been his broker of record; FINRA’s findings stated that when the representative sent the wire, the recipient was not his customer, and he sent the wire without prior written authorization from his former firm, his firm at the time, or the customer, and that neither of those firm’s contributed to the customer’s brokerage account before the wire, resulting in the representative’s improper sharing in the customer losses. In connection with these findings, that representative was issued a 15-day suspension and a fine of $5,000. This former firm representative has also received a customer complaint alleging he executed unauthorized trades, committed theft and/or forgery, recommended unsuitable investments, and made misrepresentations of material facts between August 2012 and December 2015; that customer is seeking $100,000 in damages in the pending complaint.
If you or someone you know has lost money investing with Private Client Services, call Fitapelli Kurta at 877-238-4175 for a free consultation. You may be eligible to recoup your losses. Fitapelli Kurta accepts all cases on a contingency basis: we only get paid if and when you collect money. Time to file your claim may be limited, so we encourage you to avoid delay. Call 877-238-4175 now to speak to an attorney for free.