The Financial Industry Regulatory Authority (FINRA) licenses and regulates the stock brokerage industry. It requires stock brokerage firms and their stock brokers to be qualified, registered, and approved by the agency before they may offer and sell securities to the public. FINRA also requires its registrants to immediately report regulatory events, such as suspensions, fines, and customer complaints, against the firm and broker. FINRA maintains a database of investor complaints and disciplinary and employment history for registered representatives and publishes some of this information on its BrokerCheck website, www.brokercheck.finra.org. The FINRA BrokerCheck is purportedly useful for predicting future broker misconduct. Unfortunately, not all customer complaints are accurately or completely reported on the website. We are seeking investors with information about National Securities Corporation broker Kyle P. Harrington to determine whether the reported information on the FINRA BrokerCheck website is accurate and complete.
FINRA reports that Mr. Harrington has been registered in the securities industry since 1993. Over the years, he has been registered with 15 different brokerage firms: Merrill Lynch Pierce Fenner and Smith Inc., Putnam Lovell and Thornton Inc., Goldman Sachs and Co., Morgan Stanley and Co. Inc., BancAmerica Robertson Stephens, BancBoston Robertson Stephens Inc., CIBC World Markets Corp., Prudential Securities Inc., Wachovia Securities LLC, Deutsche Bank Securities Inc., Robert B Ausdal and Co., First Allied Securities Inc., Matrix Capital Group Inc., Bannockburn Partners LLC and, most recently, National Securities Corporation. During that period, the FINRA BrokerCheck report indicates that Mr. Harrington has been the subject of one Regulatory Event, a bankruptcy that was dismissed in 2015 and 7 Customer Disputes, 3 of which were pending as of August 18, 2016.
The Regulatory Events include a FINRA enforcement action which Mr. Harrington settled without admitting or denying the allegations that he failed to disclose his filing of a personal bankruptcy on his form U-4 filed with the regulatory agency. As a result, Mr. Harrington was suspended for 30 days in all capacities.
There are 3 customer disputes with allegations of unauthorized trading and excessive commissions in violation of FINRA rules that have supposedly settled for amounts ranging from $15,000 to $25,000. One customer dispute was rejected by the brokerage firm and supposedly no further action was taken by the customer. There were 3 pending arbitrations reportedly filed involving Mr. Harrington for allegedly making misrepresentations in unsuitable investment recommendations, churning and breach of his alleged fiduciary duty and FINRA rules while he was employed at Matrix Capital Group, National Securities Corp. and First Allied Securities Inc. We believe that Mr. Harrington's employers may have not accurately or completely reported all of the Customer Disputes involving him and request that all investors with complaints against Mr. Harrington contact our office immediately.
The most important of investors' rights is the right to be informed! We intend to notify FINRA of any and all unreported or inaccurate customer complaints against this firm and/or broker. This blog post is by the Law Offices of Robert Wayne Pearce, P.A., located in Boca Raton, Florida. For over 35 years, Attorney Pearce has tried, arbitrated, and mediated hundreds of disputes involving complex securities, commodities and investment law issues. The lawyers at our law firm are devoted to protecting investors' rights throughout the United States and internationally! Please visit our website, www.secatty.com, post a comment, call (800) 732-2889, or email Mr. Pearce at email@example.com for answers to any of your questions about this blog post and/or any related matter.